1 hr ago
Indian Markets Flat as Fed Hike Weighs, NSE IPO Opens
Indian shares ended Thursday almost unchanged.
The Sensex went down slightly, while the Nifty rose a little.
Investors were careful after the US Federal Reserve raised interest rates.
The Fed also suggested that rates could rise again this year.
Higher US rates can make investors less willing to buy shares in other countries.
Selling by foreign investors also limited gains in India.
Banks and technology companies were weaker than some other sectors.
Meanwhile, the National Stock Exchange of India began its large IPO, which was 39% subscribed on its first day.
The BSE Sensex fell 21.86 points, or 0.03%, to 74,314.59, while the NSE Nifty gained 53 points, or 0.23%, to 23,270.60.
Investor caution followed the US Federal Reserve’s 25-basis-point rate hike and signal that another increase could come this year.
Weakness in private-sector banks and information technology stocks limited gains, while select sectors saw buying.
Foreign Institutional Investors sold equities worth Rs 2,032.61 crore on Wednesday.
The National Stock Exchange of India’s Rs 22,569-crore IPO was 39% subscribed on its first day.
- Who
- Indian equity investors, the US Federal Reserve, Foreign Institutional Investors, and the National Stock Exchange of India.
- What
- Indian benchmark indices closed nearly flat as the NSE’s Rs 22,569-crore IPO opened and attracted 39% subscription on day one.
- Where
- Indian stock markets; the IPO was offered through the National Stock Exchange of India.
- When
- Thursday; the cited foreign-investor selling occurred on Wednesday.
- Why
- Investors remained cautious after the US Federal Reserve raised rates and signalled possible further tightening, while foreign selling capped gains.
Key facts
- Sensex close
- 74,314.59, down 21.86 points or 0.03%
- Nifty close
- 23,270.60, up 53 points or 0.23%
- Federal Reserve move
- Interest rates raised by 25 basis points
- NSE IPO size
- Rs 22,569 crore
- NSE IPO subscription
- 39% on the first day
- Foreign investor selling
- Rs 2,032.61 crore on Wednesday
- Brent crude
- Down 1.61% to $104.1 per barrel
Quotes
Hariselvan Radhakrishnan
Founder and CEO of HST Wealth, a research analyst firm
“Indian equities ended mixed on Thursday after a range-bound session. The Nifty edged up to 23,270, while the Sensex slipped marginally to 74,314 and Bank Nifty declined to 56,055. Selective buying supported the Nifty, but weakness in private-sector banks and IT stocks limited the broader recovery.”
rediff.com
“As the decision was largely anticipated, it failed to trigger a major sell-off. However, the US 10-year Treasury yield was near 5 per cent and continued foreign selling capped domestic gains.”
rediff.com
Sources
Related news
Indian Stocks Mixed as Fed Hike, NSE IPO Shape Trading
US Fed Rate Hike May Pressure Indian Stocks, Analysts Say
GIFT Nifty Signals Cautious Start After Fed Rate Hike
Nifty, Sensex Open Higher as Rupee Slips Past 96
Indian Markets Open Higher as Global Cues Boost Sentiment
Indian Markets Face Fed, Oil and West Asia Risks
NSE Launches £1.76bn IPO After Decade-Long Wait
NSE Reports Millions of Cyberattacks, No Successful Breaches
NSE official highlights retail growth, diversification and commodity opportunities
NSE IPO Opens as Grey Market Premium Signals Weaker Gains
