SENSEX and NIFTY50 trade flat, broader markets outperform, Britannia hits five month low and slips below 200-DMA

Indian equity benchmark indices displayed volatility in the early deals, swinging between gains and losses. By midday, however, both the NIFTY50 and SENSEX managed to hold onto modest gains, each up by 0.04% as of 12 pm on Tuesday, November 12.

Meanwhile, the Nifty Bank index was trading slightly lower, down by 0.05% below the 51,850 mark. Additionally, India VIX dropped by almost 1%, falling below the 14.20 level around noon. It is now trading up by 2.87%.

The fall in the India VIX index indicates that market participants are becoming less apprehensive, which is driving renewed buying interest across the broader market indices. Reflecting this, the Nifty Midcap 100 and Smallcap 100 indices, were trading higher at around 12 pm, up by 0.28% and 0.71%, respectively. They are currently trading down by 0.54% and 0.45%, respectively. The outperformance in the broader indices strengthened overall market breadth, with 1,315 stocks advancing compared to 1,011 declining.

Despite the outperformance by the broader market indices, concerns persist for the domestic market. The US dollar has surged to a four-month high, and FIIs have continued their sell-off, offloading ₹22,156.41 crore month-to-date. These factors could weigh on market momentum going forward.

Among the NIFTY50 index constituents, 26 stocks declined, while 24 showed gains. ICICI Bank (+0.28%) and Bharti Airtel (+0.76%) provided crucial support, helping the index stay in positive territory.

On the other hand, HDFC Bank (-2.48%) and Britannia (-6.1%), exerted pressure. Shares of Britannia have slipped below their important long-term moving average, the 200-DMA, reaching a fresh five-month low. The decline in price is due to the company's disappointing Q2 results, where net profit registered a decline.

On the sectoral front, indices traded with a mixed performance. Nifty Realty (+0.95%) and Nifty IT (+0.37%) emerged as the top-performing sectors, while Nifty Auto (-1.65%) and Nifty FMCG (-0.1%) were among the top losers.