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Using AI to filter stocks; here’s what Upside AI’s algorithm is indicating for stock markets ahead

The pandemic has made humans more dependent on technology, be it for working, shopping and now even for investing. Upside AI — a SEBI registered Portfolio Management Service (PMS) is among the first funds in India to use machine learning to make fundamental investment decisions. The technology-focused fund believes that the next Warren Buffett would be Artificial Intelligence. Kanika Agarrwal, Co-founder and Chief Investment Officer, Upside AI in interaction with Kshitij Bhargava of Financial Express Online, discussed how their algorithm works and what it believes is in store for stock markets next. Here are the edited excerpts.

You use an exciting mechanism to gauge the market, what does it say about the current market situation and where is it expected to go in the coming future?

Therefore, the decision any investor must make is two-fold – 

(1) Am I comfortable with my equity allocation?

(2) Given the market conditions today, what are good stocks to hold?    

Given that we are an equity investor, the first question is answered. Hence, we are mainly answering the second question – “what will the market think is a good company next quarter”.   

At the moment, based on our analysis of current market conditions, our multi cap portfolio is weighted towards small caps and value stocks. 

We have heard arguments in favour of a bottom-up approach when going stock shopping now; do you believe in that approach? How would you go by doing that?

We are a primarily bottom-up shop. So far, technology has been used in high frequency, technical analysis, etc in India. However, bottom-up, fundamental analysis has been the domain of human managers.

If you analyse long term data, you will see that humans by and large perform similar to the index as humans are driven by emotion and prone to make suboptimal decisions.

Therefore, we are trying to solve investing (not trading) by using machine learning. The idea is to feed in financial numbers of companies and let the machine determine what it means to be “fundamentally good” in current market conditions. As markets are constantly evolving, the meaning of “good stocks” also changes – some periods, PE does not matter as much as growth, in others the debt is far more important. Of course, we do a layer of corporate governance checks to capture data the machine cannot about the quality of the numbers.

Technology has been an enabler more so than ever in this decade, Upside AI is a product of that, but is there more upside potential in IT stock from here?

You will find a lot of sectors clocking that have done well since March. For IT specifically, the long-term story of the disproportionate role technology will play in our lives remains the same. Therefore, IT as a sector will be a good buy intuitively (just like, say consumer stocks). The question we must answer is what is a good stock at current prices? 

Therefore, the call we are taking is more company fundamental specific and not so much at the sector level. Who is the disruptor and who is the disrupted? Kodak invented the digital camera in 1975 – and then buried it because it would cannibalise its existing business. Kodak went bankrupt in 2012.

We were big believers of the IT theme before the rally started, right from Jan-20 onwards. Within our top 250 product, we bought Mindtree, HCL Tech and Tech Mahindra. All three have done very well for us – Mindtree has nearly doubled this year. As we go into the new year, we will maintain a 20% allocation to IT. 

Is it time to go hunting small caps and midcaps in the coming quarter? What does your algorithm lean towards?

This is a broader asset allocation call which depends on your risk appetite and wealth distribution. We are big believers of the mid/ small cap story and have focused on them over the last 18 months. 

Our Multicap product ends up heavily weighting mid/ small caps. If you are planning to buy small caps in the next quarter, you should be averaging and buying all year – it is more a function of allocation than an opportunity. 

Value or growth investing what would you go for?

The main reason we built our products is that no one thing works consistently anymore. A value/ growth/ IT/ pharma investor will do well only in a small snapshot of time and then revert to mean. Therefore, machine learning allows us to let markets guide the type of investor we should be that quarter and dynamically change, quickly and consistently.  

What sectors are you preferring from here on as we march towards the ‘old normal’?

We currently own some metals, pharma, textiles and consumer stocks. The portfolio is straddling defensive and cyclical sectors. 

Will bulls manage to pull Nifty above 17200 amid uncertainty? 5 things to know before market opening bell

Indian benchmark indices are expected to start the week and month in the red amid weak global cues. Wall Street tumbled on Friday and Asian markets too opened with losses on Monday. SGX Nifty was in red, hinting at a negative start for the Indian share market. In the previous session, BSE Sensex and NSE Nifty had snapped out of the red streak to end with gains. The Nifty trend and outlook is now neutral to positive in daily, weekly, and monthly charts, implying a balanced risk-reward, according to market analysts. The momentum has strengthened further, indicating a high probability of a trend or outlook change in this week. The preferred strategy for this week remains ‘sell the rise’ they added.

