A selloff across sectors deepened in the second half of the session, dragging the markets lower
Domestic stock markets suffered sharp losses on Tuesday, with the NSE Nifty benchmark index giving up all of the gains so far this calendar year. The 50-scrip index fell as much as 207.00 points to 10,796.50 at the day's lowest level, registering a loss of 66.05 points for the year. That meant all of the gains in the index in 2019 were erased on Tuesday. Analysts say the surging crude oil prices refuelled concerns about the current account and fiscal deficits among investors. The S&P BSE Sensex index fell as much as 704.22 points to 36,419.09 during the session. At that level, the Sensex was still 350.76 points far from turning negative. A selloff across sectors - led by banking, auto and metal shares - deepened in the second half of the session, dragging the markets lower.
Here are the highlights of the movement in the share markets (Sensex, Nifty) on September 17, 2019:
Auto Sector Worst Hit
The Nifty Bank - comprising shares of 12 major banks - ended 2.60 per cent lower, after plunging as 2.90 per cent during the session.
NSE Sectoral Movement
|Nifty PSU Bank||-3.67%|
|Nifty Private Bank||-2.53%|
|Nifty Financial Services||-2.31%|
BSE Sectoral Movement
|S&P BSE AUTO||-3.8%|
|S&P BSE REALTY||-3.69%|
|S&P BSE METAL||-2.72%|
|S&P BSE BANKEX||-2.59%|
|S&P BSE Basic Materials||-2.33%|
|S&P BSE Finance||-2.31%|
|S&P BSE Consumer Discretionary Goods & Services||-2.12%|
|S&P BSE Industrials||-2.02%|
|S&P BSE CAPITAL GOODS||-2%|Nifty Closes At 10,818, Gives Up All Of Year's Gains
The NSE Nifty index ended 185.90 points - or 1.69 per cent - lower at 10,817.60, giving up all of the gains so far this calendar year. The S&P BSE Sensex benchmark settled at 36,481.09, down 642.22 pints - or 1.73 per cent - from the previous close.
As of Tuesday's close, the Nifty is down 44.95 points - or 0.41 per cent - so far this year.
Nifty Slips Below 10,800 Mark, Turns Negative For Year
The 50-scrip Nifty benchmark index fell as much as 207.00 points to log an intraday low of 10,796.50. At this level, the Nifty erased all of the calendar year's gains, down 66.05 points - or 0.61 per cent.
At 3:27 pm, the Nifty was down 179.00 points from the previous close at 10,824.50.
“Nifty Can Go Down To 10,800-10,750”, Says Sumeet Bagadia
"Markets are falling on the back of rising crude oil, depreciation in rupee against the dollar and weakness in index heavyweights like HDFC and HDFC Bank," Sumeet Bagadia, executive director at Choice Broking, told NDTV.
"Some more correction can be expected and Nifty can go down to 10,800-10,750 levels and Bank Nifty can fall to 27,000-26,800 levels," he added.
Banking Shares Worst Hit, Nifty Bank Index Drops Over 700 Points
Private sector as well as state-owned banking stocks were among the worst performers in Tuesday's session. The Nifty Bank index - comprising shares of 12 major banks - dropped as much as 720.35 points - or 2.59 per cent - to 27,134.65. All the constituents on the sectoral index were trading lower.
Top Nifty Bank Losers
HDFC, HDFC Bank, ICICI Bank Among Top Drags On Sensex
Twenty six stocks on the Sensex index traded lower. Housing Development Finance Corporation (HDFC), HDFC Bank, Axis Bank, ICICI Bank, Tata Consultancy Services (TCS) and Larsen & Toubro were among the top drags on the Sensex, collectively wiping out over 200 points from the Sensex.
Market Update: Sensex Plunges Nearly 400 Points, Nifty Tumbles Below 10,900
Losses in banking, auto and oil & gas shares weighed on the Sensex and Nifty as equity markets extended losses in afternoon trading.
The Sensex plunged as much as 388 points to hit intraday low of 36,724 and the Nifty 50 index dropped below 10,900.
All the 11 sector gauges compiled by NSE were trading lower led by the Nifty Auto index's 1.7 per cent fall. Banking, Financial Services, IT, Media, Pharma, PSU Bank, Realty and Private Bank indexes also fell over 1 per cent each.
