Markets Hold Their Breath for the Fed; Nifty Rebounds as FMCG & PSU Banks Rally - Paper by Pocketful

Sep 16, 2026

Saatvik Green Energy (-6.08%): Shares gained after the company received an order worth ₹1,041.63 crore from Solar Energy Corporation of India (SECI) for the supply of solar PV modules.
Sonata Software (-1.56%): Shares fell despite the company signing a five-year Strategic Collaboration Agreement with Amazon Web Services (AWS) to accelerate cloud adoption and modernisation for enterprises across India.
NBCC (+0.89%): Shares rose marginally after the company received work orders worth ₹144.98 crore from NEEPCO, SAIL, Damodar Valley Corporation and the Enforcement Directorate, Bhubaneswar.
Bharat Heavy Electricals (-0.54%): Shares fell marginally despite the company announcing a 50:50 joint venture with Titagarh Rail Systems for the comprehensive maintenance of Vande Bharat Sleeper Trainsets for 35 years.

Nifty FMCG (+1.63%): The index rose sharply and snapped a four-session losing streak, led by ITC, HUL and Nestlé India, as buying returned to frontline FMCG stocks.
Nifty PSU Bank (+1.44%): The index rose after declining for two consecutive sessions, with 8 gainers & 4 losers, supported by buying interest across select PSU banking counters as crude oil prices paused their recent rally.
Nifty IT (-1.58%): The index declined sharply, with all constituents trading in the red, as investors booked profits after recent gains.
Nifty Pharma (-0.16%): The index declined amid broad-based profit booking, with Laurus Labs, Gland Pharma and Biocon among the major losers, while elevated crude prices and broader market caution weighed on sentiment.

Technical Level: The index opened with a gap-up, moved lower initially and found support around 23,120. It then rebounded, moving higher and facing resistance near 23,285, before trading in a range. Overall, the index closed in the green.
Advance-Decline Ratio: Market breadth remained slightly negative, with 1,688 stocks advancing against 1,851 declining, resulting in an A/D ratio of 0.91, indicating marginally higher selling pressure.
The Big Picture: The US Federal Reserve’s September rate decision is due at 11:30 PM IST, with 85% of economists in a Reuters poll expecting a 25 bps hike to 3.75%-4.00%, which would be the first hike since July 2023. Markets are also closely watching Chair Kevin Warsh’s policy guidance, following his hawkish tone at Jackson Hole and continued focus on inflation.
FII/DII Activity (September 15, 2026): Institutional flows remained mixed, with DIIs as net buyers at ₹2,686 crore, while FIIs were net sellers at ₹2,977 crore, reflecting continued foreign selling despite strong domestic buying.

IPO Corner: Hero Motors & Jindal Supreme IPO is Opened for subscription today, making the IPO robust sentiment.
Macro: USA Fed Interest Rate Decision data is scheduled to be released tonight.
Market Watch: For India, a Fed rate hike could strengthen the dollar, weaken the rupee and intensify FII outflows, adding pressure to a market already down for five consecutive weeks. Yesterday, equities fell sharply; today, they remained largely range-bound. Now, all eyes turn to the Fed’s decision tonight for the next market trigger.

Meaning: A rate hike is an increase in the interest rate set by a central bank, usually to control inflation.

Market Context: A rate hike can strengthen the currency, increase borrowing costs and potentially reduce investor appetite for riskier assets.

Pocketful Paper