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Indices opens lower; breadth strong

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Last Updated : Dec 16 2024 | 10:04 AM IST
The domestic equity benchmarks traded with moderate losses in early trade. The Nifty slipped below the 24,750 mark. Metal, IT and bank shares declined while realty, media and consumer durables shares advanced.

At 09:29 IST, the barometer index, the S&P BSE Sensex, declined 295.82 points or 0.36% to 81,837.30. The Nifty 50 index lost 64.45 points or 0.26% to 24,703.85.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index added 0.36% and the S&P BSE Small-Cap index rose 0.56%.

The market breadth was strong. On the BSE, 2,293 shares rose and 868 shares fell. A total of 143 shares were unchanged.

Foreign portfolio investors (FPIs) bought shares worth Rs 2,335.32 crore, while domestic institutional investors (DIIs) were net sellers to the tune of Rs 732.20 crore in the Indian equity market on 13 December 2024, provisional data showed.

Economy:

Indias foreign exchange reserves dropped by $3.235 billion to $654.857 billion, a five-month low, for the week ended December 6, data released by the Reserve Bank of India (RBI) revealed on Friday.

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Foreign currency assets, a major component of the reserves, decreased by $3.228 billion to $565.623 billion for the week ended December 6, 2024, as per the data.

Meanwhile, gold reserves dropped by $43 million to $66.936 billion in the week under consideration. The Special Drawing Rights (SDRs) increased by $25 million to $18.031 billion, RBI data showed.

Indias reserve position with the IMF rose by $12 million to $4.266 billion in the reporting week.

Stocks in Spotlight:

Rites advanced 2.65% after the company, has secured an order worth Rs 297.67 crore from the Ministry of External Affairs, Government of India.

Lupin rose 0.26%. The company has announced the acquisition of anti-diabetes trademarks GIBTULIO, GIBTULIO MET and AJADUO from Boehringer Ingelheim International GmbH (Boehringer Ingelheim), to strengthen its diabetes portfolio in the country.

HBL Power Systems jumped 4.98% after the company has received an order worth Rs 1,522.40 crore from Chittaranjan Locomotive Works (CLW) for the supply, installation and commissioning of the KAVACH (Train Collision Avoidance System) equipment in locomotives.

Numbers to Track:

The yield on India's 10-year benchmark federal paper advanced 1.69% to 6.844 as compared with previous close 6.730.

In the foreign exchange market, the rupee was flat against the dollar. The partially convertible rupee was hovering at 84.8050.

MCX Gold futures for the 5 February 2024 settlement fell 0.16% to Rs 77,013.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.01% to 106.90.

The United States 10-year bond yield declined 0.23% to 4.391.

In the commodities market, Brent crude for February 2024 settlement lost 25 cents, or 0.34% to $74.24 a barrel.

Global Markets:

Most Asian stocks declined Monday ahead of a swath of Chinese data and following a vow from the nations regulators to stabilize markets. Investors readied themselves for the final full week of trading this year with a series of central bank meetings including the Fed, Bank of Japan and Bank of England.

South Koreas shares and the won rose after President Yoon Suk Yeol was impeached on the weekend.

Meanwhile, the au Jibun Bank Japan manufacturing PMI read 49.5 in the first two weeks of December, compared to expectations of 49.2. The reading improved from 49.0 seen in the prior month.

The au Jibun Bank Japan Services PMI rose to 51.4 in December from 50.5 in the prior month, pushing further into expansion territory.

A reading below 50 indicates contraction, with the manufacturing PMI now shrinking for a sixth straight month.

U.S. stocks witnessed a subdued session on Friday as recent economic data showed inflation remaining sticky in November- a trend that could limit the Feds plans to lower interest rates.

The Fed is widely expected to cut interest rates by 25 basis points at the conclusion of a two-day meeting on Wednesday, after the central bank kicked off an easing cycle earlier in the year. The move will bring rates down by a total of 100 bps in 2024.

The Dow Jones Industrial Average fell 86.06 points, or 0.20%, to 43,828.06, the S&P 500 lost 0.16 point, or 0.00%, to 6,051.09 and the Nasdaq Composite gained 23.88 points, or 0.12%, to 19,926.72.

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First Published: Dec 16 2024 | 9:38 AM IST

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