Back at home, a broad-based selloff was recorded across sectoral indices with banking, financials and metal stocks taking the worst hit. The domestic equities are expected to have a choppy session today as weak global cues & weekly derivative contracts expiry of index futures is likely to lead both-sided movements after a bearish start.
At around 09.48 AM, Sensex was trading at 52,353.06 down by 148.92 points or 0.28%. The index had touched an intraday high and low of 52,362.7 and 52,099.72 respectively.
Meantime, the Nifty 50 performed at Rs15,719.55 below 48 points or 0.3%. The index has touched an intraday high and low of 15,722.80 and 15,644.70 respectively.
In terms of sectoral indices, Nifty Bank, Nifty Metal and Nifty Financial Services plunge nearly 1% each. Nifty Media and Nifty Realty were the only top gainers, however, with a marginal upside.
In terms of broader markets, India's volatility index was up by 1.4%. While other sectoral indices were performing flat to negative.
Top bulls on NSE were Asian Paint surging 1.1% followed by Eicher Motors, Nestle, Shree Cement and Reliance Industries soaring between 0.5-0.7%.
Top bears on NSE were Adani Ports dived for the fourth straight day plunging by 2.3% followed by HDFC lower by more than 1%. Stocks like Hindalco, Hero MotoCorp and Maruti Suzuki dipped nearly 1% each.
Asian stocks were broadly in the red with Japan's Nikkei 225 underperformed by over 1%. However, Hong Kong and Chinese shares were in the green. Notably, Chinese stocks may buck the trend as they have consolidated well over the last 2 weeks & generally are good contrarian plays when other markets see profit booking.
US Fed has upped its projected timeline for raising interest rates by 2023 compared to earlier targeted 2024.
However, the US Fed officials continued to say that inflation pressures are “transitory", even though they raised its headline inflation target to 3.4% which is a full percentage point higher from March estimates. The hiked expectations inflation would be the highest rise in about 13 years.
The US Fed expects GDP at 7% in 2021 due to the sharp rebound in economic growth. US Fed chair Jereme Powell stated that progress toward the Fed’s dual employment and inflation goals was somewhat faster than anticipated.