Mr. Deepak Jasani, Head of Retail Research, HDFC Securities
Nifty fell for the second consecutive session on Sept 15. Nifty opened gap up, made almost a triple top in the 18088-18096 band and later began to fall. At close Nifty was down 0.70% or 126.4 points at 17877.4.
Among sectors, Power & Auto indices rose the most while IT, Realty and Metal indices fell the most. Midcap index ended 0.31% in the positive although the advance decline ratio was negative at 0.76:1.
Global stock markets were mixed on Thursday as the likelihood of a further jump in global borrowing costs, including a possible 100 basis point U.S. rate hike next week, kept the bears on the prowl.
Fitch now expects world GDP to grow by 2.4% in 2022 - revised down by 0.5pp - and by just 1.7% in 2023, a cut of 1pp. The eurozone and UK are now expected to enter recession later this year and Fitch forecasts that the US will suffer a mild recession in mid-2023.
Fitch Ratings has slashed its growth forecast for India for the current fiscal year to 7 percent from the previous estimate of 7.8 percent. The ratings agency also cut its GDP growth forecast for the next fiscal year to 6.7 percent from the earlier estimate of 7.4 percent.
Nifty corrected once again from above 18000 level and underperformed the other markets for a change. Broad markets continues to lag while largecaps seemed to be under mild selling pressure. 18096-17771 could be the band for the Nifty in the near term.