Market Breadth Remains Extremely Negative, Auto Shares Worst Hit
All sector gauges barring the Nifty FMCG index were trading lower led by the Nifty Auto index's 1.6 per cent fall. Nifty Bank, Financial Services, IT, Media and PSU Bank indexes were also down between 0.9-1.2 per cent each.
The overall market breadth was extremely negative as 1,025 shares were declining while 685 were advancing on the NSE.
Market Update: Sensex, Nifty Extends Losses As Autos, Banks Drag
The Indian equity benchmarks extended declines in noon deals paced by declines banking, auto, financial services and information technology shares. The S&P BSE Sensex fell as much as 330 points to touch intraday low of 36,792 and the NSE Nifty 50 index hit an intraday low of 10,911.
Top Nifty 50 losers:
- Tech Mahindra down 2.70%
- Axis Bank down 2.68%
- Bharti Airtel down 2.46%
- Hero MotoCorp down 2.25%
- Cipla down 2.02%
Top Nifty 50 gainers:
- Titan up 1.35%
- Vedanta up 1.31%
- GAIL India up 1.08%
- Hindustan Unilever up 0.88%
- Yes Bank up 0.75%
TRF Falls After Canyon Expresses Inability To Complete Share Purchase Agreement
Shares of the Tata Group company TRF fell as much as 4.33 per cent to Rs 104.90 after Canyon Point Investment expressed its inability to complete the share purchase agreemnt which was signed by TRF on May 17.
TRF had signed an agreement to divest its entire shareholding in its subsidiary Dutch Lanka Trailer Manufacturers Limited including Dutch Lanka Engineering Private Limited and 50 per cent stake in Tata International DLT Private Limited to Canyon Point Investment Holdings Pte. Ltd.
Kaveri Seed Shares Rise, Board To Consider Buyback Proposal On September 24
Kaveri Seed Company shares rose nearly 3 per cent on Tuesday, a day after the seed producer said its board will consider a buyback plan in a meeting on September 24.
At 11:24 am, Kaveri Seed Company shares traded 1.80 per cent higher at Rs 538.00 apiece on the BSE, outperforming the Sensex which was down 0.69 per cent.
Mid And Small Cap Shares Witness Selling Pressure
Mid- and small-cap shares were witnessing selling pressure as the Nifty Midcap 100 and Nifty Smallcap 100 indexes fell 0.3 per cent each.
Top Nifty Midcap 100 losers:
- PFC down 3.35%
- DHFL down 2.80%
- REC down 2.34%
- Canara Bank down 1.60%
- Bank of India down 1.54%
Top Smallcap 100 losers:
- HEG down 6.43%
- Graphite India down 1.85%
- MRPL down 3.57%
- Varroc Engineering down 3.10%
- Escorts down 2.76%
Market Breadth Neutral With Advance-Decline Ratio Of 1:1
Market breadth was largely neutral, with 950 stocks on the Bombay Stock Exchange (BSE) trading higher and 928 moving lower. On the National Stock Exchange (NSE), 784 stocks advanced while 855 declined.
|Nifty Financial Services||-0.93%|
|Nifty Private Bank||-0.71%|
|Nifty Fast-Moving Consumer Goods||+0.27%|Rupee Declines Against US Dollar
The rupee opened lower at 71.83 against the US dollar, and declined to as much as 71.88 - down 29 paise from the previous close - in early trade. At 10:14 am, the rupee traded down 17 paise - or 0.23 per cent - at 71.76 against the greenback, compared with its previous close of 71.59.
The 10-year government bond yield was at 6.71 per cent at the time, as against its previous close of 6.64 per cent.
Sensex Falls Over 150 Points, Nifty Near 10,950
The S&P BSE Sensex fell as much as 153.3 points to touch 36,970.01 on the downside, and the broader NSE Nifty benchmark moved to touch the 10,957.45 mark, down 46.05 points from the previous close. At 9:49, the Sensex traded 133.13 pints - or 0.36 per cent - lower at 36,990.18 while the Nifty was down 43.50 points - or 0.40 per cent - at 10,960.00.
Nifty Technicals: 10,960 Then 10,900 Remain “Strong Support Zone”, Says Angel Broking
"Saudi oil attacks over the weekend led to crude oil prices spiking up more than 10 per cent which spooked traders across the globe... Last week some hopes started to build for some steady relief in the market but this geopolitical development over the weekend seemed to have dented this possibility," said Sameet Chavan, chief analyst-technical and derivatives, Angel Broking.
