FIRST TRADE: Sensex drops 100 pts, Nifty below 18,750; IT stocks fall, FMCG gains
Stock market today: The S&P BSE Sensex opened 100 points lower at 63,124.10 levels while the NSEs Nifty was 18,742.40, down 13.50 points, or 0.072 per cent.
Stock market today: As anticipated, the domestic benchmark indices opened with around 0.20 per cent cuts on Thursday. The S&P BSE Sensex opened 100 points lower at 63,124.10 levels while the NSE's Nifty was 18,742.40, down 13.50 points, or 0.072 per cent.
“Domestic equity bourses are likely to struggle in early Thursday trades amid weakness in SGX Nifty after US markets closed mixed overnight. Although the Fed left rates unchanged, it has kept the window open for another 50 bps hike in key rates for the year in case inflation remains sticky, which could probably spoil the party for investors who were hoping for a more dovish comment. With uncertainty over policy rates hanging around, the market may remain choppy with strong bouts of intra-day volatility, even as selective buying would continue as an ongoing theme. Technically, the markets may rally only above the all-time high level of 18888, while the make-or-break support for Nifty is seen at the 18553 mark," said Prashanth Tapse, Senior VP (Research), Mehta Equities.
In the broader market, the S&P BSE MidCap index traded 0.31 per cent higher at 28,132.84 levels and the S&P BSE SmallCap index was also trading 0.31 per cent higher at 32,112.42 points.
What's Buzzing?
Healthcare stocks rallied the most in the morning trade. The S&P BSE Healthcare index traded 1.16 per cent higher. FMCG stocks were next on the list. The S&P BSE Fast Moving Consumer Goods index was trading around half a per cent higher at 18,615.01 levels. Apex Frozen Foods (up 4.5 per cent) was the top gainer on the index. On the other hand, IT stocks once again were under pressure.
Global markets
Asian stocks braked around two-month highs on Thursday, while the dollar nursed modest losses, after the US Federal Reserve chose not to hike interest rates for the first time in 17 months, even if it opened the door to more hikes ahead, Reuters reported. The Fed left its benchmark funds rate window at 5-5.25 per cent, and chair Jerome Powell said the US central bank needed to gather more information about the economy to determine what to do next.
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