Indian equity benchmarks ended the Friday's trade in red terrain as traders opted to book profit from three day consecutive gains. Soon after making a positive start markets entered into red terrain as trader remain concerned as the Federation of Indian Export Organisations (FIEO) said India's exports growth may slow to 15-17.5% in FY23 but containment of Covid-19 through massive vaccination across the globe and creation of required capacity will be the decisive factors. Traders also remained cautious, amid reports that the Indian hospitality industry, battered by the pandemic, is on alert mode but not panicking yet in the face of the Omicron variant threatening to derail prospects of winter holiday season business. Markets extended losses as the Centre for Monitoring Indian Economy said that the outbreak of pandemic has led to an increase in the number of households with no earning members making them more vulnerable to the pandemic. Besides, Automobile dealers' body FADA said passenger vehicle supplies may get affected further if chip-making countries go under lockdown due to the spread of the Omicron variant of COVID-19. The industry body, however, noted that it expects the semiconductor shortage situation to normalize by the second half of next year. However, traders trimmed some losses in later part of the trade as some support came with a private report that India can generate $813 billion in revenue creating 152 million jobs, with an investment of $272 billion in agritech and allied segments by 2030, making it the largest private sector industry in the country. Traders also took some relief after Jayant Sinha, Chairperson, Parliament Standing Committee on Finance, has said that the government is working to bring changes in the GST Act and other public platforms so that companies can utilise data to grow big in size and scale. Finally, the BSE Sensex lost 190.97 points or 0.33% to 57,124.31 and the CNX Nifty was down by 68.85 points or 0.40% to 17,003.75.

The US markets remained closed on Friday on account of Christmas holiday.

Indian rupee ended higher against dollar on Friday due to fresh selling of the American currency by banks and exporters as risk appetite improved amid easing fears of fallout from the Omicron coronavirus variant. Sentiments were upbeat as India and Australia have decided to expedite the pace of negotiations to clinch an interim trade deal, which will be followed up with a broader free trade agreement (FTA). Some support also came with a private report that India can generate $813 billion in revenue creating 152 million jobs, with an investment of $272 billion in agritech and allied segments by 2030, making it the largest private sector industry in the country. Traders paid no heed towards report that Federation of Indian Export Organisations (FIEO) said India's exports growth may slow to 15-17.5% in FY23 but containment of Covid-19 through massive vaccination across the globe and creation of required capacity will be the decisive factors. On the global front, dollar eased on signs the Omicron variant would not significantly derail global economic growth. Finally, the rupee ended 75.03 (Provisional), stronger by 23 paise from its previous close of 75.26 on Thursday.

The FIIs as per Friday's data were net buyers in equity segment, while net sellers in debt segment. In equity segment, the gross buying was of Rs 5626.95 crore against gross selling of Rs 5312.11 crore, while in the debt segment, the gross purchase was of Rs 436.07 crore against gross selling of Rs 1689.96 crore. Besides, in the hybrid segment, the gross buying was of Rs 3.31 crore against gross selling of Rs 6.72 crore.

The US markets were closed on Friday on the back of the Christmas holiday. Asian markets are trading mixed on Monday in thin holiday trade as fears lingered over the impact of the Omicron coronavirus variant. Indian markets nursed losses on Friday after a three-session rising streak as selling in banking, finance and power stocks offset continued outperformance by the IT pack. Today, the markets are likely to make weak start tracking mixed Asian cues. traders will be concerned with a private report that it has penciled in an 8.2 per cent GDP growth next fiscal, with more downside risks to the projection, warning that the New Year will be riskier than the previous two in terms of growth, inflation and the perils of monetary policy normalisation on consumption demand in particular, along with other external risks. There will be some cautiousness as RBI data showed the country's foreign exchange reserves declined by $160 million to stand at $635.667 billion in the week to December 17. In the previous week ended December 10, the reserves had decreased by $77 million to $635.828 billion. However, some respite may come as a member of the Monetary Policy Committee (MPC) of the Reserve Bank, Jayanth R Varma expressed hope that in a few quarters from now, capital investment would begin to pick up even in the old economy, and said the next fiscal year is also expected to witness a decent growth. Traders may take note of report that the GST regime will see a host of tax rate and procedural changes coming into effect from January 1, including liability on e-commerce operators to pay tax on services provided through them by way of passenger transport or restaurant services. Meanwhile, the commerce ministry's investigation arm DGTR has recommended imposition of anti-dumping duty on caustic soda, used in diverse industrial sectors, for five years from Japan, Iran, Qatar and Oman, to guard domestic players from cheap imports. Banking sector stocks will be in focus with a private report that the banking sector is set to witness significant reforms in the coming year with privatisation of public sector banks and strategic disinvestment of IDBI Bank on the agenda of the government for 2022. There will be some reaction in fertilizer stocks as the government decided to make changes to the existing nutrient based subsidy (NBS) policy to promote domestic production of phosphatic and potassic (P&K) fertilisers amid a sharp rise in global prices. Infrastructure industry stocks will be in limelight with report that as many as 439 infrastructure projects, each entailing investment of Rs 150 crore or more, have been hit by cost overruns totalling more than Rs 4.38 lakh crore.

                                Support and Resistance: NSE (Nifty) and BSE (Sensex)

Nifty Top volumes

• NTPC is planning to procure 20 tonnes of plastic waste daily from the Greater Noida Industrial Development Authority and use it to generate 400 kilowatts of electricity. 
• TCS has been selected by la Mobiliere, the oldest private non-life insurer in the Swiss market, as its long-term strategic partner to drive its digital transformation agenda. 
• IOC is setting up a new crude oil pipeline system with a nameplate capacity of 17.5 million tonnes per annum from Mundra (Gujarat) to Panipat (Haryana). 
• ITC has launched Sunfeast Dark Fantasy Desserts aimed at catering to a new consumption occasion segment.