Also Read: Share Market LIVE: Nifty, Sensex stare at negative start on weak global cues; govt cuts windfall tax on crude

Global Markets: Shares in the Asia-Pacific fell on Monday as markets enter the last quarter of the year. Hong Kong’s Hang Seng index was 0.8% lower in early trade. Japan’s Nikkei 225 fell more than 1% in early trade, but recovered slightly and was last up 0.18%, while the Topix index was fractionally lower. China markets are closed for the Golden Week holiday, and South Korea’s market is also closed. Meanwhile, US stocks fell in choppy trading Friday as Wall Street closed out a terrible week, month, and quarter that brought the S&P 500 to a new 2022 low. For September, the Dow tumbled 8.8%, while the S&P 500 fell 9.3%. The Nasdaq lost 10.5%.

Nifty Technical view: Nifty on the weekly chart formed a small negative candle with long lower shadow. Such weekly chart pattern after a reasonable decline calls for bottom reversal for the market. The short term trend of Nifty has turned into positive. The placement of important support and the overall chart pattern of daily and weekly signal a crucial bottom reversal at 16747 levels, according to Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

Levels to watch for: “Nifty formed an engulfing bull pattern on daily charts while forming a bullish hammer pattern on weekly charts despite a 1.35% weekly fall. This could portend an upside bounce in the coming week with 17292 and 17540 being the upside targets. The lack of breakout volumes on Sept 30 is a minor worry. 16752-16794 band could provide support,” said Deepak Jasani, Head of Retail Research, HDFC Securities.

Stocks under F&O ban on NSE: The National Stock Exchange has not added any stock under its F&O ban list for October 3.

Also Read: Reliance, Suzlon Energy, Bharti Airtel, Zydus Lifesciences, Poonawalla Fincorp, APL Apollo stocks in focus

FII and DII data: Foreign institutional investors (FIIs) net sold equities worth Rs 1,565.31 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 3,245.45 crore on September 30, according to the provisional data available with NSE.

Govt imposes 20% export duty on non-basmati rice shipments, to hit overall rice exports in current fiscal

The government on Thursday imposed a 20% export duty on non-basmati ‘white’ rice exports which is expected to hit overall volume of exports in the current fiscal.

According to a finance ministry notification, the export tax will be applicable from Friday.

Also Read: Govt sets 2022-23 grain production target at 328 mt, up 4% on year

“Our concern is whether this export duty will be applicable to around 2 mt white rice consignment in the transit,” V Krishna Rao, president, All India Rice Exporters Association, told FE.

Rao said imposition of export tax will definitely reduce the volume of rice export this fiscal and make rice from India costlier.

Currently, India is exporting non-basmati rice at around $360 a tonne.

The finance ministry also imposed a 20% export duty on rice in husk (paddy)and husked brown rice.

India has been the world’s largest rice exporter in the last decade — export earnings stood at $8.8 billion in 2020-21 and $9.6 billion in 2021-22.

According to the commerce ministry data, India’s value of rice exports rose 12% to $2.6 billion in the first quarter of the current fiscal compared to previous year.

“It will make the exports costlier thereby ensuring affordability of rice to the common masses,” Saurab Agarwal, tax partner, EY said. Because of 5% decline in paddy sowing this kharif season because of deficient rainfall in key paddy growing areas of West Bengall, Uttar Pradesh, Jharkhand and Bihar, rice production is expected to decline 2022-23 crop year (July-June) from a record 130 mt achieved in 2021-22 crop year.

The United States department of agriculture (USDA) in its rice outlook for August had stated that India’s rice exports are projected to increase to a record 22 MT in 2022-23. USDA has projected that country’s projected exports exceed the combined shipments of the next three-largest exporters — Thailand, Vietnam and Pakistan.

Out of the 21 mt of rice shipment in 2021-22, India exported more than 17 mt of non-basmati rice and the rest of the volume was aromatic and long grain Basmati rice. In terms of volume, Bangladesh, China, Benin and Nepal are five major export destinations of rice.

Eicher Motors, L&T Info: Stocks to buy for next 1 month; check support, resistance as Nifty continues to surge

By Subash Gangadharan

Markets have bounced back smartly after the sharp fall seen on 26th February 2021. The Nifty found support at the 50 day SMA and has gradually climbed higher over the last two weeks.

