Stock Market Downturn: Key Insights and Performance Highlights from Yesterday’s Stock Market

Stock Market Summary for Yesterday

The stock market experienced a significant decline yesterday, with the opening much lower than the previous day’s closing point. The Nifty 50 stocks remained low throughout the day and fell further towards the end, reflecting a broader downturn in the market.

Market Performance

Sectoral Performance

Most sectors experienced a downturn, with realty and auto stocks falling the most. This widespread decline across various sectors indicates a general bearish sentiment in the market.

Global Markets

Global markets also followed a downward trend. US, European, and all Asian markets were down, adding to the negative sentiment in the Indian stock market.

Top Gainers

Despite the overall market decline, some stocks in the Nifty 50 managed to gain. Here are the top gainers:

1. Divi’s Labs: The stock rose by 1.49% to Rs 4,991.25.
2. HDFC Bank: It saw a 1.24% increase, closing at Rs 1,659.15.
3. Dr. Reddy’s: The stock price increased by 1.11% to Rs 6,964.15.
4. Sun Pharma: It closed at Rs 1,731.65, up by 0.96%.
5. Kotak Mahindra: The stock rose by 0.60%, ending at Rs 1,803.45.

Top Losers

On the downside, several stocks experienced significant losses. Here are the top losers in the Nifty 50:

1. Eicher Motors: The stock fell by 4.87%, closing at Rs 4,726.70.
2. Maruti Suzuki: It saw a decline of 4.74%, ending at Rs 12,726.40.
3. Tata Motors: The stock dropped by 4.17% to Rs 1,096.65.
4. Hindalco: It closed at Rs 648.05, down by 3.78%.
5. JSW Steel: The stock price decreased by 3.75% to Rs 899.55.

Key News and Updates

Increase in ITR Filings

The number of Income Tax Returns (ITRs) filed increased by 7.5% year-on-year to 7.28 crore for FY24, compared to 6.77 crore for FY23, according to the IT Department. This increase indicates a growing compliance and participation in the tax system.

Byju’s Insolvency Proceedings

The National Company Law Appellate Tribunal (NCLAT) has dropped insolvency proceedings against the ed-tech company Byju’s. The company will pay the BCCI Rs 158 crore for the settlement, failing which the proceedings may reopen.

IPO Subscriptions

• Ola Electric: The IPO has been subscribed 0.35 times, with retail subscription at 1.57 times. The IPO will be open until August 6.
• Ceigall: This IPO has been subscribed 1.23 times, with retail subscription at 1.65 times. It will remain open until August 5.

Quarterly Results

• Titan: The company’s net profit fell by 5.05% year-on-year to Rs 715 crore in the April-June quarter.
• Hindustan Zinc: Quarterly net profit rose by 19.40% to Rs 2,345 crore.
• Britannia: The company reported a 10.51% increase in net profit, reaching Rs 505.64 crore.
• Hero Moto: The company has renewed its partnership with the International Hockey Federation for the next five years, continuing as the global leadership partner of the federation.
• GSK Pharma: The company’s quarterly net profit rose by 37.87% to Rs 182.33 crore.

Commodity and Currency Updates

Commodities

• Gold: The price of 10 grams of gold increased by 0.83% to Rs 70,250.
• Silver: The price of 1 kilogram of silver fell by 0.10% to Rs 83,720.

Currency

• USD-INR: The exchange rate slightly decreased by 0.01%, with 1 USD equaling Rs 83.74.

International Market Indices

US Markets

• Dow Jones: The index fell by 1.21% to 40,347.97.
• Nasdaq: It saw a decline of 2.30%, closing at 17,194.14.

Long-Term Returns

Despite the short-term fluctuations, long-term returns for major indices have been robust:

• Sensex: An annual return of 14.71% over the past 20 years.
• Nifty: An annual return of 14.53% over the same period.
• Dow Jones: An annual return of 7.15% over the past 20 years.
• Nasdaq: An annual return of 11.68% over the same period.

Yesterday’s stock market performance was marked by a broad decline, with significant drops in various sectors and global markets. Despite this, some stocks in the Nifty 50 managed to post gains. Key news, such as the increase in ITR filings and updates on IPO subscriptions, also played a role in shaping the market sentiment. Looking at the long-term perspective, major indices have continued to offer substantial returns over the past two decades.

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