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Nifty ends lower ahead of US Federal Reserve interest rate decision

07 Nov 2024 Evaluate

Indian equity benchmark -- Nifty -- witnessed sharp fall on Thursday’s trading session and ended with cut of over a percent amid profit booking by investors. After making a slightly positive start, soon market turned into red amid foreign fund outflows. As per NSE data, Foreign Institutional Investors (FII) were net sellers of Indian equities worth Rs 4,445.59 crore on November 06. Investors were concerned as a SBI report said it sees Q2 real GDP growth slowing down further to 6.5 per cent in the September quarter of this fiscal year. Amid concerns over the country's economic growth rate and if it is slowing down, it expects FY25 growth to come closer to 7 per cent.  

In afternoon session, index remained under selling pressure. Sentiments were negative as RBI Governor Shaktikanta Das stated that capital expenditure spending of the centre and states are picking up but high subsidy outgo is a concern. He said subsidy outgo was very high and government expenditure in the first quarter is pulling down the GDP numbers. In last leg of trade, market continued its weak trade as traders avoided to take risk ahead of US Federal Reserve interest rate decision. 

All the sectorial indices ended in red. The top gainers from the F&O segment were Apollo Hospitals Enterprise, Coromandel International and Gujarat Gas. On the other hand, the top losers Trent, Glenmark Pharmaceuticals and Hindalco Industries. In the index option segment, maximum OI continues to be seen in the 25900 - 26200 calls and 22900 - 23100 puts indicating this is the trading range expectation.

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