Mr. Jitendra Upadhyay, Sr. Equity Research Analyst, BONANZA PORTFOLIO LTD
Indian indices opened flat amid weak Asian markets. At the time of closing, the Sensex was down 337.66 points or 0.58% at 57,900.19, and the Nifty was down 111.00 points or 0.65% at 17,043.30.
During the day, for the fourth consecutive session, the Indian markets maintained their selling stance, following the losses seen in global equities. India's headline retail inflation rate edged down to 6.44% in February from January's three-month high of 6.52%. February WPI inflation at 3.85% versus 4.73% and Core inflation at 2.4% versus 2.8%, MoM. Air passenger traffic is expected to continue on a recovery course and clock double-digit growth in fiscal 2024, riding on a pick-up in international and business travel, capacity expansion by airport operators, and higher availability of aircrafts. Indian bond yields eased on March 13, tracking a drop in US Treasury notes' yields. The yield on the 10-year benchmark bond eased to 7.35% at the close from 7.43% in the previous session. The 10-year US treasury yields dropped over 20 basis points in the previous week to 3.69%.
Investors are currently focused on the upcoming release of the US CPI later today, as it will be the final high-impact economic data published before the March 22 Federal Reserve policy meeting. Investors are anticipating that following the failures of Silicon Valley Bank and Signature Bank, the US Fed may continue with its rate hike cycle. Gold and silver prices surged, as their safe-haven appeal drew in investors spooked by the collapse of Silicon Valley Bank, with the crisis also sparking hopes the US Federal Reserve would have to slam the brakes on its aggressive monetary policy. On the Sectoral front, all the indices ended in the red with power, realty, information technology, PSU Bank, metal and auto fell 1-2%.
Nifty 50 top gainers are BPCL, Titan Company, Bharti Airtel, SBI Life Insurance and Larsen & Toubro while Adani Enterprises, Adani Ports, M&M, TCS and HDFC Life were among the top losers.