Last Updated: January 27, 2023, 16:05 IST
Indian shares fell more than 1 per cent to a three-month low on Friday, as banks continued to lead the market lower. The BSE Sensex cracked 874 points to close at 59,331, its lowest level since Oct 21, 2022 when it ended at 59,307. The NSE Nifty dropped to 17,604 with a massive loss of 288 points.
The drop in Indian stocks was in contrast to their Asian peers, which hit a near nine-month-high after strong US economic growth data eased recession worries.
Auto stocks were among the few bright spots domestically, rising over 2 per cent.
Index heavyweight Tata Motors surged 8 per cent after its first quarterly profit in two years due to strong demand and as its luxury car unit, Jaguar Land Rover (JLR), turned profitable.
“Long liquidation spree on Wednesday eased off without threatening 17800, retaining hopes of revival. Such hopes will be strengthened, if 18000 is reclaimed early in the day. This should put Nifty back into a neutral territory, with intermittent upswings, but expect distribution to reemerge, if we get back to the 18120 region right away. We will look for a rise above 18200 consolidation in the sun 17940 region to back upsides,” said Anand James – Chief Market Strategist at Geojit Financial Services.
Global Cues
Stocks in Asia gained Friday, following US equities higher after a rally in tech shares helped investors shake off mixed economic data that suggested a path to a soft landing, but the risk of recession persists. An Asian equity gauge was headed for a fifth week of gains and its highest close since April.
Wall Street ended a choppy session higher on Thursday as investors grappled with an onslaught of economic data and a string of mixed corporate earnings, all while eyeing the clock as it ticks down toward next week’s Federal Reserve monetary policy meeting. While all three major U.S. stock indexes advanced, megacap momentum stocks, buoyed by Tesla Inc’s earnings beat and upbeat sales forecast, helped put the Nasdaq in the lead.
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