Nifty and Sensex Extend Losses, Adani Group Stocks Rebound

Arjun Pandit
03 Jan, 2024
Mumbai

Stocks in Mumbai declined for the second day in a row, and Asian markets extended losses in the new year.

The Sensex and the Nifty indexes declined more than 0.5% on the worries of a rebound in inflation after truck transport workers launched a strike across the nation.

Transport workers launched a 3-day strike after the central government tightened the rules for hit-and-run accidents and increased the maximum jail time to 10 years from 2 years and the maximum fine to ₹10 lakh.

The central government revised the penalty following the directive by the Supreme Court, leveling the penalty and fines for all drivers.

The new provision triggered strikes in Maharashtra, Madhya Pradesh, Punjab, Himachal Pradesh, and Jammu and Kashmir.

Asian markets traded down for the second day in a row in the new year, and markets in Japan are scheduled to reopen on January 4 in the new year.

China market indexes declined for the second day in a row due to persistent economic worries and ongoing property market woes.

Moreover, the latest official manufacturing sector survey showed the sector shrank for the third month in a row in December, and woes for the top 100 property developers deepened.

 

China Property Market Decline Accelerated In December

Property sales at the top 100 developers declined accelerated to 34.6% from a year ago to 451.3 billion yuan, or about $63 billion, after falling to 29.6% in November, the China Real Estate Information Corporation reported Sunday.

Full-year sales declined 16.5% to 5.4 trillion yuan, despite the developers pushing sales with higher discounts in the final month of the year.

The Hang Seng index in Hong Kong dropped more than 1% and fell to a two-week low, and the Shanghai Composite index fell 0.2% on persistent worries related to the property sector and an uneven economic rebound.

The Hang Seng Tech Index declined 2.3% following the sell-off in tech stocks in overnight trading in New York.

 

India Indexes and Yields

The Sensex index decreased 610.37 points to 71,661.31, and the Nifty index eased 159.50 points to 21,582.40.

On the Mumbai stock exchange, 207 stocks traded at their 52-week highs and 12 stocks traded at their 52-week lows.

The yield on the 10-year Indian government bonds held firm at 7.20%, and the Indian rupee hovered near ₹83.31 against the U.S. dollar.

The gold price increased by 0.03% to ₹63,311 per ten grams, and silver rose by 0.03% to ₹74,115 per kilo.

Crude oil decreased by 1% to ₹5,881 per barrel, and natural gas fell by 1.4% to ₹215.50 per thermal unit.

 

India Stock Movers

Adani Group stocks were in focus ahead of the Supreme Court's verdict later in the day.

Adani Enterprises jumped 3.6% to ₹3,040.0, Adani Ports gained 2.9% to ₹1,109.20, Adani Power advanced 4.2% to ₹540.0, and Adani Wilmar increased 4.4% to ₹382.65.

Hero Motocorp declined 2.8% to ₹3,999.0 after the company reported total vehicle sales in December fell 0.1% from a year ago to 393,952 units and motorcycle sales eased 0.6% from a year ago to 354,658 units.

Maruti Suzuki decreased 1.1% to ₹10,084.05 after the vehicle maker reported weaker-than-expected sales in December.

Total passenger vehicle sales declined to 119,518 from 124,135 and passenger car sales fell to 64,802 from 86,582 a year ago, respectively.

Avenue Supermarts declined 3.9% to ₹3,972.40 after the retailer said standalone revenue in the third quarter rose 17.2% from a year ago to ₹13,247 crore.