Gift Nifty hints over 100pts gap-down; Infy ADR sinks 7%


Stock market updates on October 13, 2023: Indian equity market seems poised for a gap-down start on Friday following the fresh spike in US bond yields and cut in growth forecasts by IT majors post Q2 results.

At 07:00 Gift Nifty quoted around 19,700, indicating a gap-down of over 100 points on the NSE benchmark – Nifty 50 index.  

Overnight, the US indices – Dow Jones, Nasdaq, the S&P 500 declined over 0.5 per cent each after inflation in the US rose slightly more than expected at 0.4 per cent on a month-on-month basis. This send the US 10-year Treasury yeilds surging to 4.73 per cent.

However, back home, retail inflation in September declined to a 3-month low at 5.02 per cent. Investors will now closely watch out for WPI-based inflation to be announced later today.

That apart, Infosys after reporting 3.2 per cent year-on-year (YoY) growth in Q2FY24 net profit at Rs 6,212 crore, lowered its FY24 revenue growth guidance to 1.0-2.5 per cent in constant currency terms from 1-3.5 per cent guided earlier. Following which, the Infy ADR tumbled 6.5 per cent.

Similarly, HCLTech revised its FY24 revenue guidance to 5-6 per cent Y-o-Y growth in constant currency terms due to weak performance in the first half of the year. This is down from the earlier estimate of 6-8 per cent.

Further, markets in Asia too painted a negative picture. Hang Seng was down 1.6 per cent. Kospi, Taiwan and Straites Times declined over 0.5 per cent each. Nikkei, however, was marginally in red.

Among commodities, Brent Crude Oil quoted around $86 per barrel after a volatile trade on Thursday. Gold was seen steady around $1,885 an ounce.



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