Nifty 50 Down 0.38%, Sensex Drops 0.47%; Nifty Financials Snap 12-Day Winning Streak

Market Update at 4:15 PM: On Friday, September 19, Indian equity benchmark indices ended lower, snapping a 3-day winning streak. The Nifty 50 closed down 96.55 points, or 0.38 per cent, at 25,327.05, while the Sensex fell 387.73 points, or 0.47 per cent, to 82,626.23. Profit-booking in financial and IT stocks dragged the indices. India VIX, the market’s volatility indicator, closed below 10 for the first time, hitting a record low of 9.39.

Despite the day’s decline, the Nifty 50 extended gains for the third consecutive week, rising 0.85 per cent. Sectoral performance was mixed, with 5 out of 11 indices closing higher, while Nifty IT fell 0.47 per cent, ending its 3-day positive run. Broader markets remained firm, as the Nifty Midcap 100 added 0.04 per cent and the Smallcap 100 advanced 0.15 per cent, notching its 11th straight session of gains.

All Adani Group stocks closed higher after SEBI dismissed some of the allegations made by short-seller Hindenburg Research. Adani Enterprises surged 5.8 per cent, and Adani Power jumped more than 12 per cent. However, the Nifty Financial Services index fell 0.64 per cent, ending its 12-day winning streak, with SBI Card as the top loser.

Among individual movers, JSW Energy gained 1.43 per cent after completing the takeover of GE Power’s boiler business through a share swap deal. The Nifty PSU Bank index was the top gainer of the day, rising 1.28 per cent with all 12 constituents advancing.

In terms of Nifty 50 contributions, Bharti Airtel (+11.31 points), Adani Enterprises (+7.24 points), and State Bank of India (+6.95 points) supported the index, while HDFC Bank (-33.31 points), ICICI Bank (-30.20 points), and Reliance Industries (-11.06 points) were the top drags.

Market breadth remained positive, with 1,601 stocks advancing, 1,427 declining, and 105 unchanged out of 3,133 traded on the NSE. A total of 67 stocks hit 52-week highs, while 31 touched 52-week lows. Additionally, 98 stocks were locked in upper circuits, and 46 were in lower circuits.

Market Update at 12:30 PM: Indian stock markets paused their three-day winning streak on Friday as profit booking emerged at higher levels. At 12 PM, the BSE Sensex was trading at 82,540, down 474 points or 0.57 per cent. The Nifty50 slipped 123 points or 0.48 per cent to 25,300.

Adani Group stocks were in focus, soaring up to 8 per cent. The rally was led by Adani Power, Adani Enterprises, Adani Green, and Adani Ports. The surge came after the Securities and Exchange Board of India (Sebi) closed proceedings against Adani group companies, Group Chairman Gautam Adani, and related entities in cases linked to fund diversion, related-party transactions (RPTs), and fraud.

On the Sensex, Adani Ports, State Bank of India, Asian Paints, NTPC, and Sun Pharma were the Top Gainers, advancing up to 1.24 per cent. In contrast, Titan Company, HDFC Bank, HCL Tech, ICICI Bank, and Infosys were among the top laggards, slipping up to 0.35 per cent.

In the broader market, the Nifty Midcap 100 and Nifty Smallcap 100 indices were trading with marginal gains of 0.03 per cent each. Sector-wise, Nifty PSU Bank led the pack with gains of 1.47 per cent, followed by Nifty Media, Pharma, and Oil & Gas indices, which advanced up to 0.50 per cent. On the other hand, Nifty Private Bank and Nifty Auto indices declined, shedding up to 0.80 per cent.

Market Update at 10:00 AM: India’s equity benchmarks opened marginally lower on Friday after a recent rally driven by a U.S. rate cut and progress in India-US trade talks. Market participants took a cautious stance despite strong gains in the last three sessions.

Shares of Adani group companies surged between 0.7 per cent and 11.3 per cent after the Securities and Exchange Board of India (SEBI) dismissed two charges levelled against billionaire Gautam Adani and his companies by U.S.-based short-seller Hindenburg Research. The regulator’s decision provided relief to investors and helped lift Large-Cap stocks in the group.

As of 09:15 a.m. IST, the Nifty 50 eased 0.04 per cent to 25,414.35, while the BSE Sensex fell 0.11 per cent to 82,919.72. The 50-stock index had gained 1.4 per cent and the Sensex rose 1.5 per cent over the last three sessions, boosted by optimism over the US rate cut and prospects of progress in trade talks.

Market breadth showed a mixed trend, with ten of the 16 major sectors opening higher. The broader indices, including Small-Cap and Mid-Cap stocks, traded largely flat, reflecting selective buying.

Pre-Market Update at 7:30 AM: Equity benchmark indices Sensex and Nifty 50 are expected to open on a cautious note on Friday, September 19, amid worries over US tariffs despite strong global cues. At 7:17 AM, the GIFT Nifty was trading near 25,473, down by 43 points.

India’s Chief Economic Adviser (CEA) V. Anantha Nageswaran said he expected a resolution to the tariff stand-off with the US within two months. He noted that Washington could roll back the additional 25 per cent tariff imposed on New Delhi for buying Russian oil. Meanwhile, SEBI cleared the Adani Group of allegations made by US short-seller Hindenburg Research, stating that fund transfers between group companies did not violate any regulations.

On Thursday, September 18, Foreign Institutional Investors (FIIs) were net buyers, purchasing equities worth Rs 366.69 crore. Domestic Institutional Investors (DIIs) also bought shares worth Rs 3,326.56 crore. DIIs have been consistent net buyers for the past 18 consecutive trading sessions, supporting large-cap and mid-cap stocks.

On September 18, the Sensex and Nifty 50 extended their winning streak to three sessions after the US Federal Reserve cut its benchmark rate by 0.25 per cent and signalled the possibility of two more cuts this year. The Sensex rose 320 points (0.39 per cent) to 83,013.96, while the Nifty 50 gained 93 points (0.37 per cent) to 25,423.60. The BSE Midcap index added 0.36 per cent, while the Smallcap index closed flat.

US markets ended at record highs on Thursday, with the S&P 500 up 0.48 per cent to 6,631.96, the Nasdaq Composite up 0.94 per cent to 22,470.73, and the Dow Jones Industrial Average gaining 124 points (0.27 per cent) to 46,142.42. Investor sentiment improved after the Fed’s rate-cut signal, with smaller companies driving gains. In Asia, markets traded higher, while Japan reported a 2.7 per cent rise in August inflation, in line with expectations but slower than July’s 3.1 per cent.

In other global developments, US jobless claims fell by 33,000 to 231,000 for the week ending September 13. The Bank of England kept its interest rate steady at 4 per cent and slowed quantitative tightening, cutting gilt sales to £70 billion from £100 billion annually. Spot gold dipped 0.1 per cent to USD 3,638.75/oz. WTI crude hovered near USD 63.6 per barrel, while Brent traded around USD 67.5 per barrel, after US calls for lower prices tempered supply concerns.

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Disclaimer: The article is for informational purposes only and not investment advice.