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Nifty extends losses for fifth consecutive day

25 Oct 2023 Evaluate

Indian equity benchmark -- Nifty -- ended Wednesday’s trading session in a negative terrain, ahead of October F&O expiry. Index made a slightly positive start, as traders took some support with exchange data showing that Foreign Institutional Investors (FIIs) bought equities worth Rs 252.25 crore on Monday. Some support also came in as a finance ministry report stated that India will remain the fastest-growing major economy in the world in 2023-24 fiscal on the back of strong domestic fundamentals and benign inflation expectations. The report emphasised that India’s macroeconomic outlook for fiscal 2023-24 is bright and is solidly underpinned by strong domestic fundamentals.

In late morning session, index erased all of its initial gains and traded on a lower note till the end, as some concern came with a study by rating agency Crisil found that higher growth in vegetable demand relative to supply in the recent past has led to an upward trend in inflation, with spikes becoming more frequent. It said vegetable inflation has been the most volatile in the food category, in fact. The street overlooked Union Minister Dr Jitendra Singh’s statement that the governance reforms initiated by the government since 2014 have a far reaching positive social impact. Finally, index ended with losses of 159.60 points.

Most of the sectorial indices ended in red except Metal and PSU Bank stocks. The top gainers from the F&O segment were Delta Corp, Torrent Pharmaceuticals and National Aluminium Company. On the other hand, the top losers were Shriram Finance, Metropolis Healthcare and Godrej Properties. In the index option segment, maximum OI continues to be seen in the 19400 - 19600 calls and 18900 - 19100 puts indicating this is the trading range expectation.

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