Market Roundup: Sensex, Nifty close in red after hitting record highs as Infosys, TCS trigger slide

Major Indian indices closed in the red on Wednesday, dragged down by IT sector heavyweights Information systems and Tata Consulting Services (TCS). They also snapped their two-session winning streak after hitting new record highs. Skilled hit an all-time high of 25,482.20 before ending the session at 25,377.55, down 41 points or 0.16%, while S&P BSE Sensex It reached a peak of 83,326.38 before settling at 82,948.23, a drop of 131.43 points or 0.16%.

The Nifty traded in a 200-point range amid volatility. India’s fear gauge VIX rose 6.2% to 13.37.

Top winners and losers

The day was one of the bears as the Nifty index showed 33 stocks ending in the red while the remaining 17 in the green. The top gainers were Shriram Finance, Bajaj Finance, Bajaj Finserv, Nestle India and HDFC Bank while the top losers were TCS, Infosys, HCL Technologies, Tech Mahindra and Wipro. Banking Indicator Nifty Bank The Nifty index stood out, closing the day with gains of over 1% and standing at 52,750.40. Banking and financial services sectors were the only gainers among the Nifty sectoral indices. Among the 16 sectoral indices of the Nifty, 11 closed in the red. Apart from Ingenious computing which fell more than 3%, other big losers were Nifty Pharma, Nifty Healthcare and Nifty Oil & Gas which fell as much as 1.53%.Expert opinion

Commenting on the day’s action, Rupak De, Senior Technical Analyst at LKP Securities, said that some traders decided to book profits at higher levels, which caused the market to close about 130 points below its peak of the day. “Of late, Nifty has been moving within a small range. On the downside, there is support at 25,300. If Nifty falls below this level, it could trigger a further decline towards the 24,900-25,000 range. On the upside, 25,500 is acting as a resistance level, which means it may be difficult for the market to move above this point in the near term,” De said. Global Markets
Among major Asian indexes, Japan’s Nikkei 225 and China’s Shanghai Composite closed with gains of 0.5 percent each, while Singapore’s FTSE Straits Times Index ended unchanged, although the bias was negative.

Meanwhile, European markets were in the red as most major indices fell ahead of the US Federal Reserve announcing its monetary policy later today. The UK’s FTSE was down 0.63% around 4 pm India time, while Germany’s Dax was down 0.14%. France’s CAC 40, Spain’s IBEX and the Stoxx 600 were down as much as 0.45%.

Currency Observatory

The Indian rupee rose 0.16% against the US dollar to 83.75, boosted by rising expectations that the US Federal Reserve will start monetary policy easing with a 50 basis point rate cut this week. The benchmark 10-year bond was quoted at 102.2650 rupees, with the yield up 2 basis points to 6.7808%, as traders booked profits on Wednesday.

Impact of crude oil

Crude oil prices were trading higher on Tuesday, with US WTI oil contracts trading at $70.41, down $0.78 or 1.10%, while Brent oil futures were hovering around $72.98, down $0.72 or 0.98%.

Rising crude oil prices do not bode well for stock markets and fuel inflation fears.