SSPL WEALTH PVT LTD

Mid - Session

Market behaviours during the course of the trading session.

Sensex, Nifty extend decline; FMCG shares fall for 3rd day

20-Jan-22 14:28 Hrs IST

The domestic equity barometers tumbled further amid a sharp selloff in mid-afternoon trade. The Nifty was trading below the 17,700 mark.

At 14:27 IST, the barometer index, the S&P BSE Sensex, was down 856.67 points or 1.43% to 59,242.15. The Nifty 50 index lost 240.20 points or 1.34% to 17,698.20.

Persisting concerns over rising global inflation and the impending rate hikes by the US Fed triggered sharp selloff in the domestic markets for the third day.

In the broader market, the S&P BSE Mid-Cap index shed 0.18%. The S&P BSE Small-Cap index slipped 0.01%.

The market breadth was negative. On the BSE, 1629 shares rose and 1735 shares fell. A total of 86 shares were unchanged.

Asian Paints was up 0.05% to Rs 3282.75. The company's consolidated net profit fell 18.49% to Rs 1,031.29 crore on a 25.61% surge in revenue from operations to Rs 8,527.24 crore in Q3 FY22 over Q3 FY21.

On a segmental basis, revenues from Paints grew 25.38% YoY to Rs 8,319.42 crore while that from Home Improvement soared 36.42% YoY to Rs 209.26 crore in Q3 FY22.

Amit Syngle, the managing director (MD) and chief executive officer (CEO) of Asian Paints, said, The domestic decorative business registered yet another strong double-digit growth performance, five quarters in a row, with an 18% volume growth, on a strong base of the previous year.”

Numbers to Track:

The yield on India's 10-year benchmark federal paper rose to 6.601% as compared with 6.598% at close in the previous trading session.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 74.4050, compared with its close of 74.4400 during the previous trading session.

MCX Gold futures for 4 February 2022 settlement rose 0.08% to Rs 48,415.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.02% to 95.49.

In the commodities market, Brent crude for March 2022 settlement fell 61 cents or 0.69% to $87.83 a barrel.

Buzzing Index:

The Nifty FMCG index fell 1% to 36,736.10, extending decline for third consecutive session. The index has lost 3.30% in three sessions.

Godrej Consumer (down 3.52%), Hindustan Unilever (down 2.07%), Dabur India (down 1.91%), Emami (down 1.86%), United Spirits (down 1.79%) and Marico (down 1.33%) declined while Radico Khaitan advanced 1.43%.

Global markets:

Markets in Europe edged lower while Asian stocks traded most higher on Thursday.

China on Thursday cut its one-year loan prime rate by 10 basis points, while its five-year LPR, which influences the pricing of home mortgages, was cut by 5 basis points, the first time since April 2020.

Inflation concerns have dominated markets around the world in recent months and investors are nervous over the U.S. Federal Reserve's trajectory for hiking interest rates and tightening its ultra-loose pandemic-era monetary policy.

Wall Street's main indices ended sharply lower on Wednesday after a diverse set of corporate earnings and as investors continued to worry about higher US Treasury yields and the Federal Reserve tightening monetary policy.