Today’s Market Summarised

Nifty ends the week in green, with a big push from Bank Nifty.

Nifty opened the day at 15,844 with a small gap-up and started falling. Even with banks moving up, Reliance kept pulling the index down. After taking support at 15,770, the index shot up nearly 100 points and closed near the day-high. With this, Nifty closed the day at 15,860, up 70 points or 0.44%.

Bank Nifty opened at 34,936 and was much more bullish than the general market. After taking resistance at 35,150, it took some time then kept on moving up after 11 AM. Bank Nifty hit a high near 35,500 and closed at 35,364, up 537 points or 1.54%.

Nifty Metal and PSU Bank both gained 2.6% in the day. Bank Nifty and Fin Nifty(+1.22%) also outperformed. Only Nifty FMCG(-0.65%) closed in the red.

Most Asian markets closed in the green with small gains. European markets are trading flat.

News Picks

Metal stocks performed well in the day with Tata Steel(+4.6%), Hindalco(+1.8%), Coal India(+1.6%) and JSW Steel(+1.5%) closing in the top-gainers list. There were reports that Russia is planning export tax on metals to help prices cool down. 

Other metal stocks including NationalAlum(+7.3%), SAIL(+5%), Vedanta(+4.4%) and JindalSteel(+2.3%) also closed with good gains.

After many days of consolidation, Axis Bank(+3%) moved up and closed in the top gainer’s list. SBIN(+2.7%) and ICICI Bank(+2.3%) also were in the top 5 gainers of Nifty.

Ashok Leyland opened with a gap-up after last week’s fall and shot up. In the Conference call by the company, the company said it will continue to increase penetration across markets. The stock moved nearly 10% to the day high and then fell to close 4.4% up.

Maruti(+1.6%) continued bullishness after the 3-month breakout we discussed last day. Tata Motors(+1.4%) also gained in the day.

Reliance(-2.2%) continued bearishness from yesterday and closed again as Nifty’s top loser.

FMCG stocks mostly closed flat or in the red as other sectors started performing well. The sector usually moves up when there is uncertainty, as it is a defensive sector. FMCG moving down can be a sign of bullishness in the general market. Emami(+2.4%), Dabur(-1.87%), HindUnilever(-1.6%) and Nestle(-0.6%) closed with losses.

SpiceJet launches ‘Mega Monsoon Sale’ with cheap fares starting at Rs 999 to attract customers back to flying. SpiceJet closed 0.7% and Indigo closed 2.2% up as vaccination rates also increased.

Indian Hotels’ board will meet on June 30 and will consider fundraising of Rs 250 crores. The stock closed 1.1% up.

Apollo Hospitals closed 7.3% up after reporting good profit numbers yesterday. Metropolis(+3.9%), and Fortis(+3.4%) also moved. 

Vodafone Idea(10.5%) bounced back from yesterday’s fall and closed with good gains.

Shilpa Medicare gets in-principle approval from DRDO to manufacture & sell 2-Deoxy-D-Glucose (2DG) for Covid treatment. The stock rocketed to 5% day high and then closed 3.2% up.

LIC Housing Finance closed 2% up after parent LIC said it will infuse equity capital worth about Rs 2,334 crore in the company for more equity.

PSU Banks closed with good gains in the day. IOB(+7.3%) and Central Bank(+7%), which are soon to be privatised, gained sharply in the day.

Godfrey Phillips reported Q4 standalone net profit at Rs 95.4 last year vs Rs 48.3 (+98%)vs Rs 114 crores last quarter(-16%). The stock closed 5.5% up in the day.

Markets Ahead

With a nearly 350 point gain from Monday morning, Nifty has closed with a strong green candle in its weekly chart. This could indicate more bullishness in the coming week.

Bank Nifty is at a crucial resistance zone of 35,500-35,600 and can show an up move if crossing this. Hoping that next week we will see this.

In good news, Maharashtra said it has vaccinated 3 crore people. That is nearly 25% of its total population, which is a good move. The government also imposed additional restrictions to slow down the Delta Plus variant that is said to be more lethal.

Reliance was once again bearish and pulled Nifty down by 37 points. If not for Reliance, Nifty would have tested and crossed its all-time high of 15,900 today.

But the stock is currently at a good demand zone, and we may see a good bounce back up in the coming week.

Overall was a really good week for us here at marketfeed. How did it go for you? Let us know in the comments section of the marketfeed app!

Catch you all on The Stock Market Show tonight!