Today’s Market Summarised

Nifty rebounding after global markets turned green yesterday and day-before.

Nifty opened at 15,746 with a good gap-up and continued to move up. The index moved up another 80 points and found resistance at 15,810-’825. In fact, just at 1:30 PM, the index started falling. And just before the market closed, there was a big reversal and Nifty shot up to close the day at a high. 

Nifty closed at 15,824, up 192 points or 1.23% for the day.

Bank Nifty looked weaker but still closed in the green. After opening at 34,780, the index found resistance at the 35,000 zone and fell down. When Nifty closed at the day-high, Bank Nifty closed much lower from its high. Even with the last-minute rally, Bank Nifty at 34,677, up 262 points or 0.76%.

All sectoral indices closed in the green. Nifty Metal(+3%), Nifty Realty(+1.75%), Nifty IT(+1.80%). Nifty Auto, Nifty FMCG and Nifty Pharma consolidated.

All Asian markets closed in the green. European markets are also all trading in the green right now.

News Picks

TechM(+5.65%) rallied the most in the day from Nifty 50, with Wipro(+2.8%), Cyient(+5.5%), CoForge(+2.6%), OFSS(+2.3%) and Infy (+2.5%) moved up in the day.

Metal stocks rallied up after the Indian Cabinet approved Rs 6,322 crores of Production Linked Incentive scheme for Speciality Steel. JSW Steel(+5%), Tata Steel(+3.2%) and Hindalco(+2.7%) in Nifty 50 top gainers. Jindal Steel(+3.75%), SAIL(+2.6%), Vedanta(+2.6%) and NMDC(+2.3%) also closed in the green.

Tata Steel Long Products(+4%) and Jindal’s subsidiaries JSL(+18.75%) and JSLHisar(+15.1%) shot up.

Hindustan Zinc(-1.7%)  fell after reporting a 20% QoQ fall in net profit to Rs 1,980 crores. 

Larsen and Toubro(+3.2%) continued moving up and closed in the top gainer’s list. Other L&T companies including LTI(+1.1%) and LTTS(+3.6%) closed in the green.

Bajaj Finance(+4.2%) and Bajaj Finserv(+3.7%) moved up in the day after markets accepted the profits numbers from the Q1 results.

All Adani stocks shot up near the end and closed in the green. There was no apparent reason for the rally. Adani Ent(+3.7%) and Adani Ports(+2.8%) moved up well and Adani Power, Adani Green, ATGL, and Adani Trans closed in the 5% Upper Circuit.

Jubilant Foodworks(+11.9%), Havells(+4.3%) & ICICI Prudential(+5%) moved up after posting Q1 earnings last day.

As crude oil prices bounced back up globally, ONGC(+2.5%), OIL(+3.8%), BPCL(+1.5%) and IOC(+1%) closed in the green.

Gold-lenders Manappuram(+7.4%) and Muthoot(+5%) shot up in the day. Two weeks ago we had talked about how these stocks are in a good breakout zone.

Defence stocks HAL(+3.8%) and BDL(+5.7%) jumped up. Malaysian Air Force has sent out a global request for low-cost light fighter aircraft.

Retail textile stocks AB Fashion(+5.4%) and Trent(+6.8%) closed in the green. Arvind Fashions sells ‘Unlimited’ to V-Mart retail in cash. The stock closed in the 20% Upper Circuit. V-Mart gained 4.4% in the day.

IDFC(+11.7%) moved up 12% after RBI clarified it can exit as promoter from IDFC First Bank. IDFC First Bank(+1.8%) also gained.

Telecom stocks closed in the green. Rs 18,000 crores investment in Vodafone-Idea(+2.7%) was approved by the Department of Telecom. Airtel(+3.9%) moved up after increasing the prices of popular plans.

Hindustan Unilever fell the most in the day from Nifty 50. The company reported a net profit of Rs 2,100 crores, up 11% YoY. However, a fall in margin was seen. The stock closed 2.3% down.

Bajaj Auto fell after reporting 31% QoQ fall in net profit to Rs 1,060 crores for the last quarter. The stock closed 1.3% down.

IIFL Securities fell 6.6% after reporting a 11% QoQ fall in net profits for the previous quarter.

Markets Ahead

On Tuesday night after our markets closed, global markets had reversed and shot up. Even yesterday, when our markets were closed for Eid, other markets moved up. So it was almost sure Nifty would move up as well.

And yes, as the weekly expiry, markets were really volatile as you can see in the charts. Nifty’s rally near the end was not sponsored by Bank Nifty which shows that the index is still weak.

HDFC Bank is continuing to be weak after its Q1 results. Overall, Bank Nifty is looking very bearish in the month. Results from other major banks are awaited.

As we know, Bajaj Finance and Finserv moved up after posting good profits. So we can expect a similar move from banking stocks too. 35,000 and 35,800 are the next levels to watch.

Interesting to see Metals and Realty continuing the rally for the month. Can continue to keep an eye out on them.

Now Nifty is flat from Monday but looks like we may see a green end to the week tomorrow. How did your Thursday trades go? Let us know in the comments section of the marketfeed app.