Today’s Market Summarised

Nifty hits an all-time high for the 4th day in a row, and closes with strength.

Nifty opened the day at 16,547 saw volatile consolidation for many hours. The index was trading in a 100 point range for most of the day where resistance was taken at yesterday’s high and support at 16,500. Towards the end, the market moved up and ended at fresh levels. Nifty ended the day at 16,614, up 52 points or 0.31%.

Bank Nifty opened the day at 35,986 and was bearish. The index fell 400 points by noon from the opening level but managed to recover by the end. Bank Nifty closed the day at 35,867, down 227 points or 0.63%.

Nifty IT once again shot up followed by Nifty FMCG. Metals and PSU Bank indices moved down sharply in the day.

Most Asian and European markets once again traded in red for the day.

News Picks

Defensive stocks like FMCG and IT moved up in the day. Tata Consumer(+3.8%), Nestle(+2.3%) and Hindustan Unilever(+2.3%) closed as Nifty 50’s top-gainers.

Other stocks from the sector including Jubilant Food(+3.6%), Emami Ltd(+3.6%), VBL(+2.2%) also closed in the green.

Wipro(+3.4%), TechM(+3.3%), TCS(+2.3%), Infy(+2.1%) and HCLTech(+1.7%) closed in the top-gainers section from IT stocks. Other IT stocks Tata Elxsi(+7%), LTI(+3.8