Nifty closes above 17,300; FMCG shines, IT drags

Britannia, Nestle, and Maruti Suzuki emerged as the top gainers amongst Nifty 50 stocks while Tech Mahindra, Infosys & Wipro remained weak.

Market update at 3.30 PM: Indices recovered from their lows and Nifty closed above the 17,300 level. The benchmark index slipped 1.40 per cent on Monday while Sensex tanked 861 points. Nifty Midcap and Nifty Smallcap also witnessed selling pressure as they plunged 0.83 per cent & 0.98 per cent, respectively.  

FMCG was the only sector that was trading higher. Meanwhile, IT, media, and financials were under pressure.   

Britannia, Nestle, and Maruti Suzuki emerged as the top gainers amongst Nifty 50 stocks while Tech Mahindra, Infosys & Wipro remained weak.   

Nifty formed a bullish candle on the daily timeframe, which indicates buying at lower levels. Meanwhile, the focus shall be on the world market to anticipate the overall trend.

Market update at 2.15 PM: Indices have recovered from their day’s low as Nifty is currently trading at 17,350 level. It has jumped nearly 200 points from its day’s low. Sensex is currently down by 700 points while the mid-cap and small-cap indices also witnessed some buying at lower levels.  

FMCG stocks like Britannia, Nestle, and Tata Consumer Products have emerged as the top gainers. Meanwhile, India VIX has surged over 7 per cent. 

Market update at 11.10 AM: Indices are experiencing strong selling pressure with Nifty dipping below the 17,300 level and Sensex losing over 930 points. Nifty Midcap and Nifty Smallcap also plunged 1.22 per cent & 1.56 per cent, respectively.  

It is a broad-based sell-off as most of the sectors have plummeted while FMCG is flat. IT, metals, financials, and energy are the worst affected.   

Tech Mahindra, Infosys, and HCL Technologies are the top losers from Nifty stocks while HUL, Britannia & Tata Consumer Products are the top gainers.   

The advance-decline ratio stands at 448:1,508, which indicates a firm grip of the bears over the market.   

Market update at 9.35 AM: Indices have opened sharply lower and trading with volatility. Nifty has plunged 1.50 per cent and trades at 17,250 while Sensex tanked 1,000 points. Nifty Midcap and Nifty Smallcap are also under pressure as they slipped 1.52 per cent & 1.96 per cent, respectively.  

All sectors are in deep red while India VIX has soared over 10 per cent.   

Pre-market update: The global markets have witnessed a sharp sell-off, freshly triggered by US Fed Chairman Jerome Powell's hawkish statement regarding the economic outlook and inflation. In his speech at Jackson Hole symposium, the Chairman stated that prolonged rate hikes are needed in order to bring down the soaring inflation, which can come at a cost of putting "pain" on the economy.
The world markets reacted negatively to this news as Nasdaq crashed 4 per cent on Friday and Dow Jones tanked over 1,000 points. The US futures plunged over a per cent on Monday morning while many Asian economies witnessed over 2 per cent gap-down. SGX Nifty indicates a loss of 400 points, which is a gap-down of more than 2 per cent.
Brent crude has crossed above the 100-level mark as fear of supply cuts offset recession demand.

The focus would be set on Reliance Industries as it is set to hold its forty-fifth AGM on Monday.
In the last trading session, the FIIs sold to the tune of Rs 51 crore while the DIIs bought equity worth Rs 453 crore.
Nifty is likely to open near 17,250, and India VIX is expected to soar. It remains to be seen whether the index sees a recovery or not.