Barometer gauges continue lackluster trade

Pressurized by feeble global cues, key barometer gauges continued to trade lower in morning deals, breaching their crucial 33,900 (Sensex) and 10,200 (Nifty) levels, after US markets saw their worst decline in 8 months with rising Treasury yields and trade-related worries weakening risk appetite for equity investors. Weakness was also visible in the broader markets with the S&P BSE Mid-cap and the S&P BSE Small-cap indices losing over two percent each in trade. The Indian rupee touched a fresh record low of 74.46 per dollar. Oil prices dropped to extend big losses from the previous session as global stock markets suffered a rout. Market participants took note of a report that despite three fortnights organised by the government to clear the goods and services tax (GST) refunds of exporters, input tax credit refund worth Rs 15,000 crore and atleast Rs 8,000 crore of integrated GST refunds are stuck with the government. Sentiments remained cautious with a private report stating that private equity and venture capital (PE/VC) investments in India declined 23% to $6.7 billion in the third quarter of this year as investors adopted a cautious approach. Traders paid no heed to International Monetary Fund (IMF) report that India’s debt is lower than the best or emerging market economies in the world, India’s debt was substantially less than the global debt as percentage of world Gross Domestic Product (GDP).

On the global front, Asian markets were trading in red, after Wall Street suffered its worst drubbing in eight months, a conflagration of wealth that could threaten business confidence and investment across the globe. Back on domestic turf, in scrip specific development, SpiceJet gained on launching daily flights on Delhi-Kishangarh route.

The BSE Sensex is currently trading at 33921.89, down by 839.00 points or 2.41% after trading in a range of 33723.53 and 34063.82. There was 1 stock advancing against 30 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index slipped 2.41%, while Small cap index was down by 2.12%.

The top losing sectoral indices on the BSE were Metal down by 4.05%, Realty down by 3.57%, Basic Materials down by 3.33%, IT down by 2.88% and Bankex was down by 2.61%, while there were no gainers on BSE sectoral front.

The only gainer on the Sensex was ONGC up by 0.40%. On the flip side, Tata Steel down by 5.47%, SBI down by 4.89%, Vedanta down by 4.29%, HDFC down by 3.17% and Indusind Bank was down by 3.09% were the top losers.

Meanwhile, Union Minister Suresh Prabhu has said that the government will soon unveil an air cargo policy, and a vision document is being proposed to ensure sustainable growth of the Indian aviation sector for all times to come. India is one of the world's fastest-growing aviation markets and has been registering double-digit growth for nearly four years.

Highlighting that security, safety, convenience and affordability are the key aspects, Prabhu said the aviation vision for 2035 would address all the issues so that they will have a sustainable growth in air travel in India for all times. He also said that the ministry is preparing 'Vision 2035' document for the civil aviation sector.

The minister further mentioned about using new technologies to protect a person and his privacy. He said “I think we should think about new technologies on how we should protect privacy and the person... How we are going to do that will be another interesting challenge in the future. I am sure we will be able to address it.” Noting that technology itself is not a solution, he pitched for bringing in best of technology use with best of human mind.

The CNX Nifty is currently trading at 10198.15, down by 261.95 points or 2.50% after trading in a range of 10138.60 and 10219.55. There were 5 stocks advancing against 45 stocks declining on the index.

The top gainers on Nifty were HPCL up by 2.16%, Bharti Infratel up by 1.39%, BPCL up by 0.92%, Zee Entertainment up by 0.89% and ONGC was up by 0.10%. On the flip side, Indiabulls Housing Finance down by 8.18%, Tata Steel down by 5.49%, Bajaj Finserv down by 5.22%, Hindalco down by 4.98% and SBI was down by 4.90% were the top losers.

All Asian markets were trading in red, KOSPI fell 76.20 points or 3.54% to 2,152.41, Straits Times slipped 82.77 points or 2.71% to 3,048.71, Shanghai Composite dropped 118.40 points or 4.54% to 2,607.44, Nikkei 225 lost 962.18 points or 4.27% to 22,543.86, Jakarta Composite decreased 106.17 points or 1.86% to 5,714.50, Hang Seng declined 974.50 points or 3.86% to 25,218.57 and Taiwan Weighted was down by 621.88 points or 6.32% to 9,844.95.