The domestic equity barometers snapped their four-week winning streak and ended with modest losses as volatility continues to grip stocks across the globe. Broader markets continued to underperform as compared to the domestic equity benchmarks. India's better-than-expected domestic inflation numbers gave a boost to the investor sentiment. Geo-political tensions, however, remain high as Russia-Ukraine war continued unabated for thirty-eighth week. In the week ended on Friday, 18 November 2022, the Sensex lost 131.56 points or 0.21% to settle at 61,663.48. The Nifty 50 index declined 42.05 points or 0.23% to settle at 18,307.65. The BSE Mid-Cap index fell 1.30% to settle at 25,134.92. The BSE Small-Cap index shed 0.81% to settle at 28,750.11.

The Sensex and Nifty hit a 52-week high of 62052.57 and 18,442.15, respectively, on Wednesday, 16 November 2022.

Weekly Index Movement:

The key equity benchmarks ended with modest losses on Monday. The barometer index, the S&P BSE Sensex, fell 170.89 points or 0.28% to 61,624.15. The Nifty 50 index lost 20.55 points or 0.11% to 18,329.15.

The domestic equity benchmarks settled with strong gains on Tuesday. The barometer index, the S&P BSE Sensex gained 248.84 points or 0.40% to 61,872.99. The Nifty 50 index added 74.25 points or 0.41% to 18,403.40.

The Indian equity benchmarks bounced off early lows and settled higher on Wednesday. The barometer index, the S&P BSE Sensex, advanced 107.73 points or 0.17% to 61,980.72, its record closing high. The Nifty 50 index added 6.25 points or 0.03% to 18,409.65.

The headline equity indices ended with modest losses after a volatile session on Thursday. The barometer index, the S&P BSE Sensex, was down 230.12 points or 0.37% to 61,750.60. The Nifty 50 index lost 65.75 points or 0.36% to 18,343.90.

The key equity indices ended with minor cuts after a volatile session on Friday. The barometer index, the S&P BSE Sensex, declined 87.12 points or 0.14% to 61,663.48. The Nifty 50 index lost 36.25 points or 0.20% to 18,307.65.

Economy:

India's wholesale price-based inflation declined to a 19-month low of 8.39% in October, on easing prices of fuel and manufactured items. This is the first time in 19 months that the WPI inflation print has come in single digits.

"Decline in the rate of inflation in October 2022 is primarily contributed by fall in the price of mineral oils, basic metals, fabricated metal products, except machinery and equipment; textiles; other non-metallic mineral products; minerals etc," the commerce and industry ministry said on Monday.

India's industrial growth, as per the Index of Industrial Production (IIP), rose to 3.1% in September, data released on Friday showed. The growth was primarily owing to a rise in manufacturing and mining outputs. The IIP had grown 4.4% in September 2021.

According to the government data, the output of the manufacturing sector rose 1.8% in September 2022 as against a 4.3% growth recorded in the year-ago period, as per latest data from the National Statistical Office (NSO).

India's retail inflation, which is measured by the Consumer Price Index (CPI), fell to a three-month low of 6.77% in October, down from 7.41% in September. The overall food inflation, which accounts for nearly half the CPI basket, came in at 7.01% in October as against 8.60% in the preceding month.

Meanwhile, India's overall exports (merchandise and services combined) in October 2022 are estimated to be $$58.36 billion, exhibiting a positive growth of 4.03% over the same period last year. Overall imports in October 2022 are estimated to be $73 billion, exhibiting a positive growth of 11.82% over the same period last year.

India was handed over the Presidency of the G20 at the closing session of the G20 Summit in Bali today (16 November 2022). India will officially assume the G20 presidency from 1st of next month. The next G20 Summit will be held on the 9th and 10th of September in New Delhi.

Stocks in Spotlight:

Grasim Industries ended flat%. The Aditya Birla Group company's consolidated net profit declined 17% to Rs 1,097 crore in Q2 FY23 from Rs 1,327 crore posted in Q2 FY22. Revenue from operations jumped 22% to Rs 27,486 crore in quarter ended 30 September 2022 as against Rs 22,567 crore recorded in the corresponding quarter previous year.

Oil and Natural Gas Corporation (ONGC) rose 0.89%. The PSU company's standalone net profit dropped 30.09% to Rs 12,825.99 crore in Q2 FY23 as against Rs 18,347.73 crore in Q2 FY22. Revenue from operations surged 57.53% to Rs 38,320.76 crore in quarter ended 30 September 2022 from Rs 24,353.61 crore recorded in the corresponding quarter previous year.

Tata Consultancy Services (TCS) gained 0.78%. The IT major has been selected as a strategic partner by TAP Air Portugal, the flag carrier airline of Portugal and a member of Star Alliance, to accelerate its digital transformation and drive innovation.

Wipro fell 1.44%. The company announced new retail solutions, built on the Microsoft Cloud and Cloud for Retail, and a new Retail Innovation Experience in Mountain View, California. This physical, virtual, and hybrid Experience will deepen collaboration between Wipro and Microsoft to accelerate delivery of new solutions that will enable retailers to grow their business and build stronger customer relationships.

Tata Motors ended flat. Thierry Bolloré tendered his resignation as the CEO of Jaguar Land Rover Automotive Plc, UK ("JLR"), a wholly owned subsidiary of Tata Motors, due to personal reasons, with effect from 31 December 2022. Taking over from today as Interim CEO will be Adrian Mardell. Adrian has been part of JLR for 32 years and a member of the executive board for three years.

Separately, Tata Motors said it will supply the 52-seater fully built BS6 diesel buses in a phased manner, as per the contract. Tata Motors said the e-bidding process was carried out through the Government tender process.

Eicher Motors slipped 3.61%. The company appointed Vidhya Srinivasan as the chief financial officer (CFO) and key managerial personnel of the company with effect from 18 November 2022.

Global Markets:

China's industrial production grew 5% in the month of October compared with a year ago, slowing from an increase of 6.3% seen in September. Separately, retail sales in China fell 0.5% in October from a year ago, missing expectations.

Japan's economy unexpectedly contracted in the third quarter from a year ago, official preliminary estimates showed. Gross domestic product shrank 1.2% in the July-to-September quarter compared with the same period last year.

Japan's core consumer price index for October rose 3.6% compared to a year ago, higher than expected and at the fastest pace in 40 years.

In Europe, U.K. inflation jumped to a 41-year high of 11.1% in October, exceeding expectations as food, transport and energy prices continued to squeeze households and businesses.

U.S. producer price inflation fell to its lowest in over a year in October. The producer price index rose 0.2% in October. On a year-over-year basis, PPI rose 8% compared to an 8.4% increase in September.

Retail sales in the US jumped 1.3% in October to $694.5 billion, led by higher gas prices and auto sales. Sales were up 0.9% when excluding gas and auto sales. The data showed the ongoing resilience of the consumer despite elevated inflation and higher interest rates.

St. Louis Fed President James Bullard said policymakers should increase interest rates to at least 5% to 5.25% to curb inflation. He also warned of further financial stress ahead.

The number of Americans filing new claims for unemployment benefits fell last week. Initial claims for state unemployment benefits dropped 4,000 to a seasonally adjusted 222,000 for the week ended November 12, the Labor Department said on Thursday.