Today’s Market Summarised

After opening with a huge gap-down, Nifty moved up in the morning to cover this gap. The index lost a bit of confidence between 10-11.30 am and consolidated but moved up again to take resistance near yesterday’s close at 11,744. The index fell after this and took support at day open range. Nifty closed the day at 11,670, down 58 points, or 0.50%. The index formed a green candle after closing above the day’s open level.

Bank Nifty opened the day at 24,075 and went on to take resistance near 24,340 near yesterday’s closing level. From there, the index fell beautifully to create a fresh day low of 23,816. The index closed at 24,092, down 140 points, or 0.58%. The index formed a doji in daily charts.

All major sectoral indices except Nifty IT closed in red today. Nifty Media fell the most today. Do not forget that every index opened with a big gap-down and that these gaps were covered.

Major Asian markets closed in red today. European markets are trading in green, at the time of market close.

News Picks

Shares of Pidilite closed as top-gainer to close at Rs 1,590.85, up 4.76% after it announced plans to acquire Huntsman unit for ₹2,100 crore.

Paints shares outperformed in a weak market today. Asian Paints closed at Rs 2,225.45, up 3.05% while Berger Paints closed at Rs 630, up 3.87%.

Laurus Labs reported a net profit of Rs 242 crores, up 330% YoY. Revenue jumped up 70% YoY to Rs 1,139 crores. Shares of the company jumped in late trade to close at Rs 329.95, up 2.29%.

Maruti Suzuki Ltd reported Q2 net profits at Rs 1,371 crores, up 1% YoY. Revenue increased 10.40% YoY. Share prices quickly fell after the results fell below estimates. Maruti closed the day at Rs 7,117.70, down 0.95%.

Shares of Piramal Enterprises fell to Rs 1,216, down 5.29% today. The company reported a net profit of Rs 628 crores, up 14% YoY yesterday. Share prices were down yesterday after the results, as well. It was the worst performing stock today.

BPCL reported a net profit of Rs 2,248 crores, up 31% YoY. This was seen beating all expectations, but profits were booked and share prices closed at Rs 343, down 0.71%.

L&T bags contract worth over Rs 7,000 crores to build India’s first High-Speed Rail Corridor. Yesterday, the company had announced its results which failed to impress investors, especially the dividend numbers. Share prices crashed 4.92% to close at Rs 934.50.

Tech Mahindra : HAL & TechM inked Rs 400 crore contract for Project Parivartan.

Markets Ahead

Nifty made a small green candle today, and covered most of the gap created. This has made me a bit confident, because even with such negative global sentiments from yesterday, the market did go up today. The US Presidential election is scheduled for the 3rd of November, and European lockdown measures are becoming more strict. France is having a complete national lockdown till December 1st and if multiple countries start following suit, we can expect more corrections in the global markets.

Hope you will all tune in to The Stock Market Show tonight. Keep watching this space for more.