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Indices drift lower in early trade

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Last Updated : Oct 22 2020 | 9:50 AM IST

Key indices are trading with small losses in early trade. At 9:25 IST, the barometer index, the S&P BSE Sensex, was down 54.89 points or 0.13% at 40,652.42. The Nifty 50 index was down 36.30 points or 0.3% at 11,901.35.

The S&P BSE Mid-Cap index was up 0.28%. The S&P BSE Small-Cap index was up 0.29%.

The market breadth, indicating the overall health of the market, is positive. On the BSE, 762 shares rose and 593 shares fell. A total of 63 shares were unchanged.

Stocks in news:

Reliance Industries (RIL) fell 0.62%. RIL said that its subsidiary Reliance Retail Ventures yesterday received the subscription amount of Rs 3,675 crore from General Atlantic Singapore RL Pte. (General Atlantic) and allotted 53,865,884 equity shares to General Atlantic.

Bajaj Finserv gained 2.23%. The company reported 18.06% fall in consolidated net profit to Rs 986.29 crore on 5.82% rise in total income to Rs 15,051.59 crore in Q2 September 2020 over Q2 September 2019.

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Vedanta advanced 3.46%. Vedanta said that the meeting of the board of directors of the company is scheduled on 24 October 2020, to consider and approve first interim dividend on equity shares, if any, for the Financial Year 2020-21. The record date for the purpose of determining the entitlement of the equity shareholders for the dividend, if declared, is fixed as 31 October 2020.

JK Tyre & Industries surged 5.94%. The company reported 38.28% fall in consolidated net profit to Rs 104.98 crore on 6.73% rise in total income to Rs 2,307.20 crore in Q2 September 2020 over Q2 September 2019.

GMM Pfaudler rose 1.21% after the company reported 29.2% rise in consolidated net profit to Rs 26.86 crore on 22.77% rise in total income to Rs 188.26 crore in Q2 September 2020 over Q2 September 2019.

DLF rose 0.2%. DLF said that the company has inked an anchor deal with Standard Chartered GBS for office building at DLF Downtown, Taramani, Chennai.

National Peroxide surged 7.17% after the company reported 286.33% rise in consolidated net profit to Rs 22.33 crore on 6.07% fall in total income to Rs 57.08 crore in Q2 September 2020 over Q2 September 2019.

Global Markets:

Overseas, Asian stocks are trading lower on Thursday after a bumpy session on Wall Street amid fears that agreement on a key U.S. stimulus bill will not be reached until after the presidential election on November 3.

International Monetary Fund on Wednesday downgraded its growth forecast for Asia-Pacific. The IMF downgraded its forecast for Asia-Pacific to -2.2% in 2020.

In US, Wall Street's three major averages closed lower on Wednesday after a volatile trading session, as investors worried whether difficult negotiations in Washington would produce a deal for a fresh U.S. coronavirus stimulus package. House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin continued their negotiations on a new fiscal stimulus package.

Investors also have their eyes on the upcoming elections. Trump and Democratic challenger Joe Biden will face off in their second and final debate on Thursday night.

Back home, the benchmark indices ended the roller-coaster session with decent gains on Wednesday. Banks and metal stocks rallied while IT and FMCG shares declined. The barometer index, the S&P BSE Sensex, gained 162.94 points or 0.40% at 40,707.31. The Nifty 50 index added 40.85 points or 0.34% at 11,937.65.

Foreign portfolio investors (FPIs) bought shares worth Rs 2,108.48 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 1,633.53 crore in the Indian equity market on 21 October, provisional data showed.

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First Published: Oct 22 2020 | 9:24 AM IST

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