On Thursday, September 21, domestic equity benchmarks Sensex and Nifty extended their losses for the third consecutive session. The market experienced a widespread selloff, influenced by weak global cues. Global equities declined after the US Federal Reserve decided to keep the overnight interest rate unchanged at a 22-year high of 5.25% to 5.50% and indicated an expectation to raise rates once more this year to combat inflation. Nifty 50 closed with a loss of 159 points, or 0.80%, at 19,742.35, while the Sensex ended at 66,230.24, down 571 points, or 0.85%. Both indices were down more than 2% for the week, following a 2% gain each and all-time highs the previous week.
Mid and small-cap stocks underperformed the benchmarks, with the BSE Midcap index falling 0.99% and the small-cap index dropping 0.98%. Banking and auto stocks were the biggest losers among sectoral indexes, with the bank index and autos both declining 1.7%, while the public sector bank index dropped 2.2%.
Vinod Nair, Head of Research at Geojit Financial Services, commented on the market’s performance, stating that the domestic market declined due to the hawkish stance of the Fed chair and the prolonged high-interest rate trajectory, which is not positive for a slowing global economy. He noted that PSU banks and mid and small caps were the hardest hit due to stretched valuations and concerns about yield moderation. Rising oil prices and erratic rainfall also contributed to investor caution in the market.
Here are the top gainers and losers in the trading session on September 21st:
**Sensex:**
Top gainers: Tech Mahindra (1.46%), Asian Paints (0.83%), Infosys (0.80%), Bharti Airtel (0.78%), and Hindustan Unilever (0.29%)
Top losers: Mahindra & Mahindra (-3.08%), ICICI Bank (-2.81%), State Bank of India (-2.12%), IndusInd Bank (-2.02%), and Kotak Mahindra Bank (-1.89%).
**Nifty50:**
Top gainers: Adani Ports (1.74%), Tech Mahindra (1.43%), Dr. Reddy’s Laboratories (1.10%), Asian Paints (1.05%), and Bharti Airtel (1.02%)
Top losers: Mahindra & Mahindra (-2.88%), ICICI Bank (-2.81%), Cipla (-2.47%), State Bank of India (-2.20%), and IndusInd Bank (-2.04%).
**BSE:**
Top gainers: KSB Ltd (14.04%), EKI Energy Services (10.15%), Nava Ltd (9.19%), Gujarat Ambuja Exports Ltd (7.28%), and Syrma SGS Technology (4.33%)
Top losers: SJVN (-13.05%), Greenlam Industries (-6.53%), Cressanda Solutions Ltd (-6.31%), DB Realty (-6.18%), and NHPC (-5.83%).
**NSE:**
Top gainers: STL Global Ltd (20%), Jindal Photo Ltd (20%), Prime Focus Ltd (15.34%), Murudeshwar Ceramics Ltd (14.76%), and KSB Ltd (13.45%)
Top losers: SJVN (-12.26%), Greenlam Industries (-7.09%), DB Realty (-6.63%), Bannari Amman Sugars Ltd (-6.35%), and Bannari Amman Sugars Ltd (-5.82%).
Ajit Mishra, SVP – Technical Research at Religare Broking Ltd., suggested that Nifty has tested the short-term moving average (20 EMA) and retraced nearly fifty percent of the recent upmove. While it may take a breather, the upside appears limited due to the underperformance of select heavyweights. He recommended staying stock-specific with a focus on risk management.
