Stock Market Updates (12-Dec-2023)

The Indian markets experienced a turbulent ride on Tuesday, leaving investors gripping their seats. The BSE Sensex nosedived by 377.50 points, a 0.54% decline, settling at 69,551.03. 

Its sibling, the NSE Nifty, wasn’t spared either, shedding 90.70 points or 0.43%, closing at 20,906.40. 

The rupee closed 1 paisa lower at 83.38 against the US dollar. Investors were cautious, peeking nervously at domestic inflation data and the upcoming US Fed meeting.

Impact on the stock market

In the sectoral arena, notable losses were observed in Nifty Realty (registering a decline of 1.75%), Oil & Gas (recording a dip of 1.30%), and Consumer Durables (experiencing a downturn of 1.04%).

On the other hand, the Nifty Bank concluded with a marginal loss of 0.46%, while the Nifty Auto index witnessed a decrease of 0.70%.

On a brighter note, sectors like Nifty IT,  Media (posting an increase of 0.59%), and Metal (gaining 0.31%) closed the day with commendable advances.

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Top gainers today

Top losers today

Market aftermath: Impact on stocks

IREDA rockets to Rs 101, a 219% surge from IPO

Indian Renewable Energy Development Agency (IREDA) has witnessed a remarkable 219% surge from its IPO price of Rs 32, reaching Rs 101.97 on the NSE. The company displayed robust financials with a 58% CAGR growth in net profit from FY21 to FY23 and a resilient capital-to-risk weighted asset ratio (CRAR) of 20.92% as of September 30, 2023.

With its asset book primarily in solar energy (30%), wind power (20.9%), state utilities (19.2%), and hydropower (11.5%), analysts foresee a promising future. IREDA’s recent move, sanctioning a Rs 58 crore loan under the KUSUM-B scheme, further fueled positive market sentiment.

Also Read: The role of the energy sector in powering India’s growth.

Dixon Technologies surges 6%

Dixon Technologies (India) witnessed a 6% surge, hitting a 52-week high of Rs 6,765 on the NSE, following the announcement that its subsidiary, Padget Electronics, secured a manufacturing contract from Lenovo for laptops and notebooks under the Production Linked Incentive 2.0 Scheme. 

With potential incentives pending a definitive agreement, the stock experienced robust buying, trading over 12 lakh shares by 10:30 am today. The two-day rally propelled Dixon’s shares by over 13%, showcasing investors’ confidence.

Dixon Technologies, known for design-focused solutions, has yielded impressive returns of 66% in the last 12 months, surpassing Nifty’s 13%.

Niraj cement surge

Niraj Cement Structurals Limited witnessed a 5% share surge as the company clinched two substantial work orders. The first, a ₹13.96 crore contract from Central Railway, involves constructing facilities at Lokmanya Tilak Terminus. The second, a whopping ₹292.44 crore project from NHIDCL, focuses on building a two-lane road in Manipur. 

With these wins, Niraj Cement’s shares soared, closing 4.95% higher at ₹38.20 on the NSE. The company is now geared up for significant infrastructural endeavours and a bullish market response.

Inching upward: Crude oil

Crude oil futures saw a modest uptick on Tuesday morning, fueled by market anticipation of impending inflation data and key Central bank decisions expected later in the week. As of 9:09 am, February Brent oil futures rose by 0.29% to $76.25, while January WTI crude oil futures climbed 0.32% to $71.55. 

On the Multi Commodity Exchange (MCX), December crude oil futures edged up to ₹5976, a 0.12% increase from the previous close, and January futures nudged up to ₹6016, a 0.07% uptick from the prior day’s close.

Also Read: What is a commodity? A short guide before you trade

Conclusion

In a tumultuous day on the Indian stock market, the Sensex and Nifty took a hit, while the rupee played a cautious game against the dollar. Sectoral performances varied, with notable gains in IT and losses in real estate and oil & gas. 

In a nutshell, it was a day of highs and lows, illustrating the dynamic nature of the financial landscape.