Markets open lower, IT stocks drag NIFTY below 22,000
Upstox
2 min read • Updated: March 22, 2024, 10:13 AM
Summary
Indian markets witnessed a negative opening on Friday morning, primarily due to selling pressure in IT stocks. Meanwhile, US markets are positive after hitting fresh lifetime highs, as buoyancy continues after the US Federal Reserve hinted at three rate cuts in 2024.
Indian markets opened 0.3% lower on Friday morning, largely led by selling pressure in IT stocks. This comes after Ireland-based Accenture PLC cut its earnings guidance to 1-3% for FY24 from 2-5% projected earlier. The company reported sluggish demand in IT spending amid high interest rates in the US.
The Asian markets also gave up early gains and traded in the red, with the Hang Seng index falling nearly 3%, the most among its peers. Similarly, Japanese markets fell after hitting fresh lifetime highs and we're trading 0.4% lower. Meanwhile, the US markets continued their rally on Thursday, hitting fresh lifetime highs. The Dow Jones and Nasdaq closed 0.6% and 0.2% higher, respectively, giving up early gains.
Back home, the broader indices opened mixed, with the NIFTY Smallcap 100 index trading positive with 0.2% gains on Friday morning. Meanwhile, NIFTY midcap 100 is trading 0.1% lower, owing to selling pressure in midcap IT stocks as well.
On the sectoral indices front, NIFTY Realty (+1.1%) and NIFTY Pharma (+0.8%) are the top sectoral gainers, while NIFTY IT (-3.3%) is the top loser.
Stocks to watch
Infosys (-2.5%), HCL Tech (-4.3%), and Tech Mahindra (-1.5%) are trading lower after Accenture PLC cut its revenue guidance from 2-5% to 1-3% for FY24, citing a slowdown in client IT spending.
TCS (-1.8%)signed a multi-million dollar partnership deal with Ramboll, a global architecture and engineering consulting firm. Read more.
Wipro (-3.1%) incorporates the new SDVerse entity with General Motors and Magna International.
Gensol Engineering bags the largest solar EPC order from a leading power-generation company in Maharashtra for ₹520 crore.
Mazagon Dock will lease land and buildings measuring 14.55 acres from the Mumbai Port Authority for ₹354 crore for 29 years.
Sarda Energy's subsidiary JV gets a Letter of Intent for a licence for an iron ore block in Maharashtra for an area of 1,526 hectares.
Prestige Estates acquires 62.5 acres of land for ₹468 crore in NCR for an integrated township.
IREDA will consider a borrowing programme of up to ₹24,200 crore for FY25 on March 28, 2024.