Market WRAP: Sensex tanks 265 points ahead of Fed meet; metals, energy and pharma slump

All eyes would now be focussed on the decision of US Fed Chairman’s interest rate hike.

Market update at 3.30 PM: Major indices ended Wednesday’s trading session on a weak note, ahead of US Federal Reserve meeting scheduled later this evening. Nifty lost 0.55 per cent while Sensex dipped 265 points. Profit booking was seen across Nifty Midcap and Nifty Smallcap indices, which slipped 0.74 per cent & 0.83 per cent, respectively. 

FMCG was the only sector that closed in green. Metals, energy & pharma plummeted on Wednesday and dragged the broader market.  

Britannia, HUL, and ITC emerged as the top gainers while Shree Cement, Adani Ports & IndusInd Bank were the top losers.   

All eyes would now be focussed on the decision of US Fed Chairman’s interest rate hike. A 75-bps hike is widely expected and global markets shall be keenly watched to understand the further trend.  

Market update at 1.15 PM: Indices have been trading lower amid volatility. Nifty has lost half a per cent while Sensex plunged 300 points.   

Metals and realty are weak while India VIX has soared nearly 5 per cent. 

Market update at 11 AM: Ahead of the Fed event, indices are trading on a mixed note as Nifty and Sensex are absolutely flat. Nifty Midcap is higher by 0.15 per cent while marginal pressure is seen in Nifty Smallcap index.   

FMCG, media, and auto are trading higher while financials are weak today.   

Britannia, HUL, and Apollo Hospitals are the top gainers from NSE Nifty 50 stocks while Shree Cement, Adani Ports, and IndusInd Bank are the top losers for now.   

Despite the volatility, stocks like Bharti Airtel, Cipla, Eicher Motors, and Page Industries have hit their respective fresh 52-week high.   

Nifty hovers around the 17,800 level while volatility is expected to rise, given the Fed meeting later on Wednesday night as well as the weekly expiry on Thursday.  

Market update at 9.30 AM: Indices have been trading mixed amid volatility. Nifty climbed 11 points while Sensex is absolutely flat. Stock-specific action is seen across mid-cap and small-cap stocks.   

FMCG and auto are trading higher while financials are weak today. Meanwhile, India VIX has jumped over 2 per cent. 

Pre-market update: The US indices closed lower on a volatile trading day on Tuesday as Nasdaq slipped 0.95 per cent and Dow Jones tanked 313 points. The European markets too witnessed profit booking as they slipped nearly a per cent each. 

Asian markets have thus opened lower, and SGX Nifty indicates a gap-down opening of about 60 points for Nifty. 
The key event for the day is the US Federal Reserve meet, scheduled later at night. The central bank is widely expected to increase rates by 75 basis points but a hike of one full per cent is not ruled out. Analysts shall be keenly listening to US Fed Chairman's comment regarding further rate hikes and the outlook of the global economy.
Brent crude has slipped further and now trades at USD 90 per barrel as fears of demand drop due to recession weighed on traders' sentiments.

In the last trading session, the FIIs emerged as net buyers and bought to the tune of Rs 1,196 crore while the DIIs sold shares worth Rs 131 crore.
Nifty is likely to open around the key support level of 17,700 and stock-specific action shall be watchful.