Today’s Market Summarised

Nifty had a day of fall, with consolidation in between.

Nifty opened the day at 14,812 with a gap-down, and immediately fell 60 points. It did not see 14,800 again. Many times over the day, the index tried to move up but never found enough strength to reach even the day-high. Nifty closed the day at 14,690, down 154 points or 1.04%.

Bank Nifty opened the day at 33,773 with a gap-down. Even though PSU Banks were strong, Private Bank shares remained weak and pulled down the index. The index of banks took support at last Friday’s low and shot up nearly 350 points before falling again. Bank Nifty closed the day at 33,303, down 571 points or 1.69% in the day.

Nifty Financial Services fell by 2% today, followed by Bank Nifty(down 1.69%). Nifty IT fell 1%. Nifty Realty, PSU Bank and FMCG closed with more than 1% gains. 

All major Asian markets have closed in the red today. European markets are trading in the red presently.

News Picks

Computer Age Management Services (CAMS) gets a certificate of registration to act as Central Record Keeping Agency (CRA) under the National Pension Scheme. Share prices closed up by 1.6%.

UPL shares once again closed as Nifty 50’s top-gainer gaining more than 2% in a bearish market. The stock hit a new 52-week high today.

HDFC twins fell sharply in the day, pulling down Nifty by 104 points. Yes, 104 points out of today’s 150 point fall in Nifty was from just these 2 stocks.

IT shares generally fell in the day after yesterday’s rally. Only Naukri(up 2.94%) and TCS(up 0.61%) closed in the green.

SunPharma, Torrent Pharma, Lupin and Cadila Healthcare have bought equity into ABCD Technologies. Cipla, Alkem Labs and Dr Reddy’s have also entered into agreements with ABCD Tech. In advanced negotiations to acquire business-to-business (B2B) healthcare platform Pharmarack. This company is looking to put up a fight against online pharma companies.

Union Minister Piyush Goyal has announced the PLI scheme for food processing with benefits of Rs 10,900 crore. We will be writing an in-depth article to talk about which stocks will benefit in the long-term.

With Pakistan News saying that the Indian Government is allowing sugar exports to the country, our sugar stocks here went up. Notably, Praj Industries shot up nearly 4% from day low. Balrampur Chini closed nearly 6% up.

KNR Construction shares closed more than 3% up after winning orders worth Rs 1,910 crore.

Shares of SBIN went up 1% after raising nearly Rs 7,200 crores in untied loans from Japan Bank for International Co-operation.

Realty stocks went up in the day as news came out Maharashtra Govt may continue stamp duty cuts. Also the industry is seeing a lot of organic demand. Godrej Properties went up 4% in the day.

Reliance fell more than 2% from intraday highs. It is reaching back to Rs 2,000 levels. 

Karnataka Bank shares went up after signing a deal with Maruti Suzuki to provide affordable car-loans.

Markets Ahead

The HDFC Twins were the major troublemakers in the market today. Even in a day when Bank Nifty fell 1.69%, SBI was up 1%. This means that HDFC Bank alone pulled Bank Nifty down by 333 points today.

We will have to see if other banks start moving down with the influence of HDFC. Reliance also going down to key support of 2,000 signals some incoming fall in the indices. 

India’s top pharma majors collaborating to buy out a company is also a very interesting development that I need to look into. Quite similar to this, major companies are looking to collaborate to get RBI License for New Umbrella Entities for online payment systems. 

Weekly expiry tomorrow and we can expect good volatility in the market.

From March 1 to today, Nifty has closed down 0.48%. But from last April to today, Nifty has gained nearly 70%. Hoping that the coming April will be a good month for us and for Nifty. All the best for the new month, and the new financial year.

World Bank raises India growth projection by 4.7 percentage points for next financial year.

Catch you all on The Stock Market Show tonight!