The benchmark indices were trading in a narrow range with modest losses in afternoon trade. At 13:20 IST, the barometer index, the S&P BSE Sensex, lost 244.15 points or 0.44% at 55,385.34. The Nifty 50 index shed 113.35 points or 0.68% at 16,455.50.
ICICI Bank (down 1.32%), Tata Steel (down 6.16%) and Reliance Industries (RIL) (down 0.75%) were major drags.
The broader indices traded with minor losses. The S&P BSE Mid-Cap index fell 1.59%. The S&P BSE Small-Cap index slipped 1.46%.
Sellers outnumbered buyers. On the BSE, 738 shares rose and 2,359 shares fell. A total of 135 shares were unchanged.
Foreign portfolio investors (FPIs) sold shares worth Rs 595.32 crore, while domestic institutional investors (DIIs), were also net sellers to the tune of Rs 729.49 crore in the Indian equity market on 18 August 2021, provisional data showed.
COVID-19 Update:
Total COVID-19 confirmed cases worldwide stood at 21,00,03,605 with 44,03,597 deaths. India reported 3,63,605 active cases of COVID-19 infection and 4,33,589 deaths while 3,15,61,635 patients have been discharged, according to the data from the Ministry of Health and Family Welfare, Government of India.
Economy:
The credit rating agency, CRISIL on Wednesday, 18 August 2021, upgraded India Inc's credit quality outlook for FY22 from cautiously optimistic to positive, based on continued improvement in demand. This comes after the setbacks caused by the second wave of the Coronavirus pandemic in Q1 of FY22. Increasing vaccination coverage should also reduce the impact of the third wave if it comes, CRISIL said in a statement.
CRISIL Ratings Chief Rating Officer Subodh Rai said the outlook revision factor in strong economic growth, both domestic and global, and containment measures that are localised and less stringent compared with the first wave. This should sustain the pick-up in domestic demand even if the third wave hits. We believe that India Inc is on a high and strong footing, he said.
Gainers & Losers:
Hindustan Unilever (HUL) (up 3.78%), Asian Paints (up 3.06%), Britannia Industries (up 1.74%), Bajaj Finance (up 1.63%) and Nestle India (up 1.29%) were major gainers in Nifty 50 index.
Tata Steel (down 6.16%), JSW Steel (down 5.76%), UPL (down 4.43%), Hindalco Industries (down 4.30%) and Tata Motors (down 2.78%) were major losers in Nifty 50 index.
Stocks in Spotlight:
Natco Pharma dropped 4.98% after a US District Court issued a decision in favour of Pharmacyclics, a subsidiary of Chicago-based AbbVie's Pharmacyclics LLC, the brand owner of Imbruvica in a PIV litigation involving the product. In the year 2018 NATCO and Alvogen, filed an Abbreviated New Drug Application (ANDA) with PIV certification for generic version of the product.
Radico Khaitan slipped 1.60%. The company approved the acquisition of 100% equity shares of Radico Spiritzs India with immediate effect, thereby making Radico Spiritzs a wholly owned subsidiary of the company. The board of Radico Khaitan has approved the complete acquisition of Radico Spiritzs India at Rs 10 per share payable by cheque. This takeover will provide ancillary services and assist Radico Khaitan in furtherance of its business operations.
Global Markets:
US Dow Jones futures were down 139 points, indicating a weak opening in the US stock market later today.
Shares in Europe and Asia declined on Friday, 20 August 2021, as concerns over monetary policy, the delta COVID-19 variant and China's tech crackdown linger.
Tougher rules for handling user data are Beijing's latest step against big tech. State media also scrutinized liquor makers, online pharmacies and cosmetics firms. Meanwhile, China's one-year loan prime rate (LPR) and five-year LPR were both left unchanged at 3.85% and 4.65%, respectively, on Friday.
In Europe, Germany's finance minister said on Friday that the economy is on track for a lasting and strong recovery in the third quarter. There will be new growth figures for Germany out next week.
British retail sales dropped in July 2021 by 2.5% from the previous month, according to the Office for National Statistics.
The US stock markets ended mixed on Thursday as gains in technology shares were countered by selling in cyclical sectors. The number of people seeking unemployment benefits fell last week for a fourth straight time to a pandemic low. The Labor Department reported Thursday that jobless claims fell by 29,000 to 348,000.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
