Markets extend opening losses in early deals; Tata Motors zooms 6%

Indian equity markets made flat-to-negative start on Tuesday amid mixed cues from global markets. Domestic indices soon extended their losses and are trading lower with around half a percent cut in early deals as index heavy weight TCS reported lower-than-expected profit for the third quarter ended December 2022 (Q3 FY23), however, the revenue figures were ahead of estimates. The management flagged the challenges in Europe as clients tightened spending due to rough economic conditions. Sustained selling by FIIs also weighted down on the local markets. Foreign institutional investors (FII) net sold shares worth Rs 203.13 crore on January 9, as per provisional data available on the NSE.

On the global front, Asian markets are trading mixed, following the weak cues from Wall Street overnight, as traders remain cautious after comments from US Fed officials that the central bank will have to keep raising rates to somewhere above 5 percent. Back home, insurance industry stocks were in focus as data released by Life Insurance Council showed that the NBP of life insurance companies came in at Rs 26,838.29 crore, up 10% year-on-year (YoY). In stock specific development, Tata Motors was top gainer on indices with over 6% gains as the retail sales of automaker Jaguar Land Rover rose 5.9 per cent YoY in Q3FY23 reflecting a ‘gradual improvement in chip supplies’.

The BSE Sensex is currently trading at 60361.97, down by 385.34 points or 0.63% after trading in a range of 60358.12 and 60809.65. There were 9 stocks advancing against 21 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index fell 0.27%, while Small cap index was down by 0.13%.

The top gaining sectoral indices on the BSE were Metal up by 0.82%, Auto up by 0.50%, Healthcare up by 0.27%, Oil & Gas up by 0.14%, Realty up by 0.09%, while TECK down by 1.27%, IT down by 1.25%, Bankex down by 0.73%, PSU down by 0.45%, Telecom down by 0.39% were the top losing indices on BSE.

The top gainers on the Sensex were Tata Motors up by 6.01%, Tata Steel up by 1.32%, Power Grid up by 1.10%, Mahindra & Mahindra up by 0.64% and Sun Pharma up by 0.61%. On the flip side, TCS down by 2.46%, Infosys down by 1.27%, HDFC Bank down by 1.23%, HDFC down by 0.94% and SBI down by 0.93% were the top losers.

Meanwhile, expressing confidence that India will be the third largest economy in a few years from now, Commerce and Industry Minister Piyush Goyal has said huge investment opportunities are there in India due to its large domestic consumption demand, rule of law and transparent economy. He added India is a land of opportunity, and the Indian diaspora should take this message to the world.

He said ‘India offers huge opportunities due to its large domestic consumption demand, democracy, rule of law and transparent economy’. He urged everyone to take this message to the world that India is the trusted partner in the supply chain and investment portfolio.

He also called the diaspora for promoting made-in-India products and presenting India's investment opportunities to investors in the US. He said transformational reforms that India witnessed over the last few years have made India the world's fifth-largest economy.

The CNX Nifty is currently trading at 18012.25, down by 88.95 points or 0.49% after trading in a range of 18003.60 and 18127.60. There were 20 stocks advancing against 30 stocks declining on the index.

The top gainers on Nifty were Tata Motors up by 6.05%, Hindalco up by 1.33%, Tata Steel up by 1.32%, Power Grid up by 1.22% and ONGC up by 1.11%. On the flip side, TCS down by 2.44%, Eicher Motors down by 1.43%, Hero MotoCorp down by 1.29%, HDFC Bank down by 1.23% and Infosys down by 1.19% were the top losers.

Asian markets are trading mixed; Straits Times fell 30.90 points or 0.93% to 3,274.77, Hang Seng slipped 73.37 points or 0.34% to 21,314.97, Jakarta Composite lost 90.35 points or 1.35% to 6,597.92 and Shanghai Composite was down by 5.67 points or 0.18% to 3,170.41. On the other hand, Nikkei 225 surged 205.57 points or 0.79% to 26,179.42, Taiwan Weighted rose 10.24 points or 0.07% to 14,762.45 and KOSPI was up by 8.82 points or 0.38% to 2,359.01.