Sensex slips to 311 after initial rally of 287 points as interest rate hike worries surface

by Ana Lopez

(From Trade Representative)
MUMBAI: Domestic equity markets opened the session today with the BSE benchmark Sensex and NSE benchmark Nifty gaining 287.62 points and 60.15 points respectively, with interest rate and inflation concerns surfacing, with selling pressure mounting especially in energy, banking and finance sectors. At the end of the session, Sensex closed down 311.03 points and Nifty 99.60 points at 60,691.54 and 17,844.60, respectively, as index heavyweights Reliance, HDFC Tivens, ICICI Bank, Maruti Suzuki and Kotak Bank remained bearish. had been
Today, the Bombay Stock Exchange’s 30-share benchmark Sensex opened at 61,112.84 on a correction note against last Friday’s close of 61,002.57, ending at a high of 61,290.19 and a low of 60,607.02, ending 311.03 points from the previous close. Or it was closed at the level of 60,691.54 with a decrease of 0.51 percent. Similarly, the National Stock Exchange’s 50-share benchmark Nifty opened at 17,965.55 on a correction tone against last Friday’s close of 17,944.20 and settled in a range of 17,818.40 to 18,004.35 during the session, ending 99.60 points from the previous close. Or it was closed at the head of 17,844.60 with a decrease of 0.56 percent.
The minutes of the US Federal Reserve’s last policy meeting, to be announced next Wednesday, surfaced fears that the Federal Reserve may indicate to maintain an aggressive hike in interest rates. However, despite the positive trend in Asian markets today, the benchmarks have come under pressure as results are likely to be dampened by a slowdown in demand, especially due to interest rate hikes domestically, said Vinod Nair, head of research at Geojit Financial Services. In addition, Ajit Mishra, Vice President, Technical Research Department, Religare Broking said that apart from fear of increase in interest rates and inflation, energy, banking and finance sector stocks are retreating in the benchmark due to the allegations against the Adani group. Meanwhile, out of 30 shares under the Sensex today, 12 shares closed higher and 18 closed lower. HDFC and Maruti Suzuki were the biggest losers of 1.33% today. It was followed by Kotak Mahindra Bank by 1.26 percent, ICICI Bank by 1.18 percent, State Bank of India by 1.09 percent and Titan by 1.09 percent respectively, while among the major gainers Ultratech Cement by 1.75 percent, Tac Mahindra by 1. .35 percent, Powergrid Corporation gained 0.91 percent, Tata Motors gained 0.67 percent, Infosys gained 0.62 percent and HCL Technologies gained 0.47 percent. Also, a decrease of 0.16 percent in the small cap index and 0.12 percent in the midcap index at BSE was seen today.
Further, in the sectoral indices of the Bombay Stock Exchange today, only the IT, Technology and Auto indices saw an improvement of 0.51 per cent, 0.32 per cent and 0.24 per cent respectively. Apart from this, all the indices closed lower mainly Basic Materials Index by 3.05 percent, Consumer Discretionary Goods and Services Index by 2.40 percent, Finance Index by 1.55 percent, Oil and Gas Index by 1.12 percent, Bankex by 1. .06 percent and the energy index was down by 0.99 percent. In Asian markets today, markets in Japan, South Korea, Hong Kong and China closed on an improving tone, while European markets witnessed a soft trend during the mid-session. Moreover, there was a soft trend in the dollar index in the global market today. However, Brent crude oil futures today were quoting at around $83.79 per barrel, up 0.95 percent from the previous close, while foreign institutional investors in the local equity market last Friday traded Rs. 624.61 crore net sales, the exchange said in preliminary data.

Cipla’s Pithampur unit shares fall by up to 7% as USFDA receives eight observations
New Delhi: After the inspection by the American drug regulator USFDA at its Pithampur unit in Madhya Pradesh, the director has sent a ‘Form 483’ to the company with eight observations. 956.20 and the price at NSE fell by 6.87 per cent to Rs. 955.25 was being quoted. However, at the end of the session BSE and NSE fell by 6.02 percent to 964.05 and Rs. 964 remained closed.
The US Food and Drug Administration (USFDA) last The company said in a regulatory filing to the Bombay Stock Exchange that it conducted Current Good Manufacturing Practices (CGMP) inspections at the company’s manufacturing units from February 6 to 17. However, at the end of the investigation, Form 483 has been sent to the company with eight observations. However, the company is working with the USFDA and the specified issues will be resolved within the stipulated time frame. It is noteworthy that when at the end of the investigation the investigator finds that certain conditions have been violated in the manufacturing process, the USFDA sends a Form 483 to the management of the company which includes his findings.

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