Indian Stock Market Update: Nifty and Sensex Slip Ahead of Major Earnings
The Indian stock market witnessed a volatile trading session on Tuesday, with the Nifty and Sensex slipping into the red for the second consecutive session. The Nifty ended at 25,145.50, down 81.85 points or 0.36%, while the Sensex slipped 297.07 points or 0.36% to 82,029.98. The Nifty 50 index witnessed a broad-based profit booking amid a lack of fresh domestic triggers, with weak cues from Asian and European peers dampening investor sentiment.
Global Market Cues
Asian stocks rebounded after three days of losses, as optimism over a potential Federal Reserve interest-rate cut lifted sentiment and outweighed renewed US-China trade tensions. The Hang Seng futures jumped 0.12%, while Japan’s Nikkei jumped 0.74%. Australia’s S&P/ASX 200 was up 0.77%.
The S&P 500 fell 0.16% to close at 6,644.69, while the Nasdaq fell 0.76% to end at 22,521.70. The Dow Jones Industrial Average surged 202.88 points, or 0.44%, to finish at 46,270.46.
Commodity Market Update
Oil prices steadied after falling to a five-month low on Tuesday on expectations for a supply glut and escalating US-China trade tensions. Brent crude traded near $62 a barrel after sliding 1.5% in the previous session, while West Texas Intermediate was below $59.
Gold edged higher toward a record yet again, boosted by an escalation in US-China frictions and bets the Federal Reserve will cut interest rates twice more this year. Silver advanced after a volatile day on Tuesday that saw prices surge to an all-time high above $53.54 an ounce, before tumbling sharply amid signs a historic squeeze is starting to ease.
Corporate Actions and Earnings
Axis Bank, HDFC Asset Management Company, and HDFC Life Insurance Company are among the companies that will release their Q2 earnings today.
Tech Mahindra reported a 5% increase in net profit to Rs 1,194.50 crore, while ICICI Lombard General Insurance Co reported an 18.1% increase in net profit to Rs 820 crore.
Nifty Options and Futures
Nifty October futures are down by 0.49% to 25,185 at a premium of 40 points. Nifty October futures open interest is up by 3.05%. Nifty Options Oct. 20 Expiry: Maximum Call open interest at 26,000 and Maximum Put open interest at 24,000.
Currency Update
The Indian rupee depreciated 9 paise to 88.77 against the US dollar in early trade on Tuesday, weighed down by the broad strength of the American currency in the overseas market.