Today’s Market Summarised

Bulls fail to sustain the gap-up opening for the day.

NIFTY opened at 17,414 with a gap-up moved down. It kept on falling throughout the day but took support at 17,200. After some volatile afternoon moves, NIFTY ended the day at 17,245, down 70 points or 0.40%.

BANK NIFTY opened at 36,630 with a nearly 300 point gap-up. It tried to move up further and hit the highest level since 23rd February. This was not sustained and the index saw profit booking till the 36k mark. BANK NIFTY ended the day at 36,147, down 201 points or 0.55%.

NIFTY METAL (+1.2%) closed with more than 1% gains while NIFTY AUTO (-1%) fell by a similar number. Other indices are mostly consolidated.

The Asian markets closed mostly in the green today. European markets are trading flat currently.

News Picks

Hindalco (+2.5%), Tata Steel (+2.2%) and JSW Steel (+1.1%) featured in the top-gainers of NIFTY 50 with metals stocks showing strength.

SAIL (+3.6%), Jindal Steel (+3.5%) and Vedanta (+1.1%) also gained from the sector. There was positivity after the Chinese steelmaking hub went into lockdown, which could increase demand for Indian steel.

Dr Reddy (+.4%) and Divis Lab (+2.3%) led the gains for Pharma stocks in the day. Alkem (+2.7%), Strides Pharma (+2.7%) and Torrent Pharma (+2.4%) were among other gainers from the sector.

Financial stocks took a back seat with HDFC (-2.3%) and Kotak Bank (-2.1%) closing as the top-losers in NIFTY 50. 

Intellect Design Arena (+2.3%) gained after winning a major order from a private Qatar Bank.

HeroMoto Corp (-1.2%) fell after raids by the Income Tax Department at offices and residences of senior management including Chairman Pawan Munjal.

ZEEL (+3%) shares gained back from yesterday’s fall after the company said its awaiting detailed order from the Bombay High Court in the Invesco case.

L&T Finance (+16.1%) shot up in the day after parent company L&T bought 1.4 crore shares from the open market.

Markets Ahead

Markets opened with a gap-up in the day and saw weakness. Interestingly, all Asian markets were showing good gains, with Japan even 3% up.

Still, our markets saw weakness in the day. Yesterday, Foreign Institutional Investors saw net buying of nearly Rs 380 crores. I am looking forward to see whether they continue the trend.

Even though financials showed weakness, IT stocks and Reliance remained flat even as the general market fell. Metals are also starting to show strength again, so keep your eye out for stocks from that sector!

See you on The Stock Market Show at 7 PM!