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Nifty ends in negative terrain on Friday

09 Jun 2023 Evaluate

Indian equity benchmark -- Nifty -- ended Friday’s trading session on a lower note, dragged by losses in PSU banks, FMCG and IT stocks. After making a positive start, soon index traded below the neutral line, as investors remained on sidelines ahead of macro-economic data -- industrial production and retail inflation -- to be release on June 12. Traders were cautious with a private report stating that hiring activities have slowed down by 7 per cent in May compared to the same month last year mainly due to companies adopting cautious approach to cut expenses on the back of economic slowdown.

Index extended its losses in afternoon session, as traders remained cautious amid a private report stating that the Reserve Bank of India (RBI) may not cut the key lending rate before February unless inflation falls sharply or a global crisis unfolds. Meanwhile, in the direction of realizing the Prime Minister Narendra Modi’s vision of ‘Sahkar Se Samridhi’, the Government of India has taken important decisions which will increase the income of Primary Agricultural Credit Societies, as well as increase the employment opportunities in rural areas and farmers will be able to get fertilizers, pesticides, seeds and agricultural machinery at the local level. Finally, index ended with losses of 71.15 points.

Most of the sectorial indices ended in red except Private Bank and Realty. The top gainers from the F&O segment were India Cements, Hindustan Aeronautics and Tata Communications. On the other hand, the top losers were Indian Energy Exchange, SRF and Voltas. In the index option segment, maximum OI continues to be seen in the 18900 - 19100 calls and 17900 - 18100 puts indicating this is the trading range expectation.

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