Bourses add losses in late afternoon session

Key benchmark indices added losses in late afternoon session as losses in Metal and IT stocks. Traders were cautious ahead of the US Federal Reserve's interest rate decision. Besides, India's manufacturing activity in October slipped to the lowest in eight months. The Manufacturing Purchasing Managers' Index (PMI) fell to 55.5 in October, compared to 57.5 in September. It is the lowest since March when the PMI was 55.7. On the global front, Asian markets were trading mostly in green with Japanese markets leading regional gains after the Bank of Japan loosened its grip on government bond yields. Middle East worries persisted and Chinese manufacturing data disappointed, helping limit overall gains in the region. European markets were trading higher with investors awaiting the next interest rate decision from the U.S. Federal Reserve.

The BSE Sensex is currently trading at 63659.41, down by 215.52 points or 0.34% after trading in a range of 63566.45 and 63896.05. There were 7 stocks advancing against 23 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index declined 0.07%, while Small cap index was up by 0.06%.

The top gaining sectoral indices on the BSE were Telecom up by 1.69%, Realty up by 1.44%, Oil & Gas up by 0.48%, Healthcare up by 0.43%, Consumer Discretionary up by 0.05%, while Power down by 0.95%, Utilities down by 0.93%, Metal down by 0.93%, Basic Materials down by 0.73% and Bankex was down by 0.42% were the top losing indices on BSE.

The top gainers on the Sensex were Sun Pharma up by 2.42%, Reliance Industries up by 0.71%, Mahindra & Mahindra up by 0.63%, Bajaj Finserv up by 0.60% and Tata Motors up by 0.41%. On the flip side, Asian Paints down by 1.68%, Nestle down by 1.53%, Maruti Suzuki down by 1.47%, NTPC down by 1.14% and JSW Steel down by 1.12% were the top losers.

Meanwhile, India's manufacturing sector growth eased further in the month of October, as there were substantial, albeit slower, increases in total new orders, production, exports, buying levels and stocks of purchases. Hiring activity faded and business confidence slipped to a five-month low. According to the report, the seasonally adjusted S&P Global India Manufacturing Purchasing Managers’ Index (PMI) eased to 55.5 in October 2023 from 57.5 in September 2023.

The report further noted that output increased further at the start of the third fiscal quarter, stretching the current sequence of expansion to over two years, due to positive market conditions and healthy intakes of new work. However, growth eased to an eight-month low, weighed by competitive pressures and weak demand at some plants. Besides, granular data highlighted a particularly marked slowdown in the consumer goods sub-sector.

On the price front, both input costs and output charges increased, but inflation of the former accelerated while factory gate charges rose to a weaker extent. Goods producers sought to add to their inventories and meet production schedules by purchasing additional materials in October. The rate of input buying growth was sharp, though the slowest in eight months. Meanwhile, business sentiment remained firmly inside positive territory, but slipped to a five-month low amid concerns surrounding the path for inflation and demand.

The CNX Nifty is currently trading at 19014.45, down by 65.15 points or 0.34% after trading in a range of 18985.95 and 19096.05. There were 18 stocks advancing against 32 stocks declining on the index.

The top gainers on Nifty were Sun Pharma up by 2.31%, BPCL up by 2.30%, Hindalco up by 1.16%, Bajaj Auto up by 1.13% and Reliance Industries up by 0.75%. On the flip side, Adani Enterprises down by 2.99%, Coal India down by 2.08%, Adani Ports down by 2.05%, Asian Paints down by 1.68% and UPL down by 1.68% were the top losers.

Asian markets were trading mostly in green; Nikkei 225 surged 742.8 points or 2.35% to 31,601.65, Taiwan Weighted added 37.29 points or 0.23% to 16,038.56, KOSPI increased 23.57 points or 1.02% to 2,301.56, Straits Times rose 11.37 points or 0.37% to 3,079.11 and Shanghai Composite was up by 4.31 points or 0.14% to 3,023.08. On the flip side, Hang Seng declined 10.7 points or 0.06% to 17,101.78 and Jakarta Composite was down by 94.65 points or 1.42% to 6,657.56.

European markets were trading higher; UK’s FTSE 100 increased 11.27 points or 0.15% to 7,332.99, France’s CAC rose 21.22 points or 0.31% to 6,906.87 and Germany’s DAX was up by 40.74 points or 0.27% to 14,851.08.