The below picks are for the next 15-26 trading sessions

Buy Larsen & Toubro Infotech (LTI)

After correcting from a high of 4483 touched in January 2021, LTI found support around the 3570 levels in February 2021. These levels also coincide with the 20 week SMA, making it a strong support.

The stock has since then rebounded and gradually made higher tops and higher bottoms over the last two weeks. On Wednesday, the stock broke out of its recent swing highs of 4015 on the back of huge volumes, indicating that the uptrend looks set to continue.

indicators are giving positive signals as the stock is trading above the 20 and 50 day SMA and short term momentum indicators like the 14-day RSI are in rising mode and not overbought.

With the intermediate and long term technical setups too looking positive, we believe the stock has the potential to move higher in the coming weeks and therefore recommend a buy betweenthe 4080-4142 levels. CMP is 4138.5. Stop loss is at 3900 while targets are at 4650.

Buy Eicher Motors

Eicher Motors has recently corrected from a high of 3037 tested in January 2021. The stock found support at the 2450 levels before bouncing back in the last two weeks and consolidating in a range.

On Wednesday, the stock broke out of a narrow range on the back of above average volumes. This augurs well for the uptrend to continue.

indicators are giving positive signals as the stock trades above the 20-day SMA. Short term momentum readings like the 14-day RSI too are in rising mode and not overbought.

With the short term and intermediate technical setups looking attractive, we expect the stock to gradually move higher in the coming weeks. We therefore recommend a Buy between the 2650-2680 levels. CMP is 2673.9. Stop loss is at 2570 while targets are at 2900.

(Subash Gangadharan is a Senior Technical and Derivative Analyst at HDFC Securities. The views expressed are the author’s own. Please consult your financial advisor before investing.)

Petrol, Diesel Price Today, 1 Oct 2022: Fuel cost static; check rates in Delhi, Mumbai, Noida, other cities

Petrol and Diesel Rate Today in Delhi, Bangalore, Chennai, Mumbai, Lucknow:The price of petrol and diesel has been kept steady on 1 October 2022 (Saturday), keeping costs steady for more than three months now. The petrol rate and diesel rates in Delhi are Rs 96.72 and Rs 89.62 a litre, respectively. In Mumbai, petrol is retailing at Rs 106.31 per litre and diesel at Rs 94.27 per litre. The last country-wide change in price came on 21 May 2022, when Finance Minister Nirmala Sitharaman announced a cut in excise duty on petrol by Rs 8 per litre and Rs 6 per litre on diesel. Since then, Maharashtra is the only state to have cut rates. The Maharashtra government had announced a cut in value-added tax (VAT) on petrol by Rs 5 a litre and by Rs 3 a litre for diesel in July.

Also read:Foreign trade policy extended by 6 months to March ’23

Also read:India’s retail inflation to exceed 6% until end of 2022, says S&P

Petrol, diesel prices in Chennai, Kolkata, Bengaluru, Lucknow, Noida, Gurugram

Mumbai: Petrol price: Rs 106.31 per litre, Diesel price: 94.27 per litre

Delhi: Petrol price: Rs 96.72 per litre, Diesel price: Rs 89.62 per litre

Chennai: Petrol price: Rs 102.63 per litre, Diesel price: Rs 94.24 per litre

Kolkata: Petrol price: Rs 106.03 per litre, Diesel price: Rs 92.76 per litre

Bengaluru: Petrol: Rs 101.94 per litre, Diesel: Rs 87.89 per litre

Lucknow: Petrol: Rs 96.57 per litre, Diesel: Rs 89.76 per litre

Noida: Petrol: Rs 96.79 per litre, Diesel: Rs 89.96 per litre

Gurugram: Petrol: Rs 97.18 per litre, Diesel: Rs 90.05 per litre

Chandigarh: Petrol: Rs 96.20 per litre, Diesel: Rs 84.26 per litre

Public sector OMCs including Bharat Petroleum Corporation Ltd (BPCL), Indian Oil Corporation Ltd (IOCL) and Hindustan Petroleum Corporation Ltd (HPCL) revise the fuel prices daily in line with international benchmark prices and foreign exchange rates. Any changes in petrol and diesel prices are implemented from 6 am every day. Retail petrol and diesel prices differ from state to state because of local taxes like VAT or freight charges.

