Daily Markets Wrap - Sep 23, 2022 - HDFC Securities

Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Nifty ended in the red for the third consecutive session on Sept 23 driven down by weak global cues. Nifty opened flat and started to fall from the opening time. It made an intra day low at 1430 Hrs and a minor recovery followed. At close, Nifty was down 1.725% or 302.5 points at 17327.1.

Volumes on the NSE were the lowest since Sept 12. Among sectors, all ended in the negative with Realty, Power, Banks, Capital Goods and Telecom being loss leaders. Broader markets fell more with Midcap and Smallcap indices falling 1.92-2.28% and advance decline ratio ended in the negative at 0.24:1.

Global stocks hit two-year lows on Friday and bonds faced an eighth weekly loss, as investors digested the prospect of a far more aggressive rise in U.S. interest rates. Asian and European equities headed for deep weekly losses as rising interest rates across the globe threaten to sharply curtail economic growth, weighing on risk appetite and as surveys showed the downturn in business activity across the euro zone and Britain deepened this month. Goldman Sachs Group Inc. slashed its year-end target for the S&P 500 Index to 3,600 from 4,300, citing a higher interest-rate path from the Federal Reserve, while strategists gave up on a year-end rally for European stocks as private-sector activity in the region continued to contract.

After remaining resilient against the global weakness in equities, Nifty gave in over the past three sessions. Nifty fell sharply for the second consecutive week (down 1.16%), breaking some key technical levels on the way. 17166 is the next support for the Nifty post which a sharper fall could ensue. 17490 could be the resistance for the Nifty in the near term.

Source : Equity Bulls

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DailyMarketsWrap HDFCSecurities Nifty Sensex