Market Commentary - Mid-Session
Barometers edge higher; breadth positive As on : 08-Oct-24  09:35

The key equity indices traded with minor gains in early trade. The Nifty traded above the 24,800 level. Media, bank and financial services shares advanced while metal, IT and auto stocks declined.

At 09:28 IST, the barometer index, the S&P BSE Sensex rose 112.26 points or 0.14% to 81,162.26. The Nifty 50 index added 19.80 points or 0.08% to 24,815.55.

The broader market underperformed the frontline indices. The S&P BSE Mid-Cap index fell 0.22% and the S&P BSE Small-Cap index shed 0.03%.

The market breadth was positive. On the BSE, 1,718 shares rose and 1,309 shares fell. A total of 116 shares were unchanged.

Foreign portfolio investors (FPIs) sold shares worth Rs 8,293.41 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 13,245.12 crore in the Indian equity market on 7 October 2024, provisional data showed.

Stocks in Spotlight:

Ola Electric Mobility added 1.50%. The company has been served a notice by Central Consumer Protection Authority for alleged violation of consumer rights, misleading advertisement and unfair trade practices.

Tata Motors declined 2.87% after the company reported JLR retail sales stood at 103,000 units in Q2 FY25, a decline of 3% YoY. Production was recorded at 86,000 units in Q2 FY25, down 7% from the previous year, primarily due to disruptions in aluminium supply reported in first quarter. Wholesales also decreased totaling 87,303 units, 10% YoY drop. Despite these challenges, production and wholesale volumes are expected to recover strongly in the Q2 FY25.

Sobha slipped 2.76%. The company sold a new area of 0.93 million square feet (Sq.ft), generating a sales value of Rs 1,179 crore, with average price realisation of Rs 12,674 per Sq.ft during the second quarter of FY25.

Numbers to Track:

The yield on India's 10-year benchmark federal paper shed 0.37% to 6.941 as compared with previous close 6.967.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 83.9450, compared with its close of 83.0000 during the previous trading session.

MCX Gold futures for 4 December 2024 settlement fell 0.20% to Rs 75,892.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.13% to 102.40.

The United States 10-year bond yield declined 0.63% to 4.006.

In the commodities market, Brent crude for December 2024 settlement lost $1.28 or 1.58% to $79.65 a barrel.

Global Markets:

Most Asian shares tumbled on Tuesday. However, Chinese stocks surged as trading resumed after a week-long break, buoyed by recent stimulus measures from Beijing. Officials are scheduled to provide further details on these measures later today.

In contrast, other Asian indices followed Wall Street's downward trend. U.S. stocks fell sharply on Monday as investors anticipated a smaller rate cut from the Federal Reserve due to a stronger-than-expected U.S. jobs report.

The major U.S. indexes suffered significant losses on Monday. The Dow Jones Industrial Average fell 0.94%, the S&P 500 dropped 0.96%, and the NASDAQ Composite lost 1.18%.

Fears of an escalating Middle East conflict also dampened risk appetite. Meanwhile, the impending landfall of Hurricane Milton, following on the heels of Hurricane Helene, added further anxiety.

US tech stocks witnessed a sharp decline. Google's parent company, Alphabet Inc., faced pressure after being ordered to restructure its Android app store. Additionally, negative analyst comments on Amazon and Apple triggered selling in these tech giants.

The release of the minutes from the September Federal Reserve meeting, scheduled for Wednesday, will be closely monitored. These minutes will offer insights into the Fed's future rate cut strategy. Thursday's consumer price index data is another key event. Investors will be looking for signs of persistent inflation, which could influence the Fed's monetary policy decisions.

Powered by Capital Market - Live News