As per provisional closing data, the barometer index, the S&P BSE Sensex, tumbled 856.65 points or 1.14% to 74,454.41. The Nifty 50 index dropped 242.55 points or 1.06% to 22,553.35. In the past five trading sessions, the Sensex and Nifty declined by 2.03% and 1.77%, respectively.
In the broader market, the S&P BSE Mid-Cap index shed 0.78% and the S&P BSE Small-Cap index slipped 1.31%.
The market breadth was weak. On the BSE, 1,207 shares rose and 2,810 shares fell. A total of 183 shares were unchanged.
The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, rose 0.60% to 14.44.
Economy:
India's foreign exchange reserves snapped a three-week gaining streak to drop to $635.72 billion as of February 14, coming off over one-month highs, data released by the central bank on Friday showed.
Foreign currency assets, the largest component of forex reserves, dropped by $4.515 billion to $539.591 billion.
Gold reserves, however, saw a rise of $1.942 billion, reaching $74.15 billion during the week.
Meanwhile, special drawing rights (SDRs) increased by $19 million to $17.897 billion, and India’s reserve position with the International Monetary Fund (IMF) edged up by $14 million to $4.083 billion.
New Listing:
Shares of Quality Power Electrical Equipments closed at Rs 387.05 on the BSE, representing a discount of 8.93%, compared with the issue price of Rs 425.
The scrip was listed at Rs 432, exhibiting a premium of 1.65% to the issue price.
So far, the stock has hit a high of 432.05 and a low of 382.05. On the BSE, over 4.79 lakh shares of the company were traded in the counter.
The initial public offering (IPO) of Quality Power Electrical Equipments was subscribed 1.29 times. The issue opened for bidding on 14 February 2025, and it closed on 18 February 2025. The price band of the IPO was fixed between Rs 401 to 425 per share.
Buzzing Index:
The Nifty IT index dropped 2.71% to 39,446.60. The index fell 4.87% in the four trading sessions.
LTIMindtree (down 4.74%), L&T Technology Services (down 4.64%), Wipro (down 3.69%), HCL Technologies (down 3.33%), Mphasis (down 3.1%), Tata Consultancy Services (down 2.92%), Infosys (down 2.8%), Tech Mahindra (down 2.17%), Persistent Systems (down 1.23%) declined.
Stocks in Spotlight:
Bajaj Auto shed 0.79%. The company said its board has approved an investment of up to Euro 150 million (Rs 1,364) crore in its wholly-owned arm, Bajaj Auto International Holdings BV, Netherlands, to fund the needs of the latter towards investment opportunities.
Manappuram Finance rose 1.62%, following media reports indicating that American private equity firm Bain Capital is considering acquiring a significant portion of the company's promoter stake.
According to these reports, the deal would involve Manappuram's promoter group, led by managing director and CEO V.P. Nandakumar, selling a substantial portion of its 35.25% holding to Bain Capital.
The media reports suggest that if the deal materializes, Bain Capital may subsequently launch a voluntary open offer to acquire an additional 26% stake in Manappuram Finance.
Granules India advanced 1.53% after the company said that its board has approved to acquire 100% stake in Senn Chemicals AG, a Switzerland based company, for a total consideration of Rs 192.5 crore (CHF 20 million).
Hazoor Multi Projects declined 2.34% after the company announced that it has bagged a contract from Venkatesh Infra Projects worth Rs 102.10 crore.
NBCC (India) shed 1.45%. The company has announced that it has received a work order worth Rs 264.16 crore from NIT Kurukshetra.
Colab Cloud Platforms hit an upper circuit of 2% after the company announced that it has formed a wholly-owned subsidiary (WOS) named Colab Sports Ventures, which will focus on the business of sports goods, equipment, and apparels.
Zydus Lifesciences rose 0.62%. The company said that it has received final approval from the United States Food and Drug Administration (USFDA) to manufacture Ibuprofen and Famotidine tablets, 800 mg/26.6 mg. (USRLD: Duexis Tablets, 800 mg/26.6 mg).
NTPC dropped 1.79%. The company and EDF India, a subsidiary of Électricité de France (EDF), have signed a non-binding term sheet to develop pumped storage, hydropower, and other renewable energy projects, as well as explore opportunities in the distribution business.
Global Market:
US Dow Jones index futures were up 299 points, suggesting a strong opening for US equities.
Most European shares advanced on Monday following the victory of Germany's conservative party in national elections.
Asian stocks ended lower, as mirroring Wall Street's sharpest decline of the year. US economic data revealed weakening service sector activity and diminished consumer sentiment, fueling concerns about a potential slowdown and its impact on corporate earnings. Additionally, renewed inflation worries and unease stemming from a new bat coronavirus study in China contributed to market volatility.
US indices experienced significant losses Friday, triggered by disappointing service sector PMI and consumer sentiment figures. These data points heightened apprehension about a cooling US economy.
While weaker growth could prompt the Federal Reserve to consider interest rate cuts, it also raises the possibility of a less favorable business climate, potentially affecting corporate profitability. Economic uncertainty was further amplified by the possibility of new 25% tariffs on automobile, pharmaceutical, semiconductor, and lumber imports. The S&P 500 fell 1.7% to 6,013.13, the NASDAQ Composite dropped 2.2% to 19,524.01, and the Dow Jones Industrial Average decreased 1.7% to 43,428.02.
S&P Global's preliminary composite purchasing managers' index for the US declined to 50.4 in February from 52.7 in January, with the services PMI falling to 49.7 from 52.9. The University of Michigan's sentiment index showed US consumer sentiment weakened in February, registering 64.7, down from 71.1.
NVIDIA Corporation shares fell 4.1% on Friday, reflecting growing anticipation and uncertainty ahead of the company's earnings release this week.