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Barometers trade flat; negative market breadth

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Capital Market
Last Updated : Oct 25 2022 | 2:50 PM IST

The domestic equity benchmarks traded near the flat line, as they fluctuated between gains and losses, in early trade. The Nifty hovered near the 17,750 mark. Autos and metal shares led the charge FMCG and bank stocks lagged behind.

At 09:35 IST, the barometer index, the S&P BSE Sensex, was up 45.29 points or 0.08% to 59,876.95. The Nifty 50 index gained 16.10 points or 0.09% to 17,746.85.

In the broader market, the S&P BSE Mid-Cap index shed 0.13% while the S&P BSE Small-Cap index lost 0.14%.

The market breadth was negative. On the BSE, 1,230 shares rose and 1,413 shares fell. A total of 93 shares were unchanged.

JSW Steel (up 3.10%), Tata Motors (up 2.15%), Maruti Suzuki India (up 2.04%), Eicher Motors (up 1.69%) and Dr. Reddy's Laboratories (up 1.43%) were the top Nifty 50 gainers.

IndusInd Bank (down 1.61%), Nestle India (down 1.55%), UPL (down 1.51%), Power Grid Corporation of India (down 1.49%) and Hindustan Unilever (down 1.28%) were top Nifty 50 losers.

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Stocks in Spotlight:

Reliance Industries (RIL) was up 0.23%. Reliance Jio Infocomm Limited (Jio) announced that it is introducing JioTrue5G-powered Wi-Fi services in high footfall areas such as Educational Institutes, Religious places, Railway Stations, Bus stands, Commercial Hubs and more.

On a consolidated basis, the diversified conglomerate's net profit fell 0.2% to Rs 13,656 crore on 37.3% increase in net revenue to Rs 230055 crore in Q2 September 2022 over Q2 September 2021.

Meanwhile, the RIL board, at its meeting held on Friday, 21 October 2022, approved to demerge the company's financial services undertaking into Reliance Strategic Investments (RSIL). The financial services undertaking will be renamed Jio Financial Services Limited (JFSL). Shareholders will get one equity share of Jio Financial Services (JFS) for each RIL share held.

Tech Mahindra added 0.70%. The company has entered into share subscription agreement to acquire 26% equity shares in Upendra Singh Multi Transmission Private Limited. The acquisition would enable the company to procure 1.5 MW of Solar Energy for its captive consumption at its facilities located in Noida, UP.

Biocon declined 0.50%. Biocon Biologics' integrated insulins manufacturing facility in Malaysia is approved by the European Medicines Agency following a site inspection in July 2022. The Company has received the Certificate of GMP Compliance from the representative European inspection authority, Health Products Regulatory Authority (HPRA), Ireland.

Global markets:

Overseas, Asian stocks are trading higher on Tuesday following a rally in Wall Street aided by strong corporate earnings.

US stocks advanced on Monday, extending last week's gains as signs of economic softness suggested the effects of the Fed's aggressive policy aimed at cooling the economy, thereby curbing decades-high inflation, are beginning to take root.

Meanwhile, Indian Origin former UK Chancellor Rishi Sunak became UK's prime minister on Monday (October 24). Replacing former PM Liz Truss, Sunak became the first Indian-origin prime minister of the UK. Rishi Sunak will take oath as PM on October 28 and the cabinet is likely to be formed on October 29.

Rishi Sunak, in his first address to the country after being elected as the PM said, "I pledge that I will serve you with integrity and humility; and I will work day in, day out to deliver for the British people."

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First Published: Oct 25 2022 | 9:36 AM IST

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