Indian benchmark indices faced a decline for the third consecutive session on Wednesday, December 18. The Sensex closed down by 502.25 points or 0.62%, finishing at 80,182.20, while the Nifty fell 137.15 points or 0.56%, ending at 24,198.85.
The market saw a broad sell-off, with 1,379 shares advancing, 2,456 shares declining, and 92 remaining unchanged.
Sectoral Performance and Stock Highlights
The majority of sectoral indices closed in the red, with notable losses in sectors like auto, energy, PSU banks, metal, media, and realty, which saw declines ranging from 0.5% to 2%. However, the pharma sector bucked the trend, rising by 1%.
Among the top gainers on the Nifty were Trent, Dr. Reddy’s Labs, Cipla, Wipro, and Bajaj Auto, while major losers included Tata Motors, Bharat Electronics, Power Grid Corporation, JSW Steel, and NTPC.
Welspun One Logistics Parks Fundraising Efforts
In corporate news, Welspun One Logistics Parks launched efforts to raise Rs 4,000 crore, attracting strong interest from global investors.
The funds will be used to solidify Welspun One’s position as a key player in India’s growing logistics sector. As part of its strategy, the company plans to double its logistics portfolio from 16 million sq ft to 32 million sq ft by 2028, with a pipeline of 8 million sq ft already identified.
MobiKwik’s Strong Debut on BSE
MobiKwik Systems made a stellar debut on the BSE, opening at Rs 442.25, a 58.51% premium over its issue price. The stock hit a high of Rs 524 and a low of Rs 439.20, with over 1.45 lakh shares traded. The company’s IPO, which was oversubscribed 119.38 times, raised Rs 572 crore, signaling strong investor confidence in MobiKwik’s digital payments strategy.
Punjab & Sind Bank’s Infrastructure Bonds
Punjab & Sind Bank successfully raised Rs 3,000 crore through its maiden issuance of infrastructure bonds, surpassing the base issue size of Rs 500 crore.
The bonds saw overwhelming demand, with bids totaling Rs 6,031 crore. The bonds were issued at a coupon rate of 7.74% per annum, indicating strong interest from investors. This move aims to boost the bank’s infrastructure lending capabilities in India.
Gold Prices and US Federal Reserve Outlook
Gold prices traded lower at $2,644, down by 0.08%, as investors awaited the Federal Reserve’s policy announcement. The Fed is widely expected to hold rates steady, but market focus is on its outlook for 2025, with fewer rate cuts anticipated next year. Rising U.S.
Treasury yields and a strong dollar further pressured gold prices, which are facing bearish risks unless they breach the $2,693.40 resistance level.
Power Grid Corporation of India Raises Funds
State-owned Power Grid Corporation of India announced its board had approved a proposal to raise up to Rs 4,250 crore through the issuance of bonds on a private placement basis. The approval came during a meeting of the company’s Committee of Directors for Bonds, aimed at enhancing the company’s funding capabilities for infrastructure development.
Broader Market Performance
The broader markets lagged behind the benchmarks, with the Nifty Midcap100 dropping by 0.64% and the Smallcap100 declining by 0.87%. This underperformance signals a cautious sentiment among investors toward mid and small-cap stocks, reflecting a pullback in broader market participation.
Vishal Mega Mart’s Market Debut
Vishal Mega Mart shares soared on their market debut, opening at a 41% premium on the BSE and 33.3% on the NSE. The stock continued its upward momentum, finishing up 45% from its issue price, pushing its market capitalization past Rs 50,000 crore and marking a strong entry into the capital markets.
Indian Rupee Hits Record Low
The Indian rupee ended at an all-time low of 84.94 against the US dollar, slipping by 3 paise. This decline was driven by strong demand for the greenback, equity outflows, and regional currency weakness. Persistent global uncertainties, particularly around economic growth and U.S. Federal Reserve policies, added further pressure. However, interventions by the Reserve Bank of India helped curb the rupee’s losses, offering some relief in the face of a challenging global backdrop.
As global markets await further developments, today’s market action highlights a mix of investor caution and strong corporate moves that continue to shape the financial landscape.
