Sensex down 1457pts, Nifty gives up 15800 on global rout, ahead of CPI data

CLOSING BELL: The top laggards were Bajaj Finserv, IndusInd Bank, Bajaj Finance, Hindalco, Tech M, Tata Motors, ICICI Bank, Adani Ports, NTPC, and TCS

CLOSING BELL

Stock market highlights: A global rout in world equities engulfed Indian stocks on Monday as investors across the world shunned risky assets. Meanwhile, bond yields rose and emerging markets' currencies hit fresh lows against the US dollar.

The havoc comes after after May's US inflation print, at a 40-year high of 8.6 per cent, reignited fears that central banks will be forced into aggressive monetary policy tightening. The US Fed, Bank of England, and Bank of Japan are slated to announce their respective interest rate decisions this week.

Against this backdrop, the S&P BSE Sensex plunged 1,776 points intra-day before closing at 52,847, down 1,457 points or 2.68 per cent. The Nifty50, on the other hand, fell 427 points, or 2.64 per cent, to settle at 15,774. The index touched a low of 15,684 in intra-day trade.

Nestle India was the only Nifty50 company that ended 0.5 per cent higher. The top laggards were Bajaj Finserv, IndusInd Bank, Bajaj Finance, Hindalco, Tech M, Tata Motors, ICICI Bank, Adani Ports, NTPC, and TCS. All these stocks fell between 4 and 6.7 per cent.

In the broader markets, the Nifty MidCap 100 and SmallCap 100 declined 2.9 per cent and 3.8 per cent, respectively. Sectorally, all the indices sunk on the NSE with the Nifty IT and Media indices sliding 4 per cent each, and the Nifty Bank tanking over 3 per cent

4:15 PM

NIFTY TECH VIEW: Slide below 15,670 may resume selling pressure in the market

Nifty remained under selling pressure as it slipped below the 16,000 mark in the morning trades.

However, on the lower end, it found support at a historical swing low it had made in early March this year, leading to recovery in the second half.

The daily RSI is in bearish crossover and falling. The trend remains bearish; a fall below 15,670 may resume the selling pressure in the market.

On the higher end, resistance is visible at 16,000/16,200.

Views by  Rupak De, Senior Technical Analyst at LKP Securities

4:12 PM

CLOSING VIEW: US May inflation raised fears of more aggressive rate hikes

Weak global cues ahead of the Fed meet painted benchmark indices here in a sea of red as street awaits CPI data on a day when the rupee hit a new low.

The risk off mode in equities globally after the US inflation print raised fears of an aggressive rate hike and the Dollar Index at 104 seems to weigh heavily amidst relentless FII selling despite local redemptions in May coming in at a two year low.

Views by S Ranganathan, Head of Research at LKP securities

4:09 PM

MARKET VIEW: Volatility ahead likely but time is right to lap up good quality stocks

The record-high inflation numbers announced in the US on Friday have created a huge sell-off in the global equity markets.

The markets expect Fed to become more aggressive to tame the entrenched inflation; this will lead to huge outflows of FII’s and FPI’s money and further depreciation of INR.

Today’s fall is nothing new; it’s just a reality check as the majority of stock prices had moved far away from their fundamentals or intrinsic values.

Markets often need trigger events to comply with the universal law of mean reversion and the Russia-Ukraine War is that event this time. 

We recommend investors to see the big picture, it is true that inflation is going to stay for a while and affect the profits of corporate India, but in the medium to long term, there are many companies with good fundamentals, robust financials, and competitive advantages that are going to perform well.

Further, India is better placed than its peers with respect to growth factors and the ability to fight current inflation.

Thus, the current uncertain times are best to lap up such quality stocks and investors can use the buy on dips strategy, however, in the near term, the markets are going to be volatile.

Views by Santosh Meena, Head of Research, Swastika Investmart 

4:06 PM

10-yr bond yield ends at 7.6% after hitting 3-yr high of 7.62% during the day

4:03 PM

Rupee closes at a new low of 78.04/$ after breaching 78/$ for the first time ever

 

4:00 PM

Zee Entertainment ends off day's low amid ongoing IPL media rights auction

 

3:58 PM

Glenmark Pharma sinks 3% on report US FDA to begin inspection at Baddi plant

 

3:56 PM

Angel One drops 5.5% on buzz of 2.36 lakh shares-block deals

3:53 PM

Sugar stocks turn sour as food secy says govt to maintain sugar export limit

3:51 PM

Buzzing stock: GR Infra plunges 10% on report of CBI conducting raids at company's offices

3:50 PM

Market breadth extremely negative at 1:4 in advances vs declines

3:48 PM

Sectoral trends: Nifty IT, Metals and Media packs lead decline; close 4% lower

 

3:46 PM

Broader markets bleed; SmallCaps worst performer

3:42 PM

Nifty top gainers & losers: Britannia, Nestle up; Tata Motors, Hindalco, IndusInd slip 5%

 

3:40 PM

Sensex Heatmap: Bajaj twins tank up to 7%; Nestle emerges as sole winner