The 30-share Sensex ended 209 points down at 20,282 after hitting an intra-day low of 20,262 and the 50-share Nifty ended 61 points down at 6,018 after touching an intra-day low of 6,012.
The broader markets too ended weak- BSE Midcap and Smallcap indices fell by nearly 1% each.
Wholesale price-based inflation rate fell to a 3-year low of (-) 3.48 per cent in May on easing prices of food, fuel and manufactured items, strengthening the case for continuing with the pause in rate hike in the coming months of the current fiscal. This is the second straight month when WPI has been in the negative zone mainly on account of a higher base and falling prices of fuel and manufactured goods. Food prices also eased during May. In May, 2022 WPI inflation was at 16.63 per cent. Last month, it was (-) 0.92 per cent.
Given wild swings, investors are wondering where the metal market is going. There was a strong uptrend in industrial metal through much of the last three years due to fears of supply chain issues - first due to Covid-19 and then due to the Ukraine War. That uptrend broke down as it became apparent that global growth would moderate as inflation rose and Western Europe (the EU plus the UK) went into a near-recession and China was in a rolling lockdown.
Though the ministry is considering 2017-18 as the new base year, no decision has been taken as the committees of experts are awaiting some more data before finalising their opinion.
India's annual industrial output grew at a slower-than-expected pace of 3.6 percent in September.
The index of industrial production -- gauge of industrial activity in terms of production -- showed a 2.4 per cent growth in May, down from 6.2 per cent a year ago.
As a model of transport, the A380 strikes a parallel -- a shared fragility -- with giant container ships, observes Shyam G Menon.
The index had registered a growth of 2.8 per cent in January 2015.
The number of infrastructure projects cleared by a monitoring group set up in the Cabinet Secretariat had increased consistently in the past year.
The print media industry is on a roll, if Index of Industrial Production (IIP) data is to be believed without a pinch of salt.
The third-quarter financials didn't excite market watchers. But equity investors can still make money if they invest in the right stocks.
At 89th, India is the lowest-ranked among the BRICS.
Correcting the industrial output figures twice within span of a few hours, the government on Thursday said IIP grew at 2.3 per cent in April instead of 2 per cent reported on Wednesday.
BSE market breadth was negative. Out of 2,961 shares traded, 1,907 shares declined while 941 shares advanced.
Consumer durables shrank year on year, which could suggest to observers that spending confidence is yet to return to the economy.
Growth in six core infrastructure industries, which have a combined weight of 26.7 per cent in the Index of Industrial Production
The factory output, as measured by the Index of Industrial Production, soared to 16-month high of 8.2 per cent in October on good performance of the manufacturing, power sector and higher output of capital as well as consumer goods, indicating sudden recovery in the economy.
The overall breadth was positive as 1,712 stocks advanced while 1,100 stocks declined.
Buoyed by the upbeat performance of the manufacturing sector, including metals, Centre for Monitoring Indian
Stocks of Hindustan Petroleum Corporation Limited (HPCL), Bharat Petroleum Corporation Limited (BPCL) and Indian Oil Corporation Limited (IOCL) have more headroom left despite the sharp run in the last few weeks, suggests a recent report from Morgan Stanley. Stocks of these oil refining and marketing companies (OMCs), it believes, are seeing multiples re-rate as investors reassess long-term growth prospects. "IOCL trades at one year forward P/BV of 1.2x, 19 per cent below +1 standard deviation (SD); BPCL trades at one year forward P/BV of 1.5x, near historical averages; HPCL trades at one year forward P/BV of 1.5x, near +1SD," Morgan Stanley said.
The production of durable products (refrigerators, washing machines, air conditioners and conventional television sets) is contracting in India, according to new data released last week.
The output of eight core industries increased 4.2 per cent in April, boosted by higher electricity, fertiliser and cement production.
Key Planning Commission official says push from small-scale industries will help reach the figure, but others disagree.
While demand for consumer durables has been growing fast, investors need to be selective as stock valuations have risen even faster.
Propelled by a strong growth in manufacturing, the industrial production grew by 6.4 per cent in January over the same period of the previous year.
Slow growth in the key sectors would have implications on the IIP number as these segments account for about 41 per cent of the total factory output.
Terming the slowdown in May industrial output as "not encouraging", Finance Minister Pranab Mukherjee on Tuesday said the government was in the process of taking steps to enhance the productivity of the manufacturing sector.
In December, the index fell a provisional 0.73 per cent.
Mutual funds (MFs) are lining up distinguished new fund offerings (NFOs) for the next financial year to win over investors after a lukewarm response to product launches in the 2022-23 financial year (FY23). NFOs drew a lukewarm response in FY23 as launches were mostly in the passive debt space, which has a comparatively lower popularity among retail investors. The limited launches in equity space also failed to rake in huge sums due to subdued investor sentiments in a volatile market.
India Inc's India's Business Confidence Index has gone up by 5.4%.
The IIP growth number of 5.6 per cent in May 2011 over May last year is the lowest in nine months. A downward trend in IIP has been seen since December 2010, with brief interludes of good news.
Sluggish infrastructure sector growth would also have impact on IIP as these segments account for about 41 per cent of the total factory output.
The rupee on Friday rebounded from the near-80 levels to close higher by 17 paise at 79.82 against the US currency following a recovery in the domestic stocks and weakness in the greenback in overseas markets. The US dollar retreated from the two-decade high levels against a basket of six currencies which supported the rupee sentiment. At the interbank foreign exchange market, the local currency opened at 79.95 and witnessed an intra-day high of 79.82 and a low of 79.96 against the US dollar in the day trade. ,
India's manufacturing sector continued with its robust performance in November, mainly on the back of substantial easing in price pressures and strengthening demand from clients, a monthly survey said on Friday. The strong performance of the manufacturing sector is expected to continue in 2024 as well. The seasonally adjusted S&P Global India Manufacturing Purchasing Managers' Index (PMI) rose to 56 last month from the eight-month low level of 55.5 recorded in October.
Manufacturing sector pushes IIP up 3.7% in Nov
India's manufacturing sector activity rose to a 13-month high in December, supported by healthy inflows of new business and strong demand conditions, according to a monthly survey. The seasonally adjusted S&P Global India Manufacturing Purchasing Managers' Index (PMI) stood at 57.8 in December, up from 55.7 in November, as business conditions improved to the greatest extent in over two years. The December PMI data pointed to an improvement in overall operating conditions for the 18th straight month.
Driven by high growth in the manufacturing sector, the industrial production recorded a high 7.4 per cent growth in November 2003, compared to a mere 4.1 per cent in the same period previous year.
Almost 53 per cent of the companies covered by the survey felt that high cost of credit was creating a problem for India Inc.
