Markets extend losses in rangebound trade on weak earnings

The domestic equity benchmark indices Sensex and Nifty fell by approximately 0.3% on Friday, weighed down by banking and auto sectors as FII outflows, along with weak Q2 earnings prospects and heightened geopolitical risks, weighed on investor confidence.
At close, the Sensex was down 230.05 points or 0.28 percent at 81,381.36, and the Nifty was down 34.20 points or 0.14 percent at 24,964.25.For the week, BSE Sensex and Nifty ended with marginal losses.
Trent, Hindalco Industries, HCL Technologies, Tech Mahindra and ONGC were the top gainers on the Nifty, while losers included M&M, TCS, ICICI Bank, Cipla and Power Grid Corp.
On the sectoral front, auto, bank, power, realty indices were down 0.5 percent each, while IT, metal, oil & gas, pharma, media were up 0.5-1 percent.The BSE midcap and smallcap indices rose 0.4 percent each.
Market This Week
●Sensex & Nifty fall for 2nd straight week, down 0.3 percent each,
●Midcaps outperform large caps with midcap index rising 1 percent,
●Pharma & Auto gain the most amongst indices, up 2 percent each,
●FMCG & auto stocks under pressure this week, indices down 2 percent each
Rupee Close:
On 11 Oct'24,the Indian rupee fell below 84 to a dollar level for the first time on Friday, pressured by foreign outflows from stocks and bonds, along with a less hawkish central bank stance, according to information.
The currency slipped 0.1 percent to a record low of 84.11 on Friday. FIIs have offloaded $5.7 billion in stocks and $125 million in bonds this month, as per official data.Analysts noted that recent Chinese economic policies have redirected investment flows towards China, drawing funds away from other economies, including India. China's benchmark index has gained about 25 percent following these measures. Geopolitical uncertainties have also fueled risk-off sentiment, driving Brent Crude prices higher. Meanwhile, the US Fed's cautious stance on aggressive rate cuts has led to a sharp rally in the dollar.
Trading Guide:
Vinod Nair, Head of Research, Geojit Financial Services reportedly quoted as saying the market traded sideways due to a lack of fresh triggers for decisive momentum. The uptick in US 10-year yield due to the unexpected rise in US core inflation and caution ahead of result season added layers of sentiment in the market.The ongoing geopolitical challenges influenced FIIs to shift their focus towards the affordable markets, which is impacting the domestic market liquidity.
Market experts have recommended five stocks to buy -Apar Industries Ltd, Gujarat Fluorochemicals Ltd, Clean Science and Technology Ltd, GAIL (India) Ltd and Mahindra & Mahindra Ltd.

(Business Correspondent)