Today’s Market Summarised

Nifty closes the bullish week with mostly consolidation.

Nifty opened the day at 16,307 flat and traded with volatility. Just after 10 AM, the index was pulled down by Reliance to near 16,220. Nifty managed to move back up and close the day at 16,238, down 56 points or 0.35%.

Bank Nifty opened the day at 35,889 and tried to cross 36,000 but could not sustain above that. The index saw some selling pressure at the day-high but overall saw consolidation. With last minute power in HDFC Bank, Bank Nifty closed at 35,809, down just 25 points or 0.07%.

Most sectoral indices closed with consolidation while Nifty Media and Nifty Realty fell nearly 1% each for the second day.

Asian markets closed mostly mixed but flat today. European markets are all trading flat in the green as of our market close.

News Picks

IndusInd Bank(+3.1%) moved back up and closed as Nifty 50’s top-gainer. The stock had been under pressure for high loan exposure to the struggling Vodafone Idea group. IDFC First Bank(+2.9%) and Yes Bank(+0.8%) also moved back up. 

After a dramatic week, Vodafone Idea(+19.3%) gained in the day with Govt brings in a new Act to remove the retrospective tax. This will be a relief for the Vodafone Group. The stock is still down 15% from Monday’s levels.

The Supreme Court today said Reliance cannot go ahead with the Rs 25,215 crore deal to buy Future Group’s retail assets. Reliance closed 2.1% down. 

Future Retail, Future Enterprises, Future Lifestyle, Future Supply Chain closed in the 10% Lower Circuit. Future Consumer(-8.2%) also moved down.

Adani stocks saw buying interest with Adani Ports(+2.4%) closing as top-gainer. Other stocks including Adani Ent(+7.8%), Adani Power(+5% UC), Adani Green(+2.3%), ATGL(+2%), Adani Transmission(+1.8%) closed in the green.

Cipla fell 3.61% and closed as top-loser after Q1 results failed to impress market participants.

Aditya Birla Sun Life AMC received SEBI’s final observations for its IPO. AB Capital(+7.3%), Birla Money(+7.9%) closed in the green.

Glenmark Life Sciences closed at Rs 748 on its first day in the market, up 3% from its issue price of Rs 720/share.

Tata Chemical(+7%) and GAIL(+4%) moved up after better-than-expected Q1. 

Tata Power(+0.45%) reported an 88% increase in Q1 consolidated net profit at Rs 391 crores from Rs 207 crores last year. The results came after the market hours and we can expect more movements in the coming days. 

Muthoot Finance posted a 15% rise in Q1 net profit at Rs 980 crores compared to Rs 850 crores last year. The stock closed 2.3% downManappuram(-2.2%) also moved down.

Markets Ahead

Nifty was in a proper mood to consolidate and close the Friday flat, but the court order against Reliance pulled the heavyweight down. Reliance alone pulled Nifty down by 33 points in today’s 50 point fall.

In the RBI Monetary Policy Committee announcement today, Shaktikanta Das kept the repo rates the same even with high prevailing inflation. This happened as expected.

The week has closed with Bank Nifty closing as the top-gainer by moving up 3.5%. Nifty 50 moved up more than 3.1%. Nifty IT and Nifty Auto gained more than 2% each. 

While mid and small-caps heavily underperformed, Nifty Media fell more than 4% this week. This was contributed by the fall in stocks like PVR and ZEEL.

A bullish week for the market closed with good strength. Nifty has paved its way for more rally with 16,050 as support. 16,400 and higher could be in reach. But let us hope that it goes up in a normal way so that there won’t be huge corrections/falls.

Reliance’s loss in the Future Retail deal was already discounted by the market. Let’s hope that the issue does not go into more complications and that Reliance can move back up freshly from here.

How did the first week of August go for you? Is your portfolio well in the green as Nifty hit all-time highs? Let us know in the comments of the marketfeed app!

Catch you all at The Stock Market Show sharp at 6:30 PM!