Today’s Market Summarised

What a day in the market. Market making heavy-weight stocks taking up Nifty.

After opening the day at 14,631 with a 120 point gap-up, Nifty was determined to move up more. A series of green candles took the index to 14,750(which is a good level) and consolidation was seen here. At around 11:45 am, Nifty fell 75 points as US 10-Year Bond Yields went up.

This fall was quickly recovered, and Nifty went on to touch 14,875, the highs from 18 and 23 March. Nifty consolidated to close the day at 14,845, up 337 points or 2.33% for the day.

Bank Nifty opened the day with a 300 point gap-up at 33,665 and mostly consolidated in the day. The index traded comfortably between 33,500 and 34,000 in the day, even when HDFC Bank was up 4%. Bank Nifty closed the day at 33,875 up 556 points or 1.67% for the day.

All sectoral indices closed in the green today, except Nifty Realty who was flat. Nifty IT, Metal, Pharma, FMCG and Fin Nifty were up more than 2%. 

All major Asian and European markets have closed in the green today.

News Picks

Several stocks were expected to see sizeable movements in the day. Tata Consumer Products, to be added to Nifty 50 went up just 0.38%. AU Small Finance Bank, to be added to the Bank Nifty hit 15% upper circuit in the day.

Nazara Tech listed at Rs 1,990 on the market today, against IPO price of Rs 1101, a premium of 76%. But the stock went on to hit the 20% lower circuit in the day at 1,592.

Shares of UPL went up 7.27% in the day, nearing back to its 52-week highs. The stock still has room to go up, in my personal opinion.

JSW Steel closed 5% up in the day after becoming largest steel manufacturer on completing the acquisition of Bhushan Power & Steel (BSPL).  JSW Steel is now looking to buy govt owned Neelachal Ispat Nigam Ltd and has submitted an expression of interest along with Tata Steel Ltd and ArcelorMittal Nippon Steel India.

With major agencies expecting metal prices to go up in April, shares in Nifty Metal index performed well in the day. MOIL(up 13%), JSW Steel(up 5%), NMDC(4.58%) and TataSteel(up 4.32%) performed best from the sector.

Rupee fell against the dollar. IT and Pharma shares shot up in the day.

Shares of IT companies were in a non-stop bull run. Mphasis, Mindtree gained 7-9%. Infy, Wipro, TCS, and TechM gained 2-4%. Only Naukri closed 7% down from the index. Infosys results will be out by 14 April.

All stocks from Nifty Pharma were in the green today. DivisLab, CadilaHC, Alkem, Biocon and Cipla gained more than 3% in the day. 

Shares of Larsen and Toubro gained 2% in the day after the heavy civil infrastructure business wins a Rs 1,000-2,000 crore order. Water Treatment business also gained orders.

Shares of Yes Bank closed 17% after a last-minute surge took the stock up.

Only 5 stocks from Nifty 50 closed in the red, that too none more than 0.5% down.

Shares of IRCON gained 8% as the company plans to hold a board meeting on April 5 to consider issue of bonus shares.

Shares of Dilip Buildcon went up 4.5% in the day after getting Rs 1,134 crore order for a road project in Karnataka.

Markets Ahead

Nifty has rebounded well from its lows of last week on the day after Holi. Even with US Treasury Bond Yields going up in the day, markets still went up. Will have to see if this is the case going forward.

14,750 was a key level and this has been broken today. There was some positivity from international markets on Monday, when our markets were closed. Today’s high also looks to be a good resistance level for the index.

As for Bank Nifty, today was a day of consolidation. HDFC Bank went up nearly 4% even after reporting issues with Online Banking again. The stock along with Reliance, Infy and TCS took Nifty nearly 160 points up. Hoping that a clear breakout can be seen in the upcoming days.

Interestingly, Petrol and Diesel prices have gone down even with Crude prices going up. This is probably because of the upcoming state elections across India.

Enjoy the bullishness we are seeing in the market, and IT shares may go up even more ahead of their results announcements. 

HDFC Bank is set to announce its results on April 17th and this will be crucial for Bank Nifty!

Catch you all on The Stock Market Show tonight!