Sensex, Nifty Trade Near Day's Low As Infosys, TCS, ICICI Bank Drag: Midday Market Update
As of 12:18 p.m., Sensex was 424.41 points, or 0.62% lower at 69,117.87, while Nifty was down 130.95 points or 0.63% at 20,774.34.
![<div class="paragraphs"><p>The BSE building in Mumbai. (Source: Vijay Sartape/NDTV Profit)</p></div>](https://media.assettype.com/bloombergquint%2F2023-12%2F4a31ce21-4500-4b90-8127-6780fd4d5014%2FTilt_up_of_BSE__Bombay_Stock_Exchange_building_in_Mumbai___Photo_Vijay_Sartape_Source_BQ_Prime___2_.jpeg?rect=0%2C0%2C1185%2C667&auto=format%2Ccompress&w=200)
Indian benchmark indices were trading at day's low as traders booked profit at higher levels after the recent rally last week.
As of 12:18 p.m., S&P BSE Sensex was 424.41 points, or 0.62% lower at 69,117.87, while the NSE Nifty 50 was down 130.95 points or 0.63% at 20,774.34.
Market participants also exercised caution before the outcome of the U.S. Federal Open Market Committee's policy meeting, due later on Wednesday. This also weighed on the investors' sentiment.
Investors largely expect the U.S. central bank may keep the benchmark federal fund rate steady at current level of 5.25-5.50%. The highlight of the key event will be Federal Reserve Chair Jerome Powell's speech, which investors will monitor to get fresh cues about the central bank's rate trajectory going forward.
The U.S. Consumer Price Index rose 0.1% on sequential basis in November after being unchanged in October, which sparked fears among investors that the Federal Reserve may not start cutting rates aggressively.
"We believe the intraday formation is weak, but fresh selling is possible only after rejection for Nifty below 20,800, and for Sensex below 69,300. The market may slip to 20,700-20,600 or even 20,500/69,000-68,700-68,400," said Shrikant Chouhan, head equity research, Kotak Securities Ltd.
He advises to sell if Nifty breaches 20,800 levels with a stop loss at 21,050. "As long as the index is trading above 20,800/69,300, the chances of hitting 21,050-21,200/69,900-70,300 would brighten."
![Sensex, Nifty Trade Near Day's Low As Infosys, TCS, ICICI Bank Drag: Midday Market Update](https://media.assettype.com/bloombergquint%2F2023-12%2F6c8bf314-5f2e-4927-917d-db235f99e1c4%2FSENSEX__1_.png?auto=format%2Ccompress)
![Sensex, Nifty Trade Near Day's Low As Infosys, TCS, ICICI Bank Drag: Midday Market Update](https://media.assettype.com/bloombergquint%2F2023-12%2F961c93c8-3338-4414-80af-920dfb4a0216%2FNIFTY_50__1_.png?auto=format%2Ccompress)
![Sensex, Nifty Trade Near Day's Low As Infosys, TCS, ICICI Bank Drag: Midday Market Update](https://media.assettype.com/bloombergquint%2F2023-12%2F9a9ab949-eae2-4bd2-8bab-393723ac2ebe%2FNIFTY_BANK__1_.png?auto=format%2Ccompress)
Hero MotoCorp Ltd., ITC Ltd., NTPC Ltd., Larsen & Toubro Ltd. and Power Grid Corp. were positively contributing to changes in the Nifty.
While, Axis Bank Ltd., ICICI Bank Ltd., Infosys Ltd., Tech Mahindra Ltd. and Tata Consultancy Services Ltd. were negatively contributing to the change.
Ten sectors out of 14 on NSE fell, with Nifty IT declining the most. Among the four sectors that gained, Nifty PSE rose the most.
The broader markets advanced; S&P BSE MidCap was 0.17% higher and S&P BSE SmallCap was up 0.11%.
Sixteen of the 20 sectors compiled by BSE declined, while four advanced. S&P BSE IT and S&P BSE TECK fell the most.
The market breadth was skewed in the favour of buyers. Around 1,901 stocks rose, 1,730 shares declined, and 151 remained unchanged.