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Sensex, Nifty at the low point of the day; European markets decline

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Capital Market
Last Updated : Dec 15 2022 | 1:50 PM IST

The key equity barometers were currently at the day's low in afternoon trade. Investor sentiments were dented after the US Fed hiked rates by 50 basis points to its highest level in 15 years. The Nifty traded below the 18,550 mark. Trading is expected to be volatile due to expiry of weekly index options on the NSE.

At 13:30 IST, the barometer index, the S&P BSE Sensex, was down 520.19 points or 0.83% to 62,157.72. The Nifty 50 index lost 142.55 points or 0.76% to 18,517.75.

Hero MotoCorp (up 1.09%), SBI Life (up 1.03%), Britannia Industries (up 0.91%), BPCL (up 0.50%) and HDFC Life (up 0.46%) were the top Nifty gainers.

Tech Mahindra (down 2.80%), Infosys (down 2.04%), Titan (down 1.83%), JSW Steel (down 1.58%) and TCS (down 1.42%) were the top Nifty losers.

In the broader market, the S&P BSE Mid-Cap index slipped 0.47% while the S&P BSE Small-Cap index shed 0.07%.

The market breadth was negative. On the BSE, 1659 shares rose and 1804 shares fell. A total of 153 shares were unchanged.

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IPO Update:

The initial public offer (IPO) of Abans Holdings received bids for 84,78,030 shares as against 1,28,00,000 shares on offer, according to stock exchange data at 13:24 IST on Thursday (15 December 2022). The issue was subscribed 66%.

The issue opened for bidding on Monday (12 December 2022) and it will close on Thursday (15 December 2022). The price band of the IPO is fixed at Rs 256-270 per share. An investor can bid for a minimum of 55 equity shares and in multiples thereof.

The initial public offer (IPO) of Landmark Cars received bids for 75,25,906 shares as against 80,41,805 shares on offer, according to stock exchange data at 13:24 IST on Thursday (15 December 2022). The issue was subscribed 94%.

The issue opened for bidding on Tuesday (13 December 2022) and it will close on Thursday (15 December 2022). The price band of the IPO is fixed at Rs 481-506 per share. An investor can bid for a minimum of 29 equity shares and in multiples thereof.

Stocks in Spotlight:

NTPC rose 0.23%. The state-run power major said that it declared commercial operation of second part capacity of 67.73 megawatt (MW) out of 230 MW Ettayapuram Solar PV project at Tamil Nadu. The first part capacity of 162.27 MW has already been declared on commercial operation with effect from 12:00 hrs of 10 December 2022.

SBI rose 0.63%. The central board of the bank accorded approval for raising capital by way of issuance of Basel III compliant debt instrument in INR and / or any other convertible currency, upto FY24 by raising fresh additional tier-1 (AT-1) capital up to an amount of Rs. 10,000 crore.

Larsen & Toubro (L&T) shed 0.26%. The company said that its hydrocarbon business L&T Energy Hydrocarbon (LTEH) has secured two 'significant' orders for its asset management and AdVENT business verticals. As per L&T's classification, the value of the said contract lies between Rs 1,000 crore and Rs 2,500 crore.

Poonawalla Fincorp slipped 3.01%. The company said that its board has approved the sale of its housing subsidiary Poonawalla Housing Finance to TPG (Perseus SG, an entity affiliated with TPG Global, LLC) at a valuation of Rs 3,900 crore, subject to regulatory approvals.

Global markets:

Markets in Europe and Asia declined across the board on Thursday after the U.S. Federal Reserve raised its benchmark interest rate by 50 basis points to the highest level in 15 years.

China's annual Central Economic Work Conference will reportedly be held behind doors for two days until Friday.

China's industrial production for November grew 2.2%, after seeing a growth of 5% in October, according to official data. Retail sales fell 5.9% on an annualized basis, further than a fall of 0.5% the previous month.

US stocks snapped a 2-day winning streak following the decision after Fed Chair Jerome Powell signaled more data was needed before the central bank would meaningfully change its view on inflation.

It will take substantially more evidence to have confidence that inflation is on a sustained downward path, Powell said during his post-meeting news conference. However, Powell said inflation remains a problem. Price pressures remain evident across a broad range of goods and services, Powell added.

The Federal Reserve reinforced its inflation fight Wednesday by raising its key interest rate for the seventh time this year and signalling more hikes to come. The Fed boosted its benchmark rate a half-point to a range of 4.25% to 4.5%, its highest level in 15 years. The policymakers also forecast that their key short-term rate will reach a range of 5% to 5.25% by the end of 2023.

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First Published: Dec 15 2022 | 1:33 PM IST

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