Indian Stock Market Falls Amid Caution Before Q3 Earnings

“Indian market dips as financial and IT stocks fall. Caution prevails before Q3 earnings with foreign fund outflows adding to the downward trend.”

ahead of market 10 things that will decide stock market action on thursday

On Thursday, the Indian stock market closed lower, with important financial and tech companies seeing a lot of selling. This drop happened as overseas investors pulled out money and many people were careful in their trading, especially with big company earnings reports coming soon.

The BSE Sensex fell by 528.28 points, or about 0.68%, ending the day at 77,620.21. The Nifty 50 index also dropped, losing 162.45 points, or about 0.69%, and closing at 23,526.50.

Market Analysts Speak Out

Vinod Nair, who studies market trends at Geojit Financial Services, said that the Indian market’s fall was similar to what was seen in other Asian markets. Investors were worried after U.S. bond prices dropped, which caused the yield on U.S. 10-year Treasury bonds to rise to its highest level since April 2024. This suggests that fewer interest rate cuts by the U.S. Federal Reserve could be coming.

China’s inflation numbers also disappointed investors, showing that their recent money-boosting efforts aren’t working well.

In India, one bright spot was the Fast-Moving Consumer Goods (FMCG) sector, which did better, while most other sectors went down. Analysts expect only small improvements in earnings for the upcoming quarter, so they’re cautious.

Global Market Overview

U.S. stock markets were closed because of a day of mourning for former President Jimmy Carter. Meanwhile, European stocks gained a little as mining companies went up, even though retailers struggled. People are worried about rising prices and how U.S. politicians will manage the economy, which pushed bond yields higher this week.

Technical Analysis

The Nifty index managed to stay just above a key support level of 23,500. However, if it falls below this level, it could indicate a downward trend. Vatsal Bhuva, a technical analyst at LKP Securities, said that if the Nifty holds this support, it might just stay stable, but that there is resistance at 23,800, which could limit any price increase. Traders should keep a close eye on these levels as it could decide the market’s next moves.

Most Active Stocks

Many stocks were actively traded on Thursday. HDFC Bank topped the list with a turnover of Rs 3,371.25 crores, followed by SRF Ltd and Reliance Industries with Rs 2,734.87 crores and Rs 1,608.89 crores, respectively.

Most Active in Volume

In terms of shares traded, Vodafone Idea led with 33.89 crores of shares, followed by YES Bank with 7.16 crores. Zomato and others also saw high trading volumes.

Stocks That Saw Buying Interest

Some stocks like SRF Ltd and Navin Fluorine were in high demand from buyers.

Market Sentiment

Overall, market sentiment remained negative. Out of 4,067 stocks traded on the BSE, 2,826 saw declines, 1,144 advanced, and 97 stayed flat.

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