Weak global cues maintain pressure on indices; telecommunications sector stands strong amid widespread losses

With 2,152 shares declining on the BSE and 1,488 shares rising, the advance-decline ratio strongly remained in favour of declines.

Market Update at 3:30 PM:  Indian benchmark indices concluded the trading session sharply lower, primarily affected by losses exceeding 1 per cent across power, utilities, capital goods and real estate sectors. However, amid this subdued market sentiment, BSE Telecommunications managed to capture investor attention by registering gains of around 1.35 per cent.

The BSE Sensex tumbled 0.56 per cent to 64,886 level at the close. The Nifty 50 index plunged 0.62 per cent to a level of 19,265. On the BSE Sensex, Bajaj Finance, Asian Paints and Bharti Airtel emerged as the top performers with notable gains, while JSW Steel, IndusInd Bank and Larsen & Toubro emerged as the top market draggers.

The BSE Smallcap index followed the trend of the main indices, registering a decline, whereas the BSE Midcap index faced severe selling pressure, concluding the session with a significant decline of 0.85 per cent.

With 2,152 shares declining on the BSE and 1,488 shares rising, the advance-decline ratio strongly remained in favour of declines.

Market Update at 2:30 PM: Headline indices persist in displaying weakness, while all sectoral indices are experiencing declines. The Nifty PSU Bank and Nifty Realty sectors are encountering the most significant downturns, whereas the Nifty Media and Nifty Oil & Gas sectors are exhibiting relatively milder impacts.

At 2:30 pm, the BSE Sensex is trading at 64,935, representing a 0.49 per cent fall, while the Nifty 50 index is down 0.53 per cent, reaching 19,283. The advance-decline ratio continues to favor declines, with around 1,330 stocks trading lower while 658 stocks are recording gains.

Bajaj Finserv, Jio Financial Services and Oil & Natural Gas Corporation are leading the gainers' list, while Adani Ports and Special Economic Zone, IndusInd Bank and Mahindra & Mahindra are positioned as the noteworthy draggers within the Nifty 50 index.

Today, the Reserve Bank of India has a pivotal meeting with an exclusive assemblage of upper-tier Non-Banking Financial Companies (NBFCs). The objective of the meeting is to enhance communication channels, with NBFCs speculating that the RBI might explore potential measures for recovery and the identification of areas susceptible to stress in asset quality.

Market Update at 12:35 PM: Indian benchmark indices display a partial recovery, buoyed by the resilience of the telecommunications, oil & gas and energy sectors. Nonetheless, as of 12:35 pm, the BSE Sensex is trading at 65,019 level, marking a decline of 0.36 per cent, while the Nifty 50 index experiences a drop of 0.42 per cent, reaching a level of 19,304.

In the midst of a generally weak market, Nifty Media remains a focal point for investors, drawing attention due to its substantial gains. Nifty PSU Bank, Nifty Realty, and Nifty IT, on the other hand, are the hardest hit sectors.

Majority of defence stocks, which initially experienced a robust rally during early trades of the session, are now observing substantial declines due to the weak market sentiments. The optimism was fueled by the Defense Acquisition Council's (DAC) approval of proposals worth Rs 7,800 crore to bolster the operational capabilities of the armed forces.

According to the latest news, the removal of shares of Jio Financial Services has encountered a delay of an additional three days, now set to take place on August 31. The stock's removal from the indices is rescheduled to occur prior to the opening of trading on September 1, 2023.

Market Update at 11:00 AM: Marked by substantial selling pressure, the frontline indices observe a pronounced downturn in the midst of heightened market volatility. Both the BSE Sensex and Nifty 50 are currently trading down nearly 0.70 per cent, primarily affected by significant declines in the banking, real estate, and capital goods sectors.

The broader indices also undergo a substantial decline after reversing their initial modest gains. Maruti Suzuki, Bajaj Finance and Asian Paints are at the forefront of the list of gainers, while IndusInd Bank, Larsen & Toubro and Jio Financial Services are top losers within the BSE Sensex.

Shares of Jio Financial Services are experiencing a roller coaster ride, beginning the session by hitting the lower circuit and subsequently rallying by about 5 per cent due to intense buying interest. However, the stock has once again retraced its gains and is currently trading lower.

Amidst the worsening market conditions, the advance-decline ratio continues to favor declines, with around 1,470 stocks trading lower while only 480 stocks are recording gains.

Market Update at 9:35 AM: Despite a 29-point gain predicted by GIFT Nifty, the Indian leading indices, BSE Sensex and Nifty 50, open 0.38 per cent and 0.45 per cent lower, respectively. The BSE Midcap initiates the session with a 0.11 per cent decline, whereas the BSE Smallcap also opens lower by 0.07 per cent.

Among the sectors, Nifty Media stands out as the sole gainer, whereas Nifty FMCG, Nifty Bank, and Nifty IT are positioned among the leading losers.

Bajaj Finserv, Bajaj Finance, and Adani Ports and Special Economic Zone are leading the gainers' list, while Jio Financial Services, Dr. Reddy's Laboratories, and IndusInd Bank are positioned as the noteworthy draggers within the Nifty 50 index.

Amidst an optimism in the small-cap sector stocks, the advance-decline ratio indicates that around 1044 stocks are moving higher while 773 stocks are registering declines.

Pre-Market Update at 8:05 AM: As anticipation mounted for a crucial address from Jerome Powell, Chairman of the Federal Reserve, the US stock market experienced a significant downturn on Thursday. The initial optimism stemming from an impressive performance by Nvidia, which exceeded expectations, triggered a rapid surge in the technology sector but proved to be short-lived.

The Nasdaq Composite index experienced a sharp decline of 1.87 per cent, whereas the S&P 500 and Dow Jones Industrial Average concluded the session with losses of 1.35 per cent and 1.08 per cent respectively.

Thursday witnessed a fall in oil prices, as Brent crude recorded a decline of 1.2 per cent, reaching $82.22 per barrel. The dip can be attributed to uncertainties surrounding interest rate decisions by the Federal Reserve, coupled with underwhelming economic data from major economies. Meanwhile, the Dollar index saw a 0.42 per cent uptick, reaching 103.86, while the value of a one dollar remained in the vicinity of Rs 82.59.

Indian frontline indices are projected to start the session with a slight upward momentum, based on indications from the GIFT Nifty, suggesting a modestly positive opening for the broader index, with an anticipated gain of 29 points.

On August 24, foreign institutional investors (FII) purchased shares worth Rs 1,524.87 crore, while domestic institutional investors (DII) bought shares worth Rs 5,796.61 crore.