Indian Market Closes Lower; Adani Ports, IndusInd Bank and HUL Decline

Indian Market Closes Lower; Adani Ports, IndusInd Bank and HUL Decline

Indian markets closed lower on Friday as US and European markets were trading low for the last couple of sessions. BSE Sensex closed 505 points lower and NSE Nifty was down by 166 points. Indian markets traded negative for most part of the session but there was buying support at lower levels. During the final hour of trade, markets witnessed quick decline as US futures were trading low. European markets closed negative on Friday. US markets recovered on Friday after decline during the early session.

Market participants are looking forward to a healthy correction over the last few sessions. While markets have been hovering around all-time highs and making fresh highs in every session, the mood was certainly bullish. The bulls were in total control over the last few sessions and any decline was seen as buying opportunity. Finally, on Friday we witnessed decline across the board. Majority of stocks closed lower on Friday, and this could be start of a correction next week. But, if global trends remain positive next week, we could also see Indian markets trading in a narrow range. Indian stocks are expected to wait for European and US Futures trend on Monday. The volatility in the US markets will be mainly due to expected rate hike by US Federal Reserve in July.

Drone manufacturer ideaForge Technology IPO listed on Friday with strong performance. The IPO offered primary market investors above 90 percent returns as the stock closed at Rs 1297 amid strong investor interest. Today was the day of ideaForge Technology. The company registered strong close even as market were trading weak.

(The video showcases ideaForge Ninja UAV. The image shows ideaForge Technology team)

Dabur reported strong quarterly numbers but the stock closed lower. Titan Industries reported strong first quarter performance and the stock closed positive. Praj Industries stock was trading firm after the company announced joint venture with Indian Oil for biofuel production. Pharmaceutical major Cipla announced voluntary nationwide recall for six batches of Albuterol Sulfate Inhalation Aerosol.

Liquor stocks closed negative after Karnataka government announced proposal to increase excise duty on Indian-made liquor by 20 percent.

Among major gainers in today’s trade were Tata Motors, Titan, Mahindra & Mahindra, SBI Life and Cipla. This week was important for two-wheeler manufacturers. Bajaj Auto and Hero MotoCorp launched bikes in premium segment, challenging Royal Enfield. While Bajaj Auto and Hero MotoCorp were among gainers, Eicher Motors lost ground as Royal Enfield faces a stiff competition in the upcoming quarters. Olectra Greentech received Rs 10,000 crore order for electric buses from Maharashtra Government. The stock closed 18 percent higher.

Pharmaceutical counters were in demand this week with Aurobindo Pharma touching yearly high. Granules India and Glenmark Pharma were also among gainers on weekly basis.

Among major losers in today’s session were Adani Ports, Apollo Hospitals, IndusInd Bank, NTPC, Tech Mahindra, Britannia, Bajaj Finance, HCL Technologies and Divis Labs. Asian Paints, ICICI Bank, Grasim, Tata Consumer Products and Infosys Technologies closed the day in negative territory.

Indian markets are still witnessing strong buying at lower levels. Many stocks are currently enjoying high valuations but investors are putting fresh funds considering future performance of these companies. Majority of blue-chip companies reported strong quarterly results for March 2023 and investors are looking forward to strong performance for June quarter as well.