Israel-Hamas war spooks markets; Sensex plunges 483 pts, Nifty nears 19,500

Closing Bell on Monday, October 09: Brent crude oil prices were up 3.5 per cent at $87.5 per barrel as Israel-Hamas war intensified

Stock market highlights: Equity markets reeled under selling pressure on Monday as geopolitical developments between Israel and Hamas group soured sentiment. Oil prices surged by up to 8 per cent in two days, stoking fears of elevated inflation across the globe.

Back home, the S&P BSE Sensex dropped 483 points, or 0.73 per cent, to end at 65,512 levels, while the Nifty50 shut shop at 19,512, down 141 points or 0.7 per cent.

Volatility gauge, India VIX, zoomed 12 per cent today.
 

Adani Ports, Hero MotoCorp, HDFC Life, M&M, BPCL, Bajaj Finance, SBI, Tata Steel, Kotak Bank, Asian Paints, HDFC Bank, Adani Enterprises, and Titan Company declined between 1 per cent and 5 per cent today. 

The pain, meanwhile, was severe in the broader market with the BSE MidCap and Smallcap indices shedding 1.2 per cent and 1.7 per cent, respectively.

Among sectors, all the indices settled lower led by the Nifty PSU Bank index (down over 3 per cent), followed by the Nifty Media index (2.4 per cent).

4:16 PM

Tech View :: 'Gap downs in Nifty should be seen as buying opportunity'

Nifty50
On the daily charts, we can observe that the positive momentum from the previous week could not continue today and the Nifty has witnessed a correction. We believe that the Nifty is in the process of retracing the rise it has witnessed from 19,333 – 19,676.

On the way down, support is placed in the zone 19,500 - 19,460 which coincides with the gap area formed on 5th October and the 61.82% Fibonacci retracement level.

The Nifty is likely to resume its next leg of up move from the support zone and hence in case of a gap down opening or a dip it should be used as a buying opportunity.

 

Bank Nifty

Bank Nifty opened the gap down and made a new low of 43,796 which is a sign of weakness. It is currently trading around the previous swing lows 43,700 – 43,600 which can be tested over the next few trading sessions.

The Bank Nifty is currently oversold, and we can observe signs of divergence on the daily charts however price confirmation is awaited. In terms of levels, 43,700 – 43,600 shall act as a crucial support zone while 44,200 – 44,300 shall act as an immediate hurdle zone for the Bank Nifty.

Views by: Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas

3:59 PM

Comment :: 'Geopolitical tensions could potentially disrupt this optimistic outlook'

An unforeseen escalation in the Middle East has rekindled pessimism in global markets. Moreover, the rapid surge in oil prices presents a significant threat to the global market, which is already dealing with elevated inflation and interest rates.

In the mid- and small-cap segments, we observe consolidation as investors reshuffle their portfolios due to premium valuations in this space.

While consensus estimates for Q2FY24 remain positive, it's important to note that geopolitical tensions could potentially disrupt this optimistic outlook.

Views by: Vinod Nair, Head of Research at Geojit Financial Services

3:50 PM

Bond market :: 10-year bond yield harden on war fears

3:49 PM

Currency check :: Rupee ends 2 paise weaker at 83.27/$

3:47 PM

Oil Prices :: Brent advances 3% as war in Middle East triggers panic

3:45 PM

SmallCap index heatmap :: Jubilant Ind, JP Power drop up to 9%

3:44 PM

MidCap index heatmap :: Oil India jumps 5% on oil price rebound

3:42 PM

Broader markets end lower with the BSE SmallCap index down 1.7%

3:41 PM

Sectoral trends :: Broad-based selling hits markets; PSBs sink

3:40 PM

Sensex Heatmap :: 27 of 30 index stocks end lower Monday

3:38 PM

Closing Bell :: Nifty settles near 19,500

3:37 PM

Closing Bell :: Sensex cracks 483 points on Israel war

3:26 PM

Stock price of these 5 recently listed IPOs hit lowest levels since debut

These stocks have slipped between 3 per cent and 10 per cent on the BSE in today's intra-day trade. The stock price of Sai Silks (Kalamandir) (down 10 per cent at Rs 220.05 against issue price of Rs 222 per share) and Updater Services (down 3 per cent at Rs 276.16 against issue price of Rs 300 per share) fell below their issue price. READ MORE

3:13 PM

Measures in place to ensure safety of employees at Haifa port: APSEZ

"We are closely monitoring the action on ground which is concentrated in south Israel, whereas Haifa port is situated in the north. "We have taken measures to ensure safety of our employees and all of them are safe," spokesperson of Adani Ports and SEZ Limited said. READ MORE

2:58 PM

Global check:: US stock futures off day's lows; Dow down 150 pts

Source: Investing.com