The Indian stock market showed signs of recovery on Friday, November 22, 2024, after a steep fall earlier this week triggered by charges against Adani Group chairman Gautam Adani. The US Securities and Exchange Commission (SEC) had filed allegations of bribery and fraud, which initially sent shockwaves through the market. However, the benchmark BSE Sensex regained momentum, rising by 479.97 points, or 0.62%, to 77,635.76 by 10 AM IST. Similarly, the broader NSE Nifty gained 152.50 points, or 0.65%, climbing to 23,502.40.
Despite the overall market recovery, stocks of the Adani Group continued their downward spiral. Adani Green Energy Ltd, which is at the center of the SEC’s allegations, showed a slight recovery but still fell by 7.90%, trading at ₹1,055.80. This was an improvement compared to the 18.80% drop seen the previous day.
Other key Adani stocks also faced significant losses. Adani Enterprises Ltd recovered slightly but was still down by about 2.57%, trading at ₹2,126.50. Adani Power Ltd, Adani Ports, and Adani Wilmar Ltd also saw declines ranging from 2.30% to 3.58%. However, Ambuja Cements Ltd and ACC Ltd were among the few Adani stocks that experienced gains.
The SEC charges accuse Gautam Adani and other executives of misleading US investors by concealing a bribery scheme aimed at securing favorable deals with the Indian government for Adani Green and Azure Power. The market continues to digest the implications of these charges, and experts suggest that while the negative sentiment may affect Adani stocks in the short term, the overall market could recover once investor concerns settle.
Investors should actively monitor developments in the market and the Adani Group as further investigations unfold.
