Market Commentary     12-Jun-24
Mid-Session
Barometers edge higher in early trade; breadth strong
The key equity benchmarks traded with moderate gains in early trade. The Nifty traded above the 22,350 mark. Barring Nifty FMCG index all the other sectoral indices on the NSE were traded in green.

At 09:30 IST, the barometer index, the S&P BSE Sensex, was up 282.74 points or 0.35% to 76,719.16. The Nifty 50 index added 93.75 points or 0.40% to 23,358.60.

In the broader market, the S&P BSE Mid-Cap index rose 0.74 % and the S&P BSE Small-Cap index added 0.78%.

The market breadth was strong. On the BSE, 2,339 shares rose and 664 shares fell. A total of 99 shares were unchanged.

Foreign portfolio investors (FPIs) sold shares worth Rs 111.04 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 3,193.29 crore in the Indian equity market on 11 June 2024, provisional data showed.

Economy:

India will remain the fastest-growing of the world’s largest economies, although its pace of expansion is expected to moderate, the World Bank said in its latest biannual Global Economic Prospects. After a high growth rate in FY2023/24, steady growth of 6.7% per year, on average, is projected for the three fiscal years beginning in FY2024/25. Growth is estimated to have picked up to 8.2% in fiscal year (FY) 2023/24 (April 2023 to March 2024)—1.9% points higher than estimated in January.

Growth in industrial activity, including manufacturing and construction, was stronger than expected, alongside resilient services activity, which helped offset a slowdown in agricultural production partly caused by monsoons. Growth of domestic demand remained robust, with a surge in investment, including in infrastructure, offsetting a moderation of consumption growth as postpandemic pent-up demand eased.

Meanwhile, the moderation is mainly due to a slowdown in investment from a high base, the Bank stated. However, investment growth is still expected to be stronger than previously envisaged and remain robust over the forecast period, with strong public investment accompanied by private investment. Private consumption growth is expected to benefit from a recovery of agricultural production and declining inflation. Government consumption is projected to grow only slowly, in line with the government’s aim of reducing current expenditure relative to GDP.

Stocks in Spotlight:

Castrol India advanced 4.17% after the company said that it board has approved the appointment of Kedar Lele as managing director (MD) of the company with effect from 1 November 2024 for period of 5 years.

LTlMindtree added 1.56% after the company announced the inauguration of its regional headquarters in Saudi Arabia’s capital, Riyadh, as part of the expansion in KSA and the Middle East.

Numbers to Track:

The yield on India's 10-year benchmark federal shed 0.04% to 7.011 as compared with previous close 7.014.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 83.5625, compared with its close of 83.5950 during the previous trading session.

MCX Gold futures for 5 August 2024 settlement rose 0.03% to Rs 71,510.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.01% to 105.14.

The United States 10-year bond yield added 0.11% to 4.408.

In the commodities market, Brent crude for August 2024 settlement added 34 cents or 0.42% to $82.26 a barrel.

Global Markets:

Asian stocks traded lower on Wednesday as jitters from US inflation data and the upcoming Federal Reserve decision weighed on markets. The Fed's monetary policy remains a key concern for Asian investors, even with Southeast Asian currencies facing important support levels.

Despite US indices closing at record highs on Tuesday, fueled by Apple's surge, investor focus shifted to today's events. The release of May's Consumer Price Index (CPI) and the Federal Reserve interest rate decision are crucial factors shaping market sentiment. The two-day Fed meeting is expected to maintain current interest rates, which are at a two-decade high.

The S&P 500 gained 0.3% and the Nasdaq jumped 0.9% on Tuesday, with Apple reaching an all-time high. The Dow Jones, however, shed 0.3%.

Previous News
  LTIMindtree fixes record date for final dividend
 ( Market Beat - Reports 29-May-24   10:39 )
  LTIMindtree announces strategic collaboration with Microsoft
 ( Corporate News - 19-Dec-23   18:38 )
  Castrol India launches new range of engine oils for passenger car segment
 ( Corporate News - 10-Jun-24   12:54 )
  LTIMindtree introduces Composable Storefront Quick Launch on Salesforce
 ( Corporate News - 10-Apr-24   14:46 )
  LTIMindtree reports PAT of Rs 1,169 cr in Q3 FY24
 ( Hot Pursuit - 17-Jan-24   17:49 )
  Castrol India standalone net profit rises 9.22% in the June 2023 quarter
 ( Results - Announcements 31-Jul-23   16:17 )
  LTIMindtree registered branch office in South Korea
 ( Corporate News - 19-Oct-23   11:11 )
  LTIMindtree grants 2,672 stock options under ESOS
 ( Corporate News - 17-Jan-24   14:48 )
  LTIMindtree Ltd rises for third straight session
 ( Hot Pursuit - 13-Jun-23   13:05 )
  LTIMindtree appoints company secretary
 ( Corporate News - 11-Dec-23   17:02 )
  LTIMindtree allots 8,273 equity shares under ESOS
 ( Corporate News - 12-Sep-23   09:00 )
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  Market at day’s low, auto shares under pressure
  19-Jul-24   14:43
  Indices trade near day’s low; European mkt decline
  19-Jul-24   13:35
  Nifty slides below 24,650; realty shares under pressure
  19-Jul-24   12:33
  Sensex slides 337 pts; oil & gas shares decline
  19-Jul-24   11:35
  Broader market underperforms; metal shares slide
  19-Jul-24   10:36
  Barometers drift lower; Nifty below 24,800; breadth negative
  19-Jul-24   09:42
  Market at day's high; financial services in demand
  18-Jul-24   14:41
  Sensex breaches 81k; Nifty tops 24,700; European mkt opens higher
  18-Jul-24   13:32
  Indices trade flat; IT shares advance
  18-Jul-24   12:33
  Broader market underperforms; media shares slide
  18-Jul-24   11:36
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