Bears feared to loom over today's Muhurat session

The Indian stock market faced renewed pressure on Thursday, raising fears that it may fall back under the influence of bearish trends. Sluggish growth in core industries has heightened worries about overall industrial production, while the increase in GST collections is also showing signs of decline. Additionally, vehicle sales are experiencing weak growth, further contributing to the negative sentiment.

Global markets

The decline in the US market yesterday had a ripple effect across Asia, including India, which is expected to reflect in today’s Muhurta trade. In the derivatives market, the Gift Nifty closed at 24,390, suggesting a bearish start for the Indian market today.

European markets also took a hit on Wednesday and Thursday, with inflation rates surpassing 2 percent, dampening hopes for significant interest rate cuts. The US market saw a sharp decline after Wednesday's minor dip, mainly due to concerns about upcoming earnings reports from major tech companies. Despite better-than-expected after-hours earnings results, futures indicate a mixed sentiment this morning.

On Thursday, the Dow Jones Industrial Average fell by 378.08 points (0.90%) to close at 41,763.50. The S&P 500 lost 108.22 points (1.86%) to finish at 5,705.45, while the Nasdaq index dropped 512.78 points (2.76%) to close at 18,095.20. However, US futures showed slight increases this morning, with the Dow up 0.05%, the S&P 0.11%, and the Nasdaq 0.33%. Today's employment figures will be closely monitored by investors.

Notably, Amazon's ad revenue grew by 19%, and its cloud services experienced significant growth, lifting its stock by more than 5%. Apple shares rose over 2% following a 6% increase in iPhone 16 sales, while Intel's better-than-expected earnings saw its shares climb 7%. Conversely, Microsoft and Meta Platforms contributed to the downward trend during Thursday's trading.

US 10-year Treasuries saw a drop, yielding 4.282%. In Asia, markets were also down, with Japan's Nikkei index falling by 2%.

Indian market

In the Indian market, foreign investors sold a net Rs 4,613.65 crore in the cash market on Wednesday, bringing their total sales in the November series to Rs 5,162.34 crore. Meanwhile, domestic funds and institutions made net purchases of Rs 4,518.28 crore. On Wednesday, the NSE saw 1,819 shares gain, while 942 shares fell.

The Sensex closed down 426.85 points (0.52%) at 79,942.18, and the Nifty ended 126 points (0.51%) lower at 24,340.85. Bank Nifty also faced losses, closing down 513.20 points (0.99%) at 51,807.70. On Thursday, the Sensex fell by 553.12 points (0.69%) to 79,389.06, while the Nifty dropped 135.50 points (0.56%) to 24,205.35. Bank Nifty declined by 332.15 points (0.64%) to close at 51,475.35.

The market sentiment remains bearish, driven by deteriorating earnings and growth concerns. If the Nifty dips below 24,100, the next support level will be at 23,900, with potential support seen at 24,175 and 24,125 today. Resistance levels are at 24,325 and 24,375.

Gold update

In commodities, gold prices fell around 2% due to selling pressure, dropping from $2,790 to $2,744 per ounce. As of this morning, gold is priced at $2,779. In India, gold prices rose by Rs 520 to Rs 59,520 on Wednesday and by Rs 120 to Rs 59,640 on Thursday, but significant declines are anticipated today.

The dollar index decreased slightly, closing at 103.98 and dipping to 103.87 this morning. Crude oil prices saw a minor increase, with Brent crude closing at $73.16, WTI at $70.48, and UAE's Murban crude at $72.42.

Cryptocurrency markets are also facing declines, with Bitcoin falling over 2.5% to below $70,200 and Ether dropping below $2,525. In the metals market, copper and aluminum saw slight increases, while nickel and zinc experienced declines.

Market indicators

Sensex: 79,942.18 (-0.52%) / 79,389.06 (-0.69%)
Nifty50: 24,340.85 (-0.51%) / 24,205.35 (-0.56%)
Bank Nifty: 52,320.70 (-0.99%) / 51,475.35 (-0.64%)
Dollar ($): ₹84.08
Dollar Index: 103.99 (-0.30)
Gold (oz): $2,788.10 (+$13.90) / $2,744.40 (-$43.70)
Crude (Brent): $73.00 (+$2.88) / $73.16 (+$0.16)