Nifty closes below 17,800 level; Sensex dips over 300 points, dragged by metals and IT

Adani Ports, IndusInd Bank and BPCL emerged as the top gainers from the Nifty 50 stocks

Market update at 3.30 PM: Indices traded lower throughout the day amid strong profit booking in metals and IT stocks. NSE Nifty 50 index slipped half a per cent to close below 17,800 levels while S&P BSE Sensex lost over 300 points. The broader market stayed relatively positive and strong buying interest was seen across fundamentally good quality midcap and Smallcap stocks. Nifty Midcap and Nifty Smallcap jumped 0.96 per cent and 0.54 per cent respectively.  

Media and FMCG stocks dominated the other sectors while metals and IT remained subdued.  

Adani Ports, IndusInd Bank and BPCL emerged as the top gainers from the Nifty 50 stocks while Divis Laboratories, JSW Steel and Hindalco Industries were the top losers.  

Nifty formed an inside bar candle on the technical chart and indicates indecisiveness. Meanwhile, focus shall turn towards the global market to anticipate further trend in the market. 

Market update at 11 AM: NSE Nifty 50 index and S&P BSE Sensex have plunged 0.75 per cent each amid strong profit booking across metals and IT stocks. The broader market is relatively outperforming the large cap stocks as Nifty Midcap and Nifty Smallcap have gained 0.66 per cent and 0.45 per cent, respectively.  

Media and FMCG stocks have seen good buying interest while metals and IT remain subdued. India VIX has risen nearly 5 per cent amidst such volatility.  

About 1,100 stocks are advancing as against 870 stocks that are declining, thus indicating positive market breadth.  

Adani stocks are trading in negative but a good part can be noted that volatility has crashed when compared to some of the previous trading sessions.  

Market update at 9.30 AM: Indices have been trading lower amid volatility, led by strong profit booking across metals and IT stocks. NSE Nifty 50 index has slipped 0.68 per cent to trade below 17,800 level while S&P BSE Sensex has lost 350 points. Meanwhile, stock specific action is seen across Smallcap and midcap stocks.  

Adani stocks continue to see the sell off. India VIX has surged over 5 per cent amidst such weakness.  

Pre-market update: The Wall Street indices tumbled as US rate outlook shifted post the release of US jobs data. The US economy added 5,14,000 jobs in January despite recession environment as against forecasted 1,65,000 jobs by analysts. This increases the fear of continued rate hikes by the Fed. Nasdaq slipped 1.59 per cent while Dow Jones lost 127 points. With this, the Asian markets have opened on a mixed note and trends on SGX Nifty indicate a loss of 30 points.

Adani group stocks: After Credit Suisse, Standard Chartered Bank has stopped accepting Adani bonds as collateral. Adani Ports has been included in the list of F&O ban for February 6. Adani Enterprises and Ambuja Cement remain under ASM list.

In the last trading session, the FIIs sold equity to the tune of Rs 932 crore while the DIIs bought shares worth Rs 1264 crore.

Nifty is expected to open around 17,800 level and first hour of price action shall be keenly watched to anticipate further trend.