Nifty50: 17,412 ▼ 176 (-1.0%)
Sensex: 59,135 ▼ 671 (-1.1%)
Hi there !
Remember Campa Cola?
The iconic soft drink brand is all set to make a comeback. It is being relaunched by Reliance Industries, much to the delight of 80s and even some of the 90s kids!
For the benefit of late millennials and Gen-Zs, Campa Cola was the most popular beverage among Indians in the 70s and 80s, till it was replaced by foreign drinks like Pepsi and Coca-Cola.
Meanwhile in markets, the bulls showed no signs of staging a comeback for the second straight day. Let’s get you all the details.
- After a weak opening, the markets ended lower today.
- Of the Nifty50 universe, 35 stocks declined.
- Weak global cues weighed down the markets. More on that later.
All the Nifty sectoral indices ended in the red, except FMCG (+0.1%). PSU Bank (-2.1%) and Bank (-1.8%) were the top losers.
| Top gainers | Today's change |
| Tata Motors | 436 ▲ 4.6 (+1.0%) |
| NTPC | 180 ▲ 1.5 (+0.8%) |
| Maruti | 8,600 ▲ 58 (+0.6%) |
| Top losers | Today's change |
| Adani Enterprises | 1,894 ▼ 58 (-3.0%) |
| HDFC Bank | 1,588 ▼ 42 (-2.6%) |
| Apollo Hospitals | 4,315 ▼ 103 (-2.3%) |
What’s trending
⭐ Tata Motors’ unit files IPO papers
Shares of Tata Motors (+1.0%) were top gainers in a weak market. This comes after its subsidiary Tata Technologies filed papers with the market regulator SEBI for an initial public offering (IPO). Tata Motors plans to sell around 23.6% of its stake through the IPO route. According to the annual report, Tata Motors owns 74.4% stake in Tata Technologies.
⭐ Thermax to enter green hydrogen space
The energy solution provider (+0.3%) is eyeing green hydrogen opportunities in India and plans to set up manufacturing facilities. The company has signed a pact with Fortescue Future Industries which operates in the green energy space. Both companies will jointly explore projects for commercial and industrial customers.
⭐ KNR Constructions secures new order
The construction company (-0.2%) bagged a new project worth ₹650 crore. The new order involves the construction of a four-lane highway in Karnataka within 24 months.
⭐ Oil slips over rate hike concerns
The oil prices were down 5% this week as fears of further rate hikes mounted. The possibility of more rate hikes has triggered concerns of a global slowdown, which can lead to lower demand for fuel.
In Focus
Why are Indian markets volatile?
After gaining ground in the initial part of the week, the Indian markets have declined sharply over the last two days. The Sensex is down more than 1,000 points in the last two sessions, while the Nifty50 Index is below the ₹17,500-mark.
Let’s take a look at the reasons behind this sharp volatility.
1. Fed fear
The US Fed chairman indicated that the central bank could hike rates further to combat inflation. Following this statement, the street expects the US Fed to take a 0.50% rate hike later this month. This has triggered concerns that the Fed’s aggressive stance could push the global economy into a severe slowdown.
2. Bank run
The rate hike jitters coupled with concerns over financial stability of US-based Silicon Valley Bank (SVB) weighed on financial stocks across the world, including India. Shares of SVB, which is a key lender to start-ups, plunged sharply after it announced a share sale to shore up its finances. Against this backdrop, some startups were reportedly advised to withdraw deposits from the bank. The impact of all this was felt on Indian banks as well with the Nifty Bank index falling 1.8%.
3. Weak global cues
Subdued global market cues further dampened the sentiments in the Indian markets. While the US markets declined around 2% yesterday, Japan’s Nikkie and Hong Kong’s Hang Seng were also down 1.7% and 3.1%, respectively, today.
4. FII turn net sellers
A combination of rate hike fears and the possibility of an economic slowdown has also unnerved the foreign institutional investors. The FIIs were net sellers yesterday, offloading Indian equities worth ₹561 crore.
So, now all eyes will be on upcoming macro data points like the retail inflation in India and the US.
Powerful buying made simple!
Markets often see sharp price movements triggered by positive news or technical patterns. In such situations, you may want to double down on certain high-conviction trades. However, having limited capital could be an obstacle in leveraging such opportunities. With Margin Trading Facility (MTF) on Upstox, you can increase your trading capacity instantly. Click here to know more about MTF.
Benefits of MTF:
🔹Get 2X leverage on equity delivery orders
🔹Borrow up to ₹25,00,000 at a time
🔹Hold stocks bought via MTF for up to 365 days.
Phrase of the day
Going Long
When you buy a stock, futures or an option contract with the hope that its price will rise, it is called going ‘long’. When should you go long, find out from this chapter What does going Long mean?
Click here to join us on Telegram for trading and investment-related videos, daily market updates, details on upcoming IPOs and more.