Share Market News Today Updates, 22 September 2022: Trends on SGX Nifty indicated a lower opening for the domestic markets. Indian equity benchmarks staged a gap-down start on Thursday, taking cues from the Asian stocks after the US Federal Reserve raised interest rates and forecast more hikes going further. Asian shares hit a two-year low as the prospect of US interest rates rising further and faster than expected spooked investors.
The Fed increased rates by 75 basis points (bps) on Wednesday – the third such rise in a row – and signalled that it would continue to raise borrowing costs to fight inflation. Interest rates may hit 4.4 per cent this year - higher than markets had priced in before the Fed meeting.
The US dollar rose and Wall Street fell overnight.
Back home, the Reserve Bank of India (RBI) is due to meet next week to decide on its path for monetary policy.
Here are the share market Live Updates:
The Indian rupee on Thursday fell 0.39 per cent to trade at 80.2850 against US dollar in early trade. The domestic unit had closed at 79.9750 on Wednesday. The previous record low for the rupee was 80.12 reached late in August.
Sensex falls 509 points or 0.86 per cent to trade at 58,948 in pre-opening trade
"As expected the Fed raised interest rates as expected by 75 bps to 3.25 per cent and the dot-plot (future projections of rate) shows another 100-125 bps by year end and rates peaking at 4.60 per cent in 2023. As the FOMC dust settles, its over to the BoE, the SNB, the BoJ and the RBI policies now! Though not a roller coaster one, but another round of bumpy ride can be expected ahead these central banks meetings," said Amit Pabari, MD, CR Forex Advisors.
"Well, there is an increased pressure on RBI after another jumbo hike by the Fed and markets expect a 40 bps hike by the RBI on its meeting scheduled this month end. With the current liquidity crunch which has now fallen into a deficit of over Rs 21,000 crore from a Rs 8.03 lakh surplus, inflation uncomfortably high, its going to be a challenge for RBI to manage liquidity ahead of festive season while being on a hiking spree. This time, possibly RBI might not be able to use its FX reserves as much as it did earlier to protect rupee, as there a severe liquidity crunch in the market. Clearly there is a pressure on RBI and will be interesting to see how RBI will be able to defend rupee which is above 80.00 levels. If RBI lets rupee on its free course in line with the global peers, 80.50 to 81.00 shall be shortly seen," he added.
SpiceJet: India's air safety watchdog DGCA said it has extended a restriction on budget carrier SpiceJet's flight departures until October 29.
State Bank of India (SBI): The country's largest lender has set the coupon for its Basel III-compliant Tier II bonds maturing in 15 years at 7.57 per cent, three merchant bankers said.
Reliance Industries: RIL's retail arm Reliance Retail is in advanced talks to get the rights for beauty retailer Sephora in India, the Mint newspaper reported.
Tata Group stocks: Tata Group may evaluate options to consolidate AirAsia India and Vistara under Air India to bring operational synergies among the three airlines, Moneycontrol.com reported citing sources.
KPI Green Energy: The company said it got an order for executing a wind-solar hybrid power project of 5.40 MW.
Kirloskar Oil Engines: The company said it would acquire a balanced stake in La Gajjar machineries.
Panasonic Energy India: The company said it would consolidate related operations from a factory in Vadodara to Pithampur.
The Indian rupee is seen hitting a record low against the dollar today after the US Federal Reserve hiked rates by 75 basis points and indicated more large rate hikes. The rupee is expected to open around 80.25-80.30 per US dollar in early trades, down from 79.9750 in the previous session. The previous record low for the rupee was 80.12 reached late in August.
Japan's Nikkei index fell 0.97 per cent, South Korea's KOSPI cracked 1.17 per cent, the Shanghai Composite index edged 0.01 per cent lower and Hong Kong's Hang Seng index dropped 1.61 per cent.
Oil prices edged higher in early trade today. Brent crude futures rose 32 cents, or 0.36 per cent, to $90.15 per barrel, while US West Texas Intermediate (WTI) crude climbed 29 cents or 0.35 per cent to $83.23 per barrel. (Read more)
Ambuja Cements, Can Fin Home, Delta Corp, Escorts, PVR and RBL Bank are in F&O (Futures and Options) ban period today. The derivative contracts in the mentioned security has crossed 95 per cent of the market-wide position limit.
Foreign institutional investors (FIIs) have sold Rs 461.04 crore worth of shares, while domestic institutional investors (DIIs) have purchased Rs 538.53 crore worth of shares on September 21, provisional NSE data showed.
Trends on SGX Nifty indicated a lower opening for the domestic markets. The Nifty Futures on Singapore Exchange also known as the SGX Nifty Futures fell 143.5 points or 0.81 per cent to 17,572.5.
Major 'Call' open interests were seen at 18,000, 18,200 and 18,100 strikes with total open interest of 1,73,798, 1,49,201 and 1,39,875 contracts respectively. Top 'Call' open interest additions were seen at 18,000 and 18,100 strikes which added 43,264 and 40,406 contracts, respectively. 'Call' unwinding was seen at 18,400 strike, which shed 11,463 contracts, NSE data, as on September 21 (3:30 pm), showed.
Major 'Put' open interests were seen at 17,500, 17,000 and 17,100 strikes with total open interest of 1,15,857, 1,07,053 and 81,269 contracts respectively. Top 'Put' open interest additions were seen at 17,100 and 16,800 strikes which added 35,161 and 17,696 contracts, respectively. 'Put' unwinding was seen at 17,000 strike, which shed 48,249 contracts.
Major 'Call' open interests were seen at 43,000, 42,000 and 42,500 strikes with total open interest of 1,12,559, 1,09,047 and 87,364 contracts respectively. Major 'Call' open interest additions were seen at 41,300 and 41,000 strikes which added 31,707 and 26,415 contracts, respectively. 'Call' unwinding was seen at 41,600 strike, which shed 12,638 contracts.
Major 'Put' open interests were seen at 40,000, 41,000 and 39,000 strikes with total open interest of 87,147, 80,795 and 75,414 contracts, respectively. Major 'Put' open interest additions were seen at 41,000 and 41,200 strikes which added 18,820 and 18,181 contracts. 'Put' unwinding was seen at 41,500 strike, which shed 30,136 contracts.
The benchmark BSE Sensex had slipped 263 points or 0.44 per cent to close at 59,457 on Wednesday, while the broader NSE Nifty had moved 98 points or 0.55 per cent lower to settle at 17,718.
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