A week of profit-taking as a hawkish Fed, rising oil prices, and selling by FIIs weigh heavily

By admin

The Indian rupee strengthened at the conclusion of the week, closing September 22 at 82.93, 25 paise higher than when it did on September 15, when it closed at 83.18.

The market was under pressure in the week ending September 22 after hitting record highs the previous week due to selling in most sectors as investors continued to be concerned about the US Federal Reserve’s hawkish stance, increasing US treasury yields, rising crude prices, and ongoing FII selling.

The Nifty50 lost 2.56 percent, or 518.1 points, to end the week at 19,674.25, and the BSE Sensex dropped 2.69 percent, or 1,829.48 points, to conclude at 66,009.15.

HDFC Bank, Zydus Lifesciences, FSN E-Commerce Ventures (Nykaa), UltraTech Cement, Ambuja Cements, Dr. Reddy’s Laboratories, and Wipro all contributed to the BSE largecap index’s 2.5 percent fall. Gianers included Power Grid Corporation of India, Bajaj Holdings & Investment, Punjab National Bank, and Berger Paints India.

The companies GTL Infrastructure, Balmer Lawrie Investment, Jupiter Waggons, Cressanda Solution, PTC India, Jaiprakash Associates, Cochin Shipyard, RACL Geartech, and Music Broadcast were responsible for the BSE smallcap index’s 2% decline. IFCI, KIOCL, EKI Energy Services, AGI Greenpac, PNB Gilts, and Prime Focus, on the other hand, saw gains of 20–37%.

The BSE midcap index decreased by 1.7%. Five to nine percent was lost by Star Health & Allied Insurance Company, Godrej Properties, Glenmark Pharma, PI Industries, Schaeffler India, Dalmia Bharat, Aditya Birla Capital, Emami, Max Healthcare Institute, and Deepak Nitrite. Gains of 5–11% were recorded by Indian Overseas Bank, REC, Power Finance Corporation, UCO Bank, Indian Bank, JSW Energy, and Union Bank of India.

In terms of market value, Reliance Industries lost the most money, followed by ICICI Bank, UltraTech Cement, and HDFC Bank. However, Asian Paints, Power Grid Corporation of India, and Hindustan Unilever saw the greatest increases in their market capitalization.

The Nifty Real Estate index dropped 4.3 percent, Nifty Metal 3.9 percent, Nifty Bank 3.5 percent, and Nifty Pharma dropped 3.3 percent, respectively. However, the Nifty PSU bank index increased by 3.3 percent.

For the seventh week in a row, foreign institutional investors (FIIs) kept selling. While domestic institutional investors (DIIs) purchased shares worth Rs 1,938.94 crore this week, they sold stocks worth Rs 8,681.30 crore.

The Indian rupee showed improvement this week, finishing 25 paise higher at 82.93 on September 22 compared to its closing price of 83.18 on September 15.