Tracking weakness in global market amid the ongoing US Fed meeting, the Indian market declined for the third day in a row. The benchmarks opened flat with negative bias as they fell around 0.10% in the opening trade, fearing aggressive interest rate hike by the US Fed. The Nifty50 opened at16,475.35 and the Sensex started at 55,258.29 on Wednesday.  

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However, as per V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, the Fed announcement on interest rates expected late tonight is unlikely to impact equity markets in a big way since the most likely outcome of 75 bp rate hike has been discounted by the markets.  

"The market, which continues to be volatile, is swinging between fears of an imminent US recession on one side and hopes of the US avoiding a sharp economic slowdown on the other. Only time will tell which of the two scenarios will play out," said Vijayakumar.  
 
Further, in the broader market, the Nifty Midcap index was seen trading higher by 0.14%, while the Smallcap declined by 0.10% amid profit booking.  

On the sectoral front, the Nifty indices were seen trading mixed with marginal gains or loss.  

Ahead of the market opening, the Sensex marginally declined by 100 points to trade near 55,200 as 16 stocks advanced, 12 declined and two remained neutral on the 30-share index. 

Earlier, SGX Nifty was trading with gains of five points in the early trade on the Singaporean exchange on Wednesday morning. Likewise, Japanese Nikkei 225 was trading with a marginal gain of 0.05%, While Hang Seng Index at the Hong Kong Exchange fell by 1.1% and Chinese Shanghai Composite dropped 0.20% in the early morning trade on Wednesday.  

On Tuesday, the US market closed in the red fearing an aggressive rate hike by the Fed. The US equity benchmarks Dow Jones ended lower by 0.71%, Nasdaq Index declined 1.87% and S&P 500 dropped 1.15% on Tuesday.