Summary of the Day's Market Performance

• On September 18, Indian equity markets closed in the red, giving up early gains. The Sensex dropped 131 points to settle at 82,948, while the Nifty 50 Index was down 41 points, closing at 25,377.

• Broader markets followed suit, with the BSE midcap index down 0.7% and the smallcap index shedding 0.5%.

• All eyes are on the US Federal Reserve's rate cut decision today, which could have significant implications for global markets.

Performance of Key Sectors

• Sectoral Losers: Most sectors ended in the red, with Information Technology taking a hit, losing over 3%, while auto, pharma, metal, and oil & gas sectors declined 0.5-1%.

• Only Gainer: The banking sector managed to end in the green.

Market Transactions:

• 📈FII Bought: 1,153.69 cr.

• 📈DII Bought: 152.31 cr.

• Fed Decision Impact: Uncertainty about the US Federal Reserve's rate cut has created a wait-and-see mood in the markets. Even if the Fed cuts rates, it remains unclear if it will be enough to sustain the bull rally, as much of the optimism may already be priced in.

• Historical Reference: A rate cut by the Fed is usually seen as positive, but as history has shown (like the 50 bps cut in 2008), it may not always prevent market downturns in times of larger global crises.

Key Stock Movements and News

• Biggest Nifty Losers: TCS, HCL Technologies, Infosys, Tech Mahindra, and Wipro were the top losers, dragged down by the slump in the IT sector.

• Top Gainers: On the upside, Bajaj Finance, Shriram Finance, Bajaj Finserv, ICICI Bank, and Nestle India posted gains.

• BSE Ltd. continued its upward trajectory, gaining 15% amidst speculation of a possible NSE IPO.

• KCK Industries approved a stock split, dividing each Rupees 10 share into five shares of Rupees 2 face value.

• SBI raised 7,500 crore Rupees at a coupon rate of 7.33% via its second Basel III-compliant Tier 2 bond issuance for the year.

• Torrent Power soared 9% after winning a 1,500 MW pumped hydro storage project.

• SBI Cards approved raising up to 5,000 crore Rupees through bonds.

• LIC increased its shareholding in Biocon.

• Emcure Pharmaceuticals rose 2% after Kotak initiated coverage, projecting an 8% upside.

• Jefferies maintained a 'buy' rating on Adani Ports, setting a target price of Rs 1,910.

• NSE announced November 2 as the record date for its 4:1 bonus share issue.

• SBI Mutual Fund purchased a 1.26% stake in Nuvoco Vistas Corporation.

• Reliance Infra completed a one-time settlement with LIC for Rs 600 crore.

• The government approved the NPCIL-NTPC JV for nuclear power projects.

• SBI Mutual Fund purchased a 1.26% stake in Nuvoco Vistas Corporation.

• Emcure Pharmaceuticals, Kotak initiated coverage, projecting an 8% upside.

"Markets slipped ahead of the highly anticipated Fed decision, with IT stocks dragging indices lower. A rate cut could bring temporary relief, but uncertainty about its impact on the ongoing rally persists. Investors should keep an eye on global cues in the coming days."

😊Thank you for subscribing to our Market Wrap-Up. Stay tuned for tomorrow's update.

Disclaimer: The information provided in this newsletter is for informational purposes only and should not be considered financial advice.

Follow us on Social Media