Share Market News Today | Sensex, Nifty, Share Prices LIVE: Domestic markets started Wednesday’s trade with losses, falling nearly 700 points or 1.1% to hover around 55,600. NSE Nifty 50 was sitting just above 16,600, falling more than 1%. Bank Nifty was down more than 2%, giving up 35,400. Broader markets were largely in the red while India VIX was up close to 5%. Tata Steel gained 3% as the top Sensex gainer, followed by Reliance Industries, Power Grid, and Mahindra & Mahindra. Bajaj Auto was down 5%, accompanied by ICICI Bank, Asian Paints, and HDFC Bank.

Much-awaited LIC IPO may get delayed given the deteriorating geopolitical situation and the consequent volatile state of financial markets. Market watchers point out that the government’s idea to rethink the timeline is understandable pointing out that sticking to the March-end target, amidst the prevailing subdued sentiment, could require the shares to be priced lower than the currently expected Rs 2,000-2,100. Lower pricing of the LIC IPO would not help the government reach its divestment target. Only in a good market, experts say, would it be possible to attract a market capitalisation of Rs 13-14 lakh crore. Earlier yesterday, Nirmala Sitharaman said that the government may reassess its timeline given the market conditions.

17000-17200-17350 to act as resistance for Nifty

Both 16420 and 16720, the range extremities lined up for Monday were broken, albeit briefly. A pull back again towards 16580, on either side of which we anticipated Nifty to swing on Monday as well, will confirm our consolidation bias. However, we feel, upside attempts could eventually win, allowing a free run to 17500, but not before 17000-17200-17350 poses significant challenges. Bearish bets will get the first look once inside the 17000-200 region, or on a breakdown below 16340.

Nifty needs to close above 16800

As per change of polarity concept earlier support of 16800 is now acting as an immediate resistance for the Nifty over past three sessions. Going ahead, only a decisive close above 16800 along with cool off in VIX and crude oil prices will add fuel to the ongoing pullback rally towards 17200 as it is the 61.8% retracement of February decline (17795-16203), placed at 17186. Meanwhile, breach below Monday’s low of 16356 on a closing basis would lead to extended correction towards 16200.

Relative safety in IT stocks

“Crude skyrocketing to $110 is a major shock to the economy. After the elections in March petroleum product prices will rise sharply even if the govt goes for an excise cut. Q3 GDP growth at 5.4?me lower than expected. This slowdown is likely to be extended, going forward. As things stand now, India's GDP growth for FY 23 will be lower and inflation higher than estimates. This is negative for the stock market. In this highly volatile and uncertain scenario, investors should remain in a wait and watch mode. There is relative safety in IT stocks and valuation comfort in high quality financials.”