Stock Market :Sensex & Nifty Slip Into Red

Markets open in red as Sensex plunges over 100 points at 62,807; Nifty at 18,658.

Indian benchmark indices Sensex and Nifty50 started the week on a mixed note, reflecting the mixed openings in Asian markets. SGX Nifty, an early indicator of the direction that market may take, rose 0.17% prior to the markets opening.

Benchmark NSE Nifty50 index was down 92.2 points at 18603.9, while the BSE Sensex was down 324.95 points at 62543.55.

Sensex opened 3 points lower at 62,865 while the 50 stock Nifty50 opened 23 points higher at 18,720. Among the 50 stocks in the Nifty index, 10 were trading in the green, while 40 were in the red.

Earlier, India reported a rise in its forex reserves for the third consecutive week. The Reserve Bank of India reported $550.14 billion in forex reserves during the week ending November 25, up by $2.89 billion from the previous week.
Brent crude oil prices were up 1.16% at $86 per barrel after the OPEC+ decided to stick to its existing policy of reducing oil production by 2 million barrels per day from November until 2023 end.

Asian and US markets had a mixed week, while the US Fed chair Jerome Powell’s commentary suggested that slower rate hikes are possible, the jobs data could act against those hoping for slower rate hikes.

Sectorally, Nifty metal was the biggest winner as it jumped over 1 per cent, followed by PSB and realty indices. Minor declines were seen in others.

Internationally, brighter outlook lifted Asian markets with Hong Kong leading the way, jumping more than 3 per cent while Shanghai put on more than one percent. There were also gains in Tokyo, Sydney, Seoul, Singapore, Taipei and Manila.

Amongst the key events to watch out for this week will be the Reserve Bank of India’s Monetary Policy Committee’s rate.

The RBI’s monetary policy announcement, which is scheduled on Wednesday, will also be a hot topic for Indian stock markets. Interest rates are anticipated to increase by a more modest 35 basis points to 6.25 per cent by the Reserve Bank of India.