The benchmark indices opened in the red on the stock market today (October 5). At 09:16 AM, the Sensex was down 72.08 points or 0.12 percent at 59,227.24, and the Nifty was down 23 points or 0.13 percent at 17,668.30. About 12,23 shares have advanced, 642 shares declined, and 110 shares are unchanged.
The BankNifty was down 183.05 points or 0.49 percent at 37,396.60 points.
After slumping to 59,127.04 in the opening session, the 30-share Sensex was trading 102.49 points or 0.17 percent lower at 59,196.83. Similarly, the Nifty fell 28.60 points or 0.16 percent to 17,662.65.
Bajaj Finserv was the top loser in the Sensex pack, shedding over 1 percent, followed by Sun Pharma, Dr Reddy’s, Tech Mahindra, HCL Tech and ICICI Bank.
On the other hand, Maruti, Bharti Airtel, PowerGrid and HUL were among the gainers.
In the previous session, the 30-share index ended 533.74 points or 0.91 per cent higher at 59,299.32, and Nifty surged 159.20 points or 0.91 per cent to 17,691.25.
Foreign institutional investors (FIIs) were net buyers in the capital market as they purchased shares worth Rs 860.50 crore on Monday, as per exchange data.
Sharp decline in US stocks
The dollar eased and a gauge of global equity markets fell on Monday as investors worried about the potential for renewed US-China trade tensions, stalled talks in Congress and rising inflation as oil prices surged to multi-year highs.
The Dow Jones Industrial Average fell 0.94 percent to 34,002.92, the S&P 500 lost 1.30 percent to 4,300.46 and the Nasdaq Composite dropped 2.14 percent to 14,255.49 as investors dumped Big Tech stocks in the face of rising Treasury yields.
Asian stocks down in early trade
Japanese shares tumbled to one-month low on Tuesday as spikes in oil prices stoked further worries about inflation and monetary tightening globally.
Nikkei share average fell 2.97 percent to 27,602.33, piercing below 27,865, its 76.4 percent retracement of its rally from lateAugust to September, with next support at 26,954, its August 20 low.
Japan’s services sector activity shrank for a 20th straight month in September as the coronavirus pandemic continued to weigh on sentiment, though the pace of decline eased from the sharp contraction seen in August.
The final au Jibun Bank Japan Services Purchasing Managers’ Index (PMI) rose to a seasonally adjusted 47.8 from the previous month’s 42.9, slightly better than a 47.4 flash figure.
OPEC+ to hike oil output
OPEC+ agreed on Monday to stick to an existing pact to hike oil output by 400,000 barrels per day (bpd) in November, despite consumer calls for more crude and surging prices that threaten an economic recovery from the pandemic.
OPEC+ ministers "reconfirmed the production adjustment plan" previously agreed for adding 400,000 bpd in November, the group said in a statement issued after their online ministerial talks.
Factory orders up but US economic growth slows in third quarter
New orders for US-made goods accelerated in August, pointing to sustained strength in manufacturing even as economic growth appeared to have slowed in the third quarter because of shortages of raw materials and labor.
The Commerce Department said on Monday that factory orders increased 1.2 percent in August. Data for July was revised higher to show orders rising 0.7 percent instead of gaining 0.4 percent as previously reported. Orders have now increased for four straight months.
Economists polled by Reuters had forecast factory orders gaining 1.0 percent. Orders shot up 18.0 percent on a year-on-year basis.
Dollar drifts below one-year high
The US dollar drifted below a one-year high versus major peers on Tuesday as traders waited on key US payrolls data at the end of the week for clues on the timing of a tapering of Federal Reserve stimulus and the start of interest rate hikes.
The US dollar index was about flat at 93.845, easing back slightly since peaking Thursday at 94.504, its highest since late September 2020.
RBI gives licence to NARCL
The Reserve Bank on October 4 gave licence to the Rs 6,000 crore National Asset Reconstruction Company Ltd (NARCL), a move that will help kickstart operations of the bad bank. NARCL was incorporated in July in Mumbai following registration with the Registrar of Companies (RoC).
"Happy to share #RBI has given License to #NARCL on 4.10.2021. The approval has been accorded under Section 3 of #SARFAESI Act 2002," Indian Banks' Association (IBA) CEO Sunil Mehta tweeted.
Realty sales up 92%
Home sales have recorded a 92 percent growth in volume over the last one year with 64,010 units being delivered in the third quarter of 2021, according to an agency study.
Hyderabad and Kolkata have seen the strongest recovery to the pre-COVID levels in terms of sales as well as launches, the report by Knight Frank India said.
No stocks are in F&O Ban today.
