Shillong, September 24: In the past week, the markets underwent a significant correction, with a brief respite thanks to a holiday celebrating Lord Ganesh’s annual trip.
As per IANS, had it not been for this break, the market’s decline could have been even more pronounced, as it witnessed losses on all four trading days.
The BSESENSEX retreated by 1,829.48 points or 2.70 percent, closing at 66,009.15 points. Simultaneously, NIFTY shed 518.10 points or 2.57 percent, settling at 19,674.25 points. The broader markets followed suit, with BSE100, BSE200, and BSE500 declining by 2.51 percent, 2.37 percent, and 2.33 percent, respectively. BSEMIDCAP experienced a 1.71 percent drop, while BSESMALLCAP was down by 2.04 percent. Several stocks posted substantial losses, including HDFC Bank, which lost 8 percent, and Reliance, which was down by 4.31 percent. These two stocks notably impacted Bank NIFTY due to HDFC Bank’s decline.
The Indian Rupee showed some strength, gaining 25 paisa or 0.30 percent against the US Dollar, closing at Rs 82.93. In contrast, Dow Jones recorded losses for four consecutive days during the week, gaining on only the first day. This followed a hawkish stance from the US Federal Reserve (FED), which decided to maintain interest rates during its Tuesday and Wednesday meetings but indicated the likelihood of at least one rate hike before the year’s end. Dow Jones closed the week with a loss of 654.40 points or 1.89 percent at 33,963.84 points.
The primary market, in contrast, continued to thrive with numerous issues opening. In the previous week, five listings occurred, accompanied by three issues closing for subscription. The upcoming week is poised to witness three IPOs opening and closing during this period.
Jupiter Lifeline Hospitals Limited was the first to list, issuing shares at Rs 735. The share opened at Rs 1,075.25, marking a gain of Rs 340.25. By week’s end, some profit-taking occurred, with the share closing at Rs 1,063.90, a 44.35 percent gain.
R R Kabel Limited, a cable and wire manufacturer, listed its shares at Rs 1,035. The share ended the first day at Rs 1,196.65 and closed the week at Rs 1,180.95, gaining Rs 145.50 or 14.06 percent.
EMS Limited, which listed on September 21, issued shares at Rs 211. The share closed the first day at Rs 279.75 and ended the week at Rs 267.70, marking a gain of Rs 56.70 or 26.87 percent.
Samhi Hotels Limited, with shares issued at Rs 126, closed the week at Rs 143.55, a gain of Rs 17.55 or 13.93 percent.
In contrast, Zaggle Prepaid Ocean Services Limited, which issued shares at Rs 164, saw some profit-taking and closed lower at Rs 158.30, a loss of Rs 5.70 or -3.48 percent.
Issues that closed for subscription included Signature Global (India) Limited, Sai Silk Kalamandir Limited, and Yatra Online Limited.
Upcoming IPOs include Manoj Vaibhav Gems ‘N’ Jewellers Limited, Updater Services Limited, and JSW Infrastructure Limited, each offering unique opportunities for investors.
As we look ahead to the markets in the coming week, it’s important to note that September futures are set to expire. Expect continued volatility and choppiness. With the losses from the previous week, NIFTY futures in the September series have gained only a nominal 14.35 points or 0.07 percent, starting from 19,659.90 points.
Bears have made a resurgence in the series, and support levels could be seen at 19,200-19,250 for NIFTY and 64,600-64,750 for BSESENSEX. The upside appears limited, with opportunities for selling on rallies and cautious buying during significant dips, particularly with a wave of new IPOs absorbing liquidity in the market.