Markets@10: Bank stocks decline and key indices struggle

The market, which began on a positive note, is now experiencing significant volatility, with attempts to rise failing due to selling pressure. The Sensex fluctuated between 79,670 and 80,253, while the Nifty ranged between 24,269 and 24,245 within the first hour of trading.

The Bank Nifty dropped by 1.65%, and both benchmark indices fell by 0.60%. The midcap index declined by 1.50%, and the smallcap index fell by 1.80%. Only 300 stocks managed to rise, while over 2,000 saw declines.

Among sectors, only FMCG, Pharma, Healthcare, and IT made gains this morning.

Dixon Technologies shares surged by 10% after reporting a remarkable 130% increase in second-quarter revenue, though this later adjusted to a 7% increase. Conversely, Suryodaya Small Finance Bank saw a significant drop of 12.5% due to disappointing results.

IndusInd Bank shares fell by 15% despite reporting better-than-expected profit and net interest income. However, both Godrej Consumer Products and Colgate rose by more than 3% following strong second-quarter results, and ITC climbed by 5%. Other notable gainers included Nestlé, Britannia, and HUL.

On the downside, NTPC shares fell by 3% after results fell short of expectations. In contrast, Axis Bank shares rose by 3% following the RBI’s approval of Amitabh Chaudhary's re-appointment as MD and CEO. L&T shares dropped over 2% after UBS downgraded its rating.

PNB Housing Finance reported an increase in its interest margin of up to 8%.

In currency news, the rupee started trading with slight gains today, with the dollar opening lower at ₹84.07.

Gold update

Gold is currently priced at $2,725 per ounce globally, while in Kerala, the price of jewellery gold rose by ₹80 to ₹58,360.

Crude oil prices are rising, with Brent crude reaching $74.56.