Today’s Market Summarised
Nifty had a gap-down opening today, as expected, after US markets continued to be highly bearish. The index tried to fill the gap but found resistance at 11,280 levels. After falling throughout the day and making a low of 11,185, Nifty bounced back on the back of European markets opening in green. The index staged an amazing comeback to close at 11,278, down 39.35 points or 0.35% for the day, but up 93 points from the day-low.
The market was not kind to Bank Nifty as it was to Nifty. The index tracking major banks in India opened at 22,494 with a gap-down, and gradually fell to 22,080 levels over the day. When Nifty bounced back, Bank Nifty took support at this level and closed at 22,677, down 477 points or 2.10% for the day.
Nifty Pharma outperformed every other sectoral index today. Nifty Bank was the worst performing, with Nifty PSU Bank falling 2.87% today.
Major Asian markets had closed in red today. But the open of European markets gave Nifty great confidence to fly up after noon.
Tata Steel was the top-gaining stock in Nifty 50 today, with shares closing at ₹419.55, up 3.57%. This comes after The British government brought in Credit Suisse to help Tata Steel’s UK business and to save thousands of jobs. Earlier, the company had said it would be unable to fund the European unit’s losses.
Shares of Reliance Industries Ltd jumped to ₹2,163.55, up 2.68% today. Early in the day, the company had announced a ₹7,500 crore worth sale for 1.75% stake of Reliance Retail to investment firm Silver Lake. Reliance is reportedly in talks with investment firm KKR for a stake sale at the same valuation.
IRCTC shares fell to ₹1,355, down 1.77%, after the Government announced sale of about 15-20% stake via offer for sale.
Shares of Wipro touched a day-high of ₹289.45, up more than 3% from the open price. The company had announced plans to set up a Digital Innovation Hub in Germany. We had discussed this on today’s morning feed. Shares closed at ₹283.65, up 0.39%.
Shares of TeamLease fell to ₹2,177, down 4.93%, after the company increased its stake in edu-tech company Schoolguru to 76.37% from 40%.
Shares of Indian Hume Pipes closed at ₹183.25, up 5.86%, after the company received a work order of Rs 134.8 crore from the Odisha government for rural water supply projects. We had talked about this and more in today’s morning feed. Hope you do follow us on @fundfolio on Telegram!
Shares of General Insurance Corporation of India fell 3.57% to ₹133.85, after the company posted a net profit of Rs 108.60 crore in the corresponding period of the previous financial year. News creates volatility. Good news can result in a fall in price as well, in the short term.
Happiest Minds Technologies IPO is set to close today with an overall subscription above 95 times. Investors who are lucky enough to get a lot can expect quick listing gains.
Shares of Eveready Industries fell more than 5% from its highs after Q1FY21 Revenues went down 20% to Rs 263.4 crore. The announcement came during market hours. Trading closed at ₹144.80 INR, down 1.70% after touching a day-high of ₹153.
For another day, European markets controlled Nifty’s movement after noon. When Indian markets fall because of negative global cues, it will bounce back when the global cues turn positive as well. Dow Futures are up 400 points too, showing that the US market may recover in today’s trade. Indo-China border tensions seem to be easing down, and the diplomatic route is hopefully taken to settle the disputes. Keep watching this space everyday for more updates.