Bulls and bears likely to tussle for dominance amid volatility; 5 things to know before market opening bell

Indian benchmark indices BSE Sensex, NSE Nifty 50 are likely to open in red, tracking weak global. Early trends in SGX Nifty hinted at a gap-down opening for the broader domestic frontline index with a loss of 121 points. Markets will react to the Fed’s interest rate hike decision. An aggressive commentary is expected to lead to higher volatility and pressure on the market, according to analysts. “If Nifty trades below 17700, it could trigger short-term correction. Below the same, the index could slip till 17550-17500. The current market texture is non directional, hence level-based trading would be the ideal strategy for short-term traders,” said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities.

Also Read: Share Market LIVE: Nifty, Sensex may open in red on weekly F&O expiry; Fed delivers another jumbo 75 bps hike

Nifty technical view: A small negative candle was formed on the daily chart with minor upper and lower shadow. Technically, this pattern indicates a consolidation movement in the market. After a sharp weakness on 15th and 16th September, the market showing small range weakness could signal broader range movement. The short-term trend of Nifty continues to be choppy. The market is stuck within a broader high low range of 18100-17500 levels and the movement within the said range is expected for the next few sessions. Any decisive move beyond this range could bring acceleration in the momentum on either side, according to Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

Levels to watch for: “Nifty has been in a corrective phase since the last few trading sessions. Monthly support is only seen at 17000. Expect consolidation to correction in the near term as the broader market sentiment has also turned negative. FII and PRO positions also suggest reduction in net shorts suggesting limited downside in near term. For Nifty, maximum OI buildup seen at 17000 Put and 18000 Call Option. For Bank-Nifty, maximum OI buildup is seen at 40500/41000 put and 41500/42000 call options. For the expiry day, expect nifty to trade with resistance of 17950 – any move above the same can invite short covering,” said Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities.

Stocks under F&O ban on NSE: Ambuja Cements, Can Fin Homes, Delta Corp, Escorts, PVR, and RBL Bank are the six stocks under the NSE F&O ban list for September 22. Securities thus banned under the F&O segment include companies where derivative contracts have crossed 95% of the market-wide position limit.

Also Read: Wipro, Tech Mahindra, Punjab National Bank, IDBI Bank, Century Ply stocks in focus on weekly F&O expiry

FII and DII data: Foreign institutional investors (FIIs) offloaded net shares worth Rs 461.04 crore, while domestic institutional investors (DIIs) net bought equities worth Rs 538.53 crore on Wednesday (21 September), according to the provisional data available on the NSE.

Local credit may still be cheaper than dollar bonds

Although interest rates locally are on the rise, companies may find credit here is cheaper than tapping the overseas bond markets. With the yield on the 10-year US treasury now nudging 4% from about 1% at the start of the year, the spreads widening and the forward premium rising, dollar bonds have become much costlier.

“Spreads have widened materially for investment grade names and even more for emerging market issuers. In a time of turmoil, the risk premium has risen and the sentiment is weak,” a senior banker said. The rise in yields, since January, has been anywhere between 50 and 150 bps for top quality borrowers and even more for those with lower ratings.

Also Read: SME IPOs catch investors’ fancy; 87 hit primary market to raise Rs 1,460 crore in January-September 

For instance, a 10-year bond issued in January at a coupon of 2.8% is now trading at a yield of close to 5.8-6%. For the same borrower, therefore, adding the hedging costs, the total cost of issuance now could be as much as 9.5-10%. At home, banks would be willing to disburse a rupee loan at 8-8.5%. Moreover, there is also appetite in the corporate bond market with insurers and provident funds looking for good quality paper.

The appetite in the overseas loan market remains strong, bankers said. As such, for companies that have dollar revenue streams, dollar loans, which are priced over the SOFR-Secured Overnight Financing Rate, can be a cheaper option than rupee loans. Spreads in this market have gone up by about 50-60 bps, they said.

At the start of 2022, several borrowers, including Reliance Industries and State Bank of India (SBI), had tapped the bond markets. SBI had mopped up $300 million via five-year Formosa Bonds at a very tight spread of T plus 100 bps; the yield on the bonds has risen by about 40bps. However, ever since the Fed has indicated that it would tighten monetary policy and withdraw accommodation, the markets have turned choppy. The troubling geopolitical situation weakened the sentiment. Investment bankers said the appetite for investment grade paper needs to recover meaningfully before investors start looking at high yield paper.

