Asian share markets are trading mostly in the negative territory today, as investors anticipated a rocky road for China's unwinding of Covid-19 restrictions and the prospect that US interest rates will rise higher than expected in 2023.

The Nikkei fell by 2.7% while the Hang Seng was down by 1.4%. The Shanghai Composite is trading lower by 0.6%.

Wall Street closed lower on Monday for a fourth straight session with Nasdaq leading declines as investors shied away from riskier bets, worried the Federal Reserve's tightening campaign could push the US economy into a recession.

The Dow Jones ended lower by 0.5% while the tech-heavy Nasdaq Composite ended lower by 1.5%.

Here's a table showing the performance of US stocks yesterday:

Source: Equitymaster

Back home, Indian share markets are trading on a negative note following the trend on SGX Nifty.

Benchmark indices extended losses today after opening lower, tracking weak global cues.

At present, the BSE Sensex is trading lower by 600 points. Meanwhile, the NSE Nifty is trading down by 194 points.

Axis Bank and Ultratech Cement are among the top gainers today. Tech Mahindra and HUL are among the top losers today.

Broader markets are trading on a negative note. The BSE Mid Cap index is trading lower by 0.7% and the BSE Small Cap index is trading lower by 0.3%.

Sectoral indices are trading on a negative note. Stocks in the IT sector, realty sector, and utilities sector witness selling.

Shares of Adani Enterprises and Axis Bank Industries hit their 52-week high today.

IRCTC share price is falling post the government announcement of OFS. The stock is down 1% today.

The rupee is trading at 82.7 against the US dollar.

In the commodity markets, gold prices trade higher by Rs 150 at Rs 54,410 per 10 grams.

Meanwhile, silver prices are trading lower by 0.2% at Rs 67,383 per 1 kg.
 

Bullish Pattern on Nifty Chart

Indian share markets have corrected over 3% from their recent high, in sync with the US markets. The market fell yet again today tracking weak global cues.

This comes on the back of mounting fears of recession post the release of economic data last week. The fear resulted in profit booking at higher levels.

(Click on image to enlarge)

HDFC to raise interest rates

Housing Development Finance Corporation (HDFC) has revised its retail prime lending rate (RPLR) on housing loans.

The company has stated in a statement that as of 20 December 2022, it would increase its RPLR on housing loans by 35 basis points, on which its adjustable rate home loans (ARHL) are benchmarked.

The repo rate was increased by the Reserve Bank of India (RBI) by 0.35%, from 5.9% to 6.25%, during its monetary policy meeting on 7 December 2022. This is the fifth time since May of this year that the repo rate has lifted.

The RBI has increased the benchmark rate by a total of 2.25% since May as a consequence. Analysts projected that EMIs would increase as a result, and today's statement by HDFC came following the RBI's policy repo rate decision in December.

HDFC has cumulatively increased its lending by 225 bps since May.
 

Promoters of Dabur India to Sell Stake

According to reports, promoters of Dabur India Ltd may sell a small stake valued at Rs 820 crore (about Rs 8,200 million) in the packaged goods company through a block deal today.

The transaction is expected to take place at a 4% discount to the stock's Monday closing price of Rs 588.7. A 4% discount implies a price of Rs 565.

The transaction will see the Burman family offload around 0.8% of their stake in the company, which is valued at Rs 1 tn.

Dabur promoters own 67.2% of the company, while the rest is with the public, including 20.2% held by foreign portfolio investors.

Goldman Sachs is managing the transaction.

The Burmans acquired 14.3% of Eveready Industries in June, raising their shareholding in the company to 38.3%. As a result, they are the single largest shareholders in the company. Their imminent transaction in Dabur may, however, have no connection with the stake increase in Eveready.

Did you know that Dabur India is one of the top 5 FMCG companies in India by growth?
 

Reliance to Sell Stake in Just Dial

Billionaire Mukesh Ambani-led Reliance Retail Ventures (RRVL), the promoter of Just Dial, will sell a 2% stake in the company through an open market sale for achieving minimum public shareholding.

RRVL intends to complete the sale of the shares within a period of eight trading days beginning 21 December 2022.

RRVL holds a 66.4% stake in Just Dial as of 30 September 2022. Promoter and promoter group entities together hold a 76.9% stake in the company. According to regulatory norms, the total promoter holding in a firm shouldn't exceed 75%.

Last year, RRVL acquired 66.9% of Just Dial for Rs 34.97 billion (bn), giving the retail arm of India's most valuable company access to a database of millions of merchants and other users.

Reliance Retail was classified as a promoter of Just Dial post this deal.

Meanwhile, the local search engine company reported a 58.6% jump year-on-year in net profit for the quarter that ended September.

The company had reported operating revenue of Rs 2.1 bn, up 31.6% from the corresponding period in the previous year and 10.6% in the previous quarter. The adjusted operating EBITDA, excluding ESOP expenses, came at Rs 195 m.

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