"We still remain hopeful as long as 10,900 is defended successfully. For the day, 11,050 is the level to watch out for in the upward direction. A move beyond this would attract fresh buyers to push the index towards 11,100-11,140 levels... On the lower side, 10,960 followed by 10,900 remains to be a strong support zone."
Indiabulls Housing Finance, HCL Tech, Axis Bank Top Losers
Top Nifty Losers
Top Nifty Gainers
Top Sensex Losers
Top Sensex Gainers
- Vedanta: +2.22%
- Asian Paints: +1.28%
- Tata Steel: +0.90%
- Yes Bank: +0.89%
- ONGC: +0.73%
Financial, Energy, IT Stocks Top Losers
Top percentage laggards on the 50-scrip index at the time were Indiabulls Housing Finance, UltraTech Cement, ICICI Bank, Bharat Petroleum and Axis Bank, trading between 0.91 per cent and 2.85 per cent lower. Housing Development Finance Corporation (HDFC), Reliance Industries, ICICI Bank and HCL Tech were the top drags on the Sensex.
Markets Turn Lower After Mixed Start
At 9:17 am, the S&P BSE Sensex index traded 103.21 points - or 0.28 per cent - lower at 37,020.10 while the broader NSE Nifty benchmark was at 10,976.30, down 27.20 points - or 0.25 per cent - from the previous close. Losses in financial and information technology shares pulled the markets lower however gains in metal stocks limited the downside.
Stock Markets Open On A Mixed Note
The Sensex opened up 46.15 points at 37,169.46 while the Nifty started the session at 11,000.10, down 3.4 points from the previous close.
Sensex, Nifty Rise In Pre-Opening Session
The S&P BSE Sensex index rose as much as 131.00 points to 37,254.31 in the pre-open market. At 9:05 am, the Sensex was at 37,246.52, up 123.21 points - or 0.33 per cent - from the previous close, while the broader NSE Nifty benchmark was up 18.80 points - or 0.17 per cent - at 11,022.30.
However, both the indices gave up most of those gains within minutes. The Sensex and Nifty were last seen up 47.21 points - or 0.13 per cent - at 37,170.52 and up 0.35 point at 11,003.85 at 9:07 am in the pre-open market.
Higher Crude Oil Price Inflates India's Import Bill
Any spike in crude oil prices tends to widen India's current account and fiscal deficits, with the country being the world's third-biggest importer of oil.
India is already likely to miss its fiscal deficit target for the current financial year, five government officials and advisers told news agency Reuters earlier this month.
Energy Stocks In Focus Today, After Surge In Crude Oil Price Hurts
Monday's surge in crude oil prices hurt domestic oil refinery stocks, with the Nifty Energy index - comprising shares of petroleum, gas and power companies - ending 1.32 per cent lower. Bharat Petroleum, Hindustan Petroleum, Indian Oil and Reliance Industries ended 7.31 per cent, 5.85 per cent, 1.50 per cent and 1.22 per cent lower respectively on Monday.
Crude Oil Price Loses Steam, Down Nearly 2%
A day after registering big gains, crude oil prices lost steam on Tuesday as the US flagged the possible release of crude reserves, but the threat of military action over the attacks on Saudi oil facilities kept prices elevated.
Brent futures - the international benchmark for crude oil - were last down 1.78 per cent at $67.79 per barrel in Asia. On Monday, Brent futures had surged 14.6 per cent to clock their biggest one-day percentage gain since at least 1988.
Asian Markets Fall; Fed Rate Decision, US-China Trade Talks In Focus
Shares in other Asian markets fell, with MSCI's broadest index of Asia-Pacific shares outside Japan was last seen trading 0.60 per cent lower. Chinese shares fell 0.85 per cent while Australian shares were down 0.27 per cent.
Investors broadly remained on the sidelines ahead of an expected interest rate cut from the Federal Reserve on Wednesday and the next round of US-China trade talks on Thursday.
SGX Nifty Futures Indicate Lower Opening For Domestic Markets
Domestic stock markets are likely to start Tuesday's session on a lower note. At 8:32 am, the Singapore Exchange's SGX Nifty futures - an early indicator of the NSE Nifty index in India - traded 19.00 points - or 0.17 per cent - lower at 10,986.00.
The Sensex and Nifty had ended 0.70 per cent and 0.65 per cent lower respectively on Monday, suffering their worst single-day fall in two weeks.