Indian Equity Markets Experience Sharp Decline in the Closing Hours of the Session

At the close, the Nifty 50 was at 16,945.05 down by 0.77%

NSE Nifty 50 index started the day at a lower value than the previous day and continued to decline throughout the day, eventually closing in the red. A decline of 0.77 percent is a significant movement for a stock market index. Additionally, it appears that the Nifty 50 index closed below the important psychological level of 17000.

Indian equity benchmark indices Nifty and Sensex faced selling pressure for the second consecutive session on Friday, resulting in a decline of nearly 1 percent. The selling pressure was largely attributed to investors paring their exposure to metal, energy, and realty stocks, which led to a bearish trend in Asian and European markets.

Bank Nifty: Down by 0.56%

Bank Nifty, which is a subset of Nifty 50 comprising the most liquid and large capitalized banking stocks in India, opened in the red and declined by 0.56 percent throughout the day, eventually closing in the red at 39,395.35.

Similarly, BSE Sensex, which is a broad market index that tracks the performance of 30 large, well-established companies across various sectors, opened in the red and declined by 0.69 percent throughout the day, eventually closing in the red at a low of 57,527.10.

Bank Nifty

The Nifty Banking sector had some gainers and some losers for the day.

The gainers included Kotak Bank with a 0.48% increase. On the other hand, the biggest losers in the sector included Bandhan Bank with a 4.85% decline, Punjab National Bank with a 3.31% decline, IDFC First Bank with a 2.00% decline, AU Bank with a 1.92% decline and Bank of Baroda with a 1.91% decline. These results suggest that some banking stocks not performed better for the day.

Buzzing

Equity markets experienced a sharp decline in the latter part of the session as investors reacted to the amendments to the Finance Bill, 2023. The Finance Bill is a significant economic policy that outlines the government’s taxation and revenue collection plans for the year.

It is not clear what specific amendments to the Finance Bill triggered the selling pressure. However, any significant changes to taxation policies and revenue collection can have a considerable impact on the stock market.

Furthermore, the selling pressure in the US index futures and European markets also weighed on the sentiment in the Indian equity markets. The global economy is interconnected, and any negative developments in major markets can lead to spillover effects on other markets, including the Indian market.

Investors and analysts closely monitor economic policies and global market trends to make informed decisions about their investment portfolios.

Advance Decline Ratio

Today, the advance-decline ratio was 0.31, and the market breadth was negative. The volatility index India Vix increased by 5.17 percent to settle at 15.24 and the FIIs were net sellers today.

DAILY MARKET ACTION
Advancers – 553
Decliners – 1761
52Wk High –  24
52Wk Low – 237
High Band Hitters – 50
Low Band Hitters – 81
200d SMA – 17458
50d SMA – 17625
20d SMA – 17276

Top Gainers and Losers Stocks

The top gainers were Cipla (+1.07%), Kotak Bank (+0.48%), Apollo Hospitals (+0.37%), Tech Mahindra (+0.32%), and Infosys (+0.32%).

The top losers were Bajaj Finserv (-3.94%), Bajaj Finance (-3.22%), Tata Steel (-2.72%), Hindalco (-2.71%), and Adani Ports (-2.69%).

Top Gainers and Losers Sector

The top losers sectors were Media (-2.38%), Realty (-2.33%), Metal (-2.27%), Oil & Gas (-1.42%) and Consumer Durables (-0.98%).

The Nifty Midcap 50 was down by 1.38 percent, while the Nifty Small Cap 50 was down by 1.45 percent on the day.

The Nifty Midcap 50 index currently closed at 8,283.75, while the Nifty Small Cap 50 index currently closed at 4,092.05.

SECTORS – NOTABLE ACTION
MEDIA -2.38%
REALTY -2.33%
METAL -2.27%

Stocks Ban List

(SEBI) F&O ban list (IBULHSGFIN open at 99.25 and close at 95.40) and (HAL open at 2520.00 and close at 2567.50) are not currently on the stock exchange.

The Securities and Exchange Board of India (SEBI) has banned IBULHSGFIN and HAL from trading in the futures and options (F&O) segment of the stock exchange.

A stock enters the Ban List if its MWPL is above 95%. Implying that, Ban List shows the Futures and Options (FnO ) stocks whose combined open interest in all FnO contracts for a given period crosses 95% of Market-Wide Position Limit.

DELTACORP has the possiblities of entrance in the ban list.

IBULHSGFIN and HAL has the posibilities of exit from ban list.

Daily Pivots

As per the above pivots data, 16870 to 17070 is the Nifty 50 trading range.

Read previous -Daily Insights- here
Market Gives Up Gains in Last Hours
Domestic Equity Surges as Global Markets Recover in Nifty50
Nifty50 Under Pressure! Falls Below Previous Week’s Low During Trading

This article is only for educational purposes and is not an investment advice.