Flattening of curve unusual in rate-hike cycle: Yields softening on global index inclusion buzz

With expectations of India joining the JPMorgan Bond Index running high and the supply of state loans being low, yields have been falling across the curve, flattening it significantly.

The yield on the benchmark bond is down some 24 bps since the end of July following demand from banks, insurers and some foreign investors. The demand for this tenure is expected to be the highest if India does join the index. Experts are penciling in potential flows of $30 billion and expect India’s weight to be 10%, the maximum for a country, in the index.

Also Read: Sensex, Nifty snap 4-day gaining streak, Bank Nifty hits record closing high; check support for F&O expiry day

The flattening trend is somewhat unusual, say bond market dealers, especially during a rake-hiking cycle, but this time there are many differences. Yields on most bonds with tenures of five years or more have fallen the most – the five-year yield is down some 10-15 bps at a shade under 7%.

The fall in yields has been steeper for bonds with maturities of 10 years or more. For instance, the yield on the 40-year paper has dropped by some 40 bps while it has been about 30 bps for the 30-year paper. The demand is coming from provident funds and insurance companies. “There is a shortage of long-term paper because the quantum of state loans is below the planned levels by about Rs 1.5 trillion,” explained a dealer, adding that insurers and PFs have bought much of the long-term paper.

Radhika Rao, senior economist, DBS Research, wrote on Wednesday that there are expectations that the ongoing review might result in JPMorgan including Indian securities in its GBI-EM fixed income basket. “These hopes have led the rupee and bonds to diverge from global rates since August, barring the hit-to-risk sentiments following a strong US inflation report. Rao pointed out that while bonds initially benefitted from a pullback in commodity prices and a rise in US Treasuries, they strengthened thereafter in the wake of the global selloff.

The exclusion of Russia is one reason experts believe India could find a place in the JPMorgan & Chase Co’s emerging markets bond index as early as mid-September, with the actual entry being in the third quarter next year.

Rupee to remain steady amid strong dollar, rise in risk tolerance in markets; USDINR to trade in this range

The Indian rupee is expected to remain steady amid strong dollar, elevated crude prices, rise in risk tolerance in equity markets. For today, spot USDINR is likely to trade in the range of 79.50 to 79.80 with a negative bias. In the previous session, rupee firmed against the US dollar amid a drop in crude prices, but gains were capped as importers and oil companies sought the American currency. The rupee ended at 79.71 per dollar, up from its previous close of 79.90. The domestic unit had strengthened to 79.66 during the session, lifted by a recovery in Asian currencies as the dollar index eased from a two-decade high.

Also Read: Nifty short-term trend positive, may move to 18000 once 17800 breached; 5 things to know before opening bell

“The Indian Rupee could open flat but heads for the second weekly gains following recovery in risk assets and foreign fund inflows. Overnight, the dollar falls in a corrective move into the weekend ahead of US inflation data next week. On Thursday, spot USDINR fell 19 paise or 0.23%, the biggest one-day fall of the September month, amid risk-on moods supported by foreign fund inflows. Technically, the pair is still in the broad range of 79 to 80 and directional movement can only be seen only after breakout or breakdown. For today, spot USDINR is likely to trade in the range of 79.50 to 79.80 with a negative bias.”

Anindya Banerjee, VP, Currency Derivatives & Interest Rate Derivatives at Kotak Securities

“USDINR spot closed 20 paise lower due to risk on mood in equity markets. Indian Rupee continues to be an outperformer, aided by lower oil prices and FPI inflows. RBI remains an aggressive seller near 80 handle. Global backdrop is conducive for USD strength but that would play out by way of limiting the gains in Rupee, rather than pushing it below 80 against USD. Therefore, we could see more rangebound and low volatility price action over the near term. Range: 79.30 and 80.10 on spot.”

Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services

“Rupee traded in a narrow range ahead of the important ECB policy statement that was released yesterday. The ECB Bank raised interest rates by an unprecedented 75 basis points to tame runaway inflation, even as a recession is now increasingly likely as the bloc has lost access to vital Russian natural gas.The central bank raised the main refinancing rate to 1.25%, their highest level since 2011. The large hike comes as the ECB increased its own inflation forecasts and continues to see price growth well above its 2% target throughout its entire projection horizon.”

Also Read: Share Market LIVE: Nifty, Sensex stare at positive start; ECB raises rates by an unprecedented 75 bps

“Euro did witness volatility but hawkish statement kept the currency supported at lower level. On the other hand, Federal Reserve Chair Powell reiterated that the U.S. central bank will continue to raise interest rates in order to tame surging inflation and warned against prematurely loosening monetary policy. U.S. rate futures have priced in an 87% chance the Fed will hike by another 75 bps at this month’s meeting, which would increase the Fed funds rate to 3.0% to 3.25%. Today, volatility could remain low as no major economic data is expected t be released from the US. We expect the USDINR(Spot) to trade sideways and quote in the range of 79.40 and 80.05.”

(The recommendations in this story are by the respective research analysts and brokerage firms. FinancialExpress.com does not bear any responsibility for their investment advice. Capital markets investments are subject to rules and regulations. Please consult your investment advisor before investing.)

Wall Street staggers to higher close as US Fed rate hike looms

Wall Street ended a directionless session higher on Wednesday as an on-target inflation report largely stanched the flow of Tuesday’s sell-off and investors pressed the “pause” button. All three indexes wavered throughout the day, but ultimately ended in positive territory. They all failed to meaningfully recover ground lost in Tuesday’s carnage, which wrought their largest percentage plunges in more than two years. “Today is a lick-your-wounds day, after taking body blows yesterday,” said Ryan Detrick, chief market strategist at Carson Group in Omaha, Nebraska. “It’s a day of rest and that’s somewhat of a welcome sign.”

The Labor Department’s producer prices (PPI) data landed close to consensus estimates and provided some relief in the aftermath of Tuesday’s market-rattling CPI print, which came in hotter than expected. “The inflation debate continues and yesterday was a harsh reminder that this a tough battle and the Fed needs to remain aggressive to put a lid on the widespread inflationary prices we’re seeing,” Detrick added. The PPI report offered reassurance that inflation is indeed on a slow, downward trajectory.

But it still has a long way to go before it approaches the Federal Reserve’s average annual 2% inflation target, and while financial markets have fully priced in an interest rate hike of at least 75 basis points at the conclusion of the FOMC’s policy meeting next week, they see a 22% likelihood of a super-sized, 100 basis-point increase, according to CME’s FedWatch tool. Two-year U.S. Treasury yields, which reflect interest rate expectations, extended Tuesday’s rise. The size and duration of further interest rate hikes going forward have many market observers concerned over the lagging effects of the Fed’s tightening phase, with some viewing recession as unavoidable.

The transportation sector, seen as a barometer of economic health and which provides a glimpse into the supply side of the inflation picture, was weighed down by rail stocks in the face of a potential strike. “Does the White House really want rails to shut down and impact supply chains even more, less than two months before midterm elections?” Detrick asked. “We’re optimistic they can keep rails open.” Railroad operators Union Pacific, Norfolk Southern and CSX Corp lost 3.7%, 2.2% and 1.0% respectively, even as Labor Secretary Marty Walsh met with union representatives in Washington in talks aimed at preventing a rail shutdown.

The Dow Jones Industrial Average rose 30.12 points, or 0.1%, to 31,135.09, the S&P 500 gained 13.32 points, or 0.34%, to 3,946.01 and the Nasdaq Composite added 86.10 points, or 0.74%, to 11,719.68. Six of the 11 major sectors of the S&P 500 advanced, with energy stocks leading the gainers with an assist from rising crude prices due to supply concerns. Starbucks Corp shares jumped 5.5% after the company upped its three-year profit and sales outlook. Tesla Inc bounced back from Tuesday’s drop, advancing 3.6% on the same day President Joe Biden announced $900 million in funding for electric vehicle charging stations.

Also Read: Sensex, Nifty snap 4-day gaining streak, Bank Nifty hits record closing high; check support for F&O expiry day

Advancing issues outnumbered declining ones on the NYSE by a 1.05-to-1 ratio; on Nasdaq, a 1.06-to-1 ratio favored decliners. The S&P 500 posted 2 new 52-week highs and 30 new lows; the Nasdaq Composite recorded 26 new highs and 219 new lows. Volume on U.S. exchanges was 10.90 billion shares, compared with the 10.33 billion average over the last 20 trading days.