Sensex, Nifty end flat as Metals, FMCG drag on benchmarks

The domestic share market indices remained largerly unchanged on Thursday as market sentiment remained pressured by weaker- than-expected Q2 earnings, persistent FII outflows, rising geopolitical risks in the Middle East, concerns over US interest rate policies, and elevated US bond yields ahead of the US elections. While FMCG and metal stocks weighed on the Nifty, the banking sector saw renewed buying interest after a three-day slide.
At close, the Sensex was down 16.82 points or 0.02 percent at 80,065.16, and the Nifty was down 36.10 points or 0.15 percent at 24,399.40. About 1,509 shares rose, 2,256 fell, and 95 remained unchanged.
HDFC Bank, Cipla, HCLTech, Coal India, and Bharat Electronics were the top gainers on the Nifty, rising 0.5-1 percent while losers included Hindalco, HUL, SBI Life, Bharti Airtel, and Britannia  falling 1-7 percent.In the broader market, both BSE Midcap and BSE Smallcap were up 0.3 percent.
On the sectoral front,the Nifty FMCG index fell over 2 percent, driven by a sharp decline in Hindustan Unilever, which had its worst session in nine months after reporting weaker-than-expected quarterly profits due to slowing urban demand and rising costs. Hindalco also tumbled nearly 4 percent, dragging the metal index down by 0.3 percent as weak demand forecasts weighed on the aluminum maker. Meanwhile, the Nifty Bank index rose 0.7 percent, with gains in HDFC Bank and SBI providing some support to an otherwise sluggish market.
Rupee Close:
On 24th Oct'24,the Indian rupee stayed stuck at its near-record low of 84.07 against the U.S. dollar on Thursday as surging crude oil prices and persistent foreign fund outflow weighed on the local unit.
Analysts reportedly stated the selling rush by foreign investors in pursuit of better gains from the Chinese market has been preventing the Rupee’s recovery, while higher U.S. treasury yields have triggered the fear of slower interest rate cut by the Federal Reserve. “Also, uncertain geopolitical scenario ahead of the U.S. Presidential election steered investors towards safe-haven bets,” they added.
Trading Guide:
Vinod Nair, Head of Research, Geojit Financial Services reportedly stated,despite persistent selloffs by FIIs, the benchmark indices recorded only a minor loss, as India’s October PMI data continued to indicate healthy growth, which also supports the RBI's growth guidelines for FY25. The broader market exhibited a mixed response due to valuation corrections in sectors such as PSUs and banking & financials. Meanwhile, the FMCG sector faced declines attributed to delayed demand recovery and margin pressures. Market experts have recommended five stocks to buy -Max Financial Services, MCX, Tata Consumer Products, MMTC and Bharat Dynamics.

(Business Correspondent)