Markets decline in early trade; IT stocks drag

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| Photo Credit: Reuters

Benchmark equity indices declined in early trade on Wednesday (September 18, 2024) after a record rally, dragged by IT stocks and sluggish global market trends, ahead of the much-awaited U.S. Fed’s decision on interest rates.

The 30-share BSE Sensex declined 130.24 points to 82,949.42. The NSE Nifty dipped 37.75 points to 25,380.80.

From the 30 Sensex firms, Tech Mahindra, Infosys, Tata Consultancy Services, HCL Technologies, Asian Paints and Sun Pharma were the biggest laggards.

Bajaj Finance, ITC, Bajaj Finserv and HDFC Bank were among the gainers.

In Asian markets, Tokyo traded higher while Shanghai quoted lower.

The U.S. markets ended on a mixed note on Tuesday.

“The significance of the Fed rate decision expected tonight is evident from the wait and watch market mood across the globe yesterday. Perhaps more important than the Fed action would be the Fed commentary and the message,” said V.K. Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

Foreign Institutional Investors (FIIs) turned buyers on Tuesday as they bought equities worth ₹482.69 crore, according to exchange data.

Global oil benchmark Brent crude declined 0.46% to USD 73.36 a barrel.

Extending its record-setting spree for the second day on Tuesday, the BSE benchmark climbed 90.88 points or 0.11% to settle at a lifetime high of 83,079.66. The Nifty went up by 34.80 points or 0.14% to settle at an all-time peak of 25,418.55.