Benchmark indices broke psychological levels in trading amid widespread selling amid losses in banking, metal and realty stocks.
The Sensex broke below 60,000 and fell sharply to a low of 59,778, while the Nifty fell below 18,000 to a low of 17,799.
The BSE Sensex was down 1,159 points (1.9%) at the closing bell.
Meanwhile, the NSE Nifty fell 354 points (down 1.9%).
IndusInd Bank and L&T were among the top gainers today.
On the other hand, Adani Ports and ITC were among them Today’s Top Losers.
At the time of writing the news, SGX Nifty was trading at 17,905 with a fall of 311 points.
The BSE Midcap index and BSE Smallcap index ended with losses of 1.4 per cent and 1.6 per cent, respectively.
The sectoral index ended on a negative note with selling pressure in the realty sector, banking sector and power sector.
Shares of IndusInd Bank and Grindwell Norton hit their respective 52-week highs today.
US stock futures is trading on a flat note today and Dow futures is trading up 26 points.
Rupee is trading at 74.92 against the US dollar.
Gold prices are trading lower by 0.1% for the latest contract on MCX ₹47,927 per 10 grams.
Here are four factors that caused the Indian stock market to crash today:
Weak global cues: Asian stock markets were seen selling today, extending the fall on Wall Street as investors await monetary policy decisions from the Bank of Japan and the European Central Bank (ECB) later in the day.
The Hang Seng and Shanghai Composite ended 0.3% and 1.2% lower, respectively. Nikkei closed down 1% in today’s trading session.
FII Outflow: One of the main reasons for this decline in the market is the continuous sell-off by Foreign Institutional Investors (FIIs).
According to NSE data, FIIs sold ₹Shares worth 1.9 billion on Wednesday.
Inflation concerns: Inflation and slowdown in global growth are other concerns amid costly valuations.
India’s central bank may have eased inflation concerns, but price pressures may soon resurface.
On 8 October 2021, the Reserve Bank of India reduced the inflation forecast for the current financial year to 5.3% from its earlier estimate of 5.7%.
However, while the central bank has forecast inflation at 5.2 per cent for the next fiscal, its projections suggest consumer prices may rise by the March quarter.
Benefit Booking: Apart from the above, losses were also witnessed as the stock market succumbed to profit-booking.
Most of the profit-booking was seen in the realty and banking sector today, with stocks like ICICI Bank and Adani Ports dragging the benchmark index lower.
We will keep you updated on how these factors evolve and their impact on the Indian stock markets in the coming days. stay tuned!
In news from the finance sector, Bajaj Finserv was one of the top buzzing stocks today.
Company reports 13.8% rise in consolidated net profit after Bajaj Finserv share price jumped 1.3% ₹11.2 billion on a 19.6% increase in total income ₹180 billion in the September quarter of 2022 compared to last year.
Profit before tax in Q2FY22 was ₹27.9 billion, up 29.5% from ₹21.6 billion in the same period last year.
Bajaj Finserv said that after the disruption caused by the second wave of the pandemic, business improved due to the economy’s reopening, rapid vaccination and policy support in most states.
The non-bank lender said the business has now focused on growth and remains ‘cautiously optimistic’ about its prospects for the remainder of the current fiscal.
The company’s subsidiary Bajaj Allianz General Insurance reported a 28 per cent year-on-year growth in its net profit. ₹4.3 billion in the quarter. Gross written premium of business up 21% y-o-y ₹50.3 billion in the quarter.
Bajaj Allianz Life Insurance also reported a solid quarter of earnings as new business premiums grew 62% year-on-year ₹22.3 billion in the quarter. Renewal premiums rose 22% in the quarter, while gross written premiums climbed 42%.
Bajaj Finserv is the holding company for various financial services businesses under the Bajaj Group.
Share price of Bajaj Finserv fell 0.2% at the end of the day on BSE.
Speaking of stocks, here is an example of the four stages that a stock goes through during its life cycle. The cycle repeats itself after the stock has passed through all these stages.
see full image
This cycle defines everything in the markets. If you master this cycle, nothing can stop you from making huge profits.
Moving on to the news from the IPO space…
approx price ipo ₹70 billion will open in the first week of November
Initial Public Offering (IPO) The season is back with a bang as the three companies prepare to start their bidding process for public listing.
Policybazaar, Sigachi Industries and SJS Enterprises seek to fully mobilize ₹66.3 billion in the first week of November. All three IPOs will open on November 1 and close on November 3.
Meanwhile, investors await the announcement of the IPO dates of fintech players Paytm, MobiKwik and edible oil maker Adani Wilmar, which may also open in November.
PB Fintech, the parent company of online fintech marketplace Policybazaar and Paisabazaar, is coming up with an IPO next week. The issue size of the IPO is ₹57.1 billion.
While Hyderabad-based manufacturer of cellulose-based excipients, Sigachi Industries, is looking to increase ₹1.3 billion by selling 7.7 million shares. The company is engaged in manufacturing of Microcrystalline Cellulose, a polymer widely used in the pharmaceutical industry for finished dosage forms.
SJS Enterprises, one of the leading players in the Indian decorative beauty products industry, will also open its IPO on 1 November 2021 along with Policybazaar and Sigachi Industries. IPO consists of a pure offer for sale (OFS). ₹7.1 billion by Evergraph Holdings and ₹900 million by KA Joseph.
How all these IPOs turn out to be successful remains to be seen.
This article is syndicated from equitymaster.com
Don’t miss a story! Stay connected and informed with Mint.
download
Our App Now!!
.