HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Post Session: Quick Review
Oct-03-2023

Indian equity markets spent entire day in red territory and both Nifty and Sensex ended Tuesday’s session below the psychological 19,550 and 65,600 levels respectively. Investors maintained risk-averse approach ahead of Reserve Bank of India (RBI) interest rate decision, which scheduled to be released on October 06. Weak Asian markets cues also damaged Indian markets sentiments. Some Federal Reserve officials suggested that the U.S. central bank may have to raise its key interest rate higher than previously expected in the current battle against inflation. Markets failed to take support from some positive macroeconomic data. The broader indices, the BSE Mid cap index and Small cap index were ended their day in green. 

Markets made negative start and extended their losses tracking weakness in global peers. Foreign fund outflows also dented sentiments. Traders were worried as a finance ministry report said the government’s total gross debt increased by 2.2 per cent quarter-on-quarter to Rs 159.53 lakh crore in April-June this fiscal. Also, a FIEO report has said India's labour-intensive export sectors such as apparels, marine products, plastics, and gems and jewellery are showing a ‘troubling pattern’ as the country is experiencing a decline in global market share across these segments during the last five years. Markets continued to reel under pressure in afternoon session even after finance ministry said gross goods and services tax (GST) collection rose 10 percent to over Rs 1.62 lakh crore in September 2023, crossing the Rs 1.6 lakh crore mark for the fourth time during the current financial year (FY24), as compared to Rs 1.47 lakh crore in September 2022. Meanwhile, the output of eight core industries rose to a 14-month high of 12.1 percent in August 2023 as against 4.2 percent a year ago, mainly due to expansion in production of coal, crude oil, and natural gas. Indices remained in red till the end, as India's manufacturing sector growth eased in the month of September. According to the report, the seasonally adjusted S&P Global India Manufacturing Purchasing Managers’ Index (PMI) eased to 57.5 in September 2023 from 58.6 in August 2023.

On the global front, European markets were trading mostly in red as investors digested gloomy economic data from the region. Asian markets ended in red as traders await key monthly US employment data later in the week for cues on the outlook for interest rates. Back home, Chief Economic Advisor (CEA) V Anantha Nageswaran said that the country’s economy is poised to grow at an average of 6.5 per cent annually between 2023 and 2030. He said the global economy is going to witness a period of uncertainty, and India has to plug into the global supply chain and make itself attractive for the China-plus one strategy.

The BSE Sensex ended at 65,512.10, down by 316.31 points or 0.48% after trading in a range of 65,344.59 and 65,813.50. There were 11 stocks advancing against 19 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index gained 0.09%, while Small cap index was up by 0.61%. (Provisional)

The top gaining sectoral indices on the BSE were Capital Goods up by 1.01%, Consumer Durables up by 0.81%, Industrials up by 0.63%, Realty up by 0.43% and PSU was up by 0.02%, while Oil & Gas down by 1.30%, Auto down by 1.21%, Energy down by 1.15%, Power down by 0.82% and Metal was down by 0.78% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Bajaj Finance up by 2.04%, Larsen & Toubro up by 1.68%, Titan Company up by 1.50%, Bajaj Finserv up by 1.30% and SBI up by 0.71%. On the flip side, Maruti Suzuki down by 2.46%, NTPC down by 1.83%, Tata Motors down by 1.59%, Sun Pharma down by 1.48% and ICICI Bank down by 1.23% were the top losers. (Provisional)

Meanwhile, India's manufacturing sector growth eased in the month of September, however remained firmly above the no-change mark of 50.0 and its long-run average (53.9), therefore signaling a sharp rate of expansion, on the back of a sharp rise in new orders which underpinned sustained expansions in output, input purchasing and employment. According to the report, the seasonally adjusted S&P Global India Manufacturing Purchasing Managers’ Index (PMI) eased to 57.5 in September 2023 from 58.6 in August 2023. 

The report stated that manufacturers' purchasing of inputs continued to grow at a robust rate that was aligned with those seen for new orders and production. This contributed to another increase in pre-production inventories. Holdings of finished goods meanwhile fell further as companies reportedly fulfilled some orders directly from warehoused items. It further said the growth of new export orders softened from August's nine-month high, but remained sharp. 

On the price front, average prices charged by Indian manufacturers rose at a solid and faster rate that outpaced its long-run average, driven by higher labour costs and demand strength. Indian manufacturers were confident that output volumes would increase over the course of the coming 12 months, with the overall level of positive sentiment improving to its highest in 2023 so far. Buoyant customer appetite, advertising, and expanded capacities all boosted optimism.

The CNX Nifty ended at 19,528.75, down by 109.55 points or 0.56% after trading in a range of 19,479.65 and 19,623.20. There were 13 stocks advancing against 37 stocks declining on the index. (Provisional)

The top gainers on Nifty were Bajaj Finance up by 2.01%, Larsen & Toubro up by 1.64%, Titan Company up by 1.51%, Bajaj Finserv up by 1.35% and Adani Ports up by 0.76%. On the flip side, ONGC down by 3.78%, Eicher Motors down by 2.77%, Hindalco down by 2.58%, Maruti Suzuki down by 2.49% and Dr. Reddy's Lab down by 2.24% were the top losers. (Provisional)

European markets were trading mostly in red; France’s CAC fell 22.18 points or 0.31% to 7,045.98 and Germany’s DAX was down by 54.86 points or 0.36% to 15,192.35. On the flip side, UK’s FTSE 100 was up by 17.03 points or 0.23% to 7,527.75.

Asian markets settled mostly down on Tuesday, tracking mixed Wall Street shares overnight, and after strong US economic data cemented expectations that US interest rates could remain higher for longer than initially expected. Japanese shares slumped amid concerns over rising long-term US yields, while traders also remained on alert for a potential government intervention in currency markets to combat a sustained depreciation in the Japanese currency yen. Hong Kong shares declined after investors returned from a long holiday weekend. Growing concern about China’s weak property market also dampened market sentiments. Meanwhile, South Korean and Chinese markets were closed for holidays. 

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

--

--

--

Hang Seng

17,331.22

-478.44

-2.76

Jakarta Composite

6,940.89

-20.57

-0.30

KLSE Composite

1,420.01

1.25

0.09

Nikkei 225

31,237.94

-521.94

-1.67

Straits Times

3,192.35

-16.51

-0.52

KOSPI Composite

--

--

--

Taiwan Weighted

16,454.34

-102.97

-0.63
  RELATED NEWS >>
Most Viewed >>
April 29 , 2025
Trading in block deal window in T+0 settlement
April 30 , 2025
Sebi cautions investors on opinion trading pla
May 03 , 2025
Bitcoin crosses $97,000 as institutional deman
April 30 , 2025
RBI launches 3 key surveys for monetary policy
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.