Indian equity benchmarks on Monday traded lower in opening deals amid weak global cues. Investors turned cautious as concerns about slowing economic growth in China.
The world’s top oil importer, outweighed fears of potential supply disruptions from a looming European Union (EU) ban on Russian crude. Also, an expected rate hike by the U.S. Federal Reserve this week hampered sentiment.
At the close of trade on Monday, the NSE Nifty 50 index was down 0.2 per cent or 33.45 points at 17,069.10, while the S&P BSE Sensex fell 0.15 per cent or 84.88 points to 56,975.99. The benchmark indexes fell in the previous session, registering a third consecutive week of losses.
Trends on the Nifty Futures on Singapore Exchange (SGX Nifty) indicated a gap-down start for the domestic indices.
The 30-share BSE Sensex tanked 577 points or 1.01 per cent to 56,484 in early trade, while the broader NSE Nifty moved 177 points or 1.04 per cent down to trade at 16,925.
Mid- and small-cap shares were negative as Nifty Midcap 100 fell 0.45 per cent and small-cap slumped 0.69 per cent.
14 out of the 15 sector gauges — compiled by the National Stock Exchange — were trading in the red. Nifty Consumer Durables and Nifty IT were underperforming the index by falling as much as 1.43 per cent and 1.08 per cent, respectively.
Investor focus will turn to the Fed, which is widely expected to raise interest rates by 50 basis points when its meeting concludes on Wednesday.
Market participants will also watch for signals about the future path for interest rates. The Fed’s plans for reducing its balance sheet and its view on when inflationary pressures will recede.
Stocks in Spotlight:
IndusInd Bank jumped 3.66% after the bank reported 55.4% rise in standalone net profit to Rs 1,361.37 crore on an 6.1% increase in total income to Rs 9,761.89 crore in Q4 FY22 over Q4 FY21.
The bank’s consolidated net profit for the quarter ended 31 March 2022 was Rs 1,401 crore as compared to Rs 926 core during corresponding quarter of previous year, up by 51% YoY.
Shilpa Medicare fell 0.85% after its Analytical Service Division received four observations from USFDA. The facility underwent a United States Food and Drug Administration (USFDA) inspection from 26 April 2022 to 29 April 2022.
The inspection was launched after the company submitted four abbreviated new drug applications (ANDAs) seeking approval to use Nacharam site as alternate testing laboratory.
Astral lost 4.53% after the company announced that its board has the approval to acquire 51% controlling equity stake in operating paint business of Gem Paints for Rs 194 crore.
Britannia’s Q4FY21-22 revenue increased by 13.4% to Rs 3,550 crore and the net profit increased by 5% to Rs 378 crore on a y-o-y basis. Its margin declined by 60 basis points to 15.5%.
Alembic Pharma’s Q4FY21-22 revenue increased by 10.6% and profit declined by 85% to Rs 35.5 crore on a y-o-y basis.
Mahindra Holidays Q4FY21-22 revenue increased by 16.6% to Rs 542 crore. The net profit was at Rs 16.2 crore against net loss of Rs 10.2 crore in the same quarter last ye