The domestic equity benchmarks ended lower on Wednesday, snapping a two-day rally, as mixed global cues and concerns about domestic economic growth weighed on investor sentiment. The Nifty 50 index closed below the 24,350 mark, dragged down by losses in banks and consumer durables stocks. Media and FMCG stocks, however, bucked the trend and ended higher. The benchmark index traded in a narrow range throughout the session, failing to break above the 24,500 level.

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The Indian rupee depreciated 4 paise to close around record lows of 84.09 (provisional) against US dollar on Wednesday, weighed down by weak domestic markets and month-end dollar demand from importers. Indian shares ended lower, with mixed earnings and caution ahead of next week’s U.S. presidential election and Federal Reserve rate decision keeping investors anxious. The benchmark S&P/BSE Sensex dropped 426.85 points, or 0.53 percent, to 79,942.18, snapping a two-day winning streak on the back of weak cues from other Asian and European markets. The broader NSE Nifty index closed at 24,340.85, down 126 points, or 0.51 percent, from its previous close. At the interbank foreign exchange, the rupee opened at 84.06 against the greenback. It traded in a tight range and ended the day at 84.09 (provisional), down 4 paise from its previous close.

The country’s gold imports, which have a bearing on the country’s current account deficit (CAD), rose by 21.78 per cent to USD 27 billion during April-September this fiscal due to strong domestic demand, according to the government data.
The imports stood at USD 22.25 billion in April-September 2023-24.
An industry expert said that the ongoing festival demand is helping the increase in imports.
In 2023-24, India’s gold imports surged 30 per cent to USD 45.54 billion.
Switzerland is the largest exporter of gold, with about 40 per cent share, followed by the UAE (over 16 per cent) and South Africa (about 10 per cent).
The precious metal accounts for over 5 per cent of the country’s total imports.
The jump in gold imports pushed the country’s trade deficit (difference between imports and exports) to USD 137.44 billion during the first half of the current fiscal compared to USD 119.24 billion during April-September 2023.
India is the world’s second-biggest gold consumer after China.