The Federal Reserve likely will stick to the business at hand when it wraps up its meeting Thursday with another interest rate cut, but will have its eye on the future against a backdrop that suddenly has gotten a lot more complicated, the CNBC reported earlier in the day.
The Nifty 50 index fell 285 points, or 1.2%, to close at 24,199, while the Sensex shed 836 points, or 1.0%, to end at 79,542.
“Throughout the week, sustained selling was seen from upper levels. Index is taking strong resistance near 24500 zones. On weekly chart Nifty has formed a doji candle which indicates uncertainty for coming days. On the lower side nifty has a strong support near 23800 levels. Index is also trading below all short term moving averages and the current price action suggests that further profit booking may occur before the market finds stability at support levels,” Chandan Taparia, Head, Equity Derivatives & Technicals, Wealth Management, MOFSL said.
Midcap stocks fared relatively better, with the Midcap Index down just 0.5%, outperforming the broader market. The Nifty Bank lost 0.8%, dropping 401 points to 51,917, while the broader market saw a mix of winners and losers.
The market breadth turned negative, with declines outpacing advances by a ratio of 2:1.
In individual movers, Hindalco was the biggest Nifty loser, tumbling 8% after its unit, Novelis, withdrew its short-term EBITDA per tonne guidance of $525 attributing it to the suspension of guidance to tight scrap spreads due to accelerated scrap purchases by China.
Trent fell as much as 8% as its second quarter results were marginally short of elevated expectations..
The broader market saw declines, with pharma stocks under pressure. Glenmark and Alembic Pharma were among the top losers. Gold financers Muthoot and Manappuram also dropped, tracking the recent fall in gold prices.
On the positive side, stocks like Page Industries and Voltas reported solid earnings, with the latter benefiting from its inclusion in the MSCI Global Standard Index.
Shares of Apollo Hospitals Enterprise gained as much as 7% following the company’s September quarter results, which saw margins and profits surpass estimates.
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First Published: Nov 7, 2024 3:43 PM IST