Stock Market Today: Market Trends, Fed’s Impact, and Buzzing Stocks — December 14, 2023

Table of Con­tents

Tog­gle

Indian Market Expectations, Stock Market Today:

• BSE Sen­sex and NSE Nifty antic­i­pat­ed to open pos­i­tive­ly on Decem­ber 14.
• Track­ing gains in GIFT Nifty, US S&P 500, and Nas­daq Com­pos­ite, all show­ing over 1 per­cent increase.

Analysis of Previous Market Movements:

• Decem­ber 13 saw mild gains in bench­mark indices after recov­er­ing from ear­li­er lows.
• Ana­lysts view the side­ways move­ment as ‘nor­mal’ con­sol­i­da­tion fol­low­ing a pro­longed bull run that led to the mar­ket enter­ing an ‘over­bought’ zone.

Clos­ing Fig­ures:

• Sen­sex closed at 69,585, up 34 points (0.05%).
• Nifty closed at 20,926, up 20 points (0.01%).

Nifty Options Data:

• Sug­gest­ed resis­tance lev­els at 21,000–21,100 in the near term.
• Sup­port lev­els at 20,800–20,900.

GIFT Nifty Trends:

• GIFT Nifty sig­nals a pos­i­tive start with a gain of 220 points (1.05%).
• Nifty futures trad­ing at 21,240.

US Market Highlights:

• US stocks reached new year­ly highs on Wednes­day.
• S&P 500 exceed­ed 4,700, Dow Jones hit a record, and Nas­daq 100 surged over 50% in 2023.
• Fed­er­al Reserve Chair Jerome Pow­ell’s dovish sig­nals con­tributed to the pos­i­tive mar­ket sen­ti­ment.

Asian Markets Outlook:

• Asian mar­kets pre­dom­i­nant­ly green on Thurs­day.
• Glob­al ral­ly dri­ven by signs of the Fed­er­al Reserve’s poten­tial rate cuts in 2024.
• Hong Kong’s Hang Seng up over 2%, South Korea’s KOSPI up 1.4%, China’s Shang­hai Com­pos­ite up over 0.5%, while Japan’s Nikkei 225 fell 0.4%.

Federal Reserve’s Policy Outlook:

• US Fed­er­al Reserve kept inter­est rates unchanged at 5.25–5.5% on Decem­ber 13.
• Chair­man Jerome Pow­ell sig­nals a dovish out­look for 2024, hint­ing at rate cuts.
• Fed dot plot sug­gests rates end­ing 2024 at 4.5–4.75% and fur­ther declines in 2025 at 3.5–3.75%.

Impact on Bonds and Dollar:

• US trea­sury bond yields expe­ri­enced pres­sure, falling below 4%.
• Dol­lar index declined to 102.9 after the dovish Fed out­look, encour­ag­ing bor­row­ing and impact­ing the green­back.

Indian Rupee and Oil Prices:

• Indi­an rupee set­tled at a record clos­ing low of 83.4 against the US dol­lar.
• OPEC+ main­tains its fore­cast for world oil demand growth in 2023, boost­ing oil prices. Brent Crude at $75 per bar­rel, WTI Crude at $70 per bar­rel.

Gold and Cryptocurrency Movement:

• Gold prices rose over 1% post-Fed’s inter­est rate pause.
• Bit­coin surged above $42,000 fol­low­ing the Fed’s dovish com­ments.

FII and DII Data:

• FIIs net bought shares worth Rs 4,711 crore.
• DIIs offloaded Rs 958 crore worth of stocks on Decem­ber 13.

Buzzing Stocks:

• State Bank of India: Sign­ing a 70-mil­lion-euro line of cred­it with Ger­man devel­op­ment bank KfW for sup­port­ing solar PV projects in India.
• Indi­an Rail­way Cater­ing and Tourism Cor­po­ra­tion: Expand­ing busi­ness beyond rail­ways to pro­mote brand nation­wide.
• NBCC (India): Bags order for the con­struc­tion of 1,469 ware­hous­es under the world’s largest grain stor­age plan.
• Bio­con: Asso­ciate Bicara Ther­a­peu­tics Inc com­pletes $165-mil­lion Series C financ­ing, impact­ing Bio­con’s share­hold­ing.

IPO News:

INOX India, the lead­ing man­u­fac­tur­er of cryo­genic stor­age tanks, gar­nered sig­nif­i­cant investor inter­est as it raised Rs 437.8 crore from a diverse group of investors via the anchor book on Decem­ber 13, one day before the Inox­C­VA IPO opens for sub­scrip­tion.

• The Inox­C­VA IPO is set to open for sub­scrip­tion on Decem­ber 14, with the clos­ing date sched­uled for Decem­ber 18.
• The Vado­dara-based com­pa­ny aims to raise Rs 1,459.32 crore through the pub­lic issue, offer­ing shares in the price band of Rs 627–660 per share.
• Glob­al investors, includ­ing pres­ti­gious names like Abu Dhabi Invest­ment Author­i­ty, Nomu­ra Trust, Gold­man Sachs, Carmi­gnac Port­fo­lio, HSBC Glob­al, Vol­ra­do Ven­ture, and Natix­is Inter­na­tion­al Funds, demon­strat­ed their con­fi­dence in INOX India by par­tic­i­pat­ing in the anchor book.

In sum­ma­ry, the stock mar­ket reflects a pos­i­tive glob­al sen­ti­ment, dri­ven by the Fed­er­al Reserve’s dovish sig­nals. Investors are close­ly mon­i­tor­ing the impact on cur­ren­cies, com­modi­ties, and indi­vid­ual stocks. The dovish out­look, com­bined with a surge in glob­al mar­kets, sets the stage for intrigu­ing mar­ket dynam­ics and poten­tial oppor­tu­ni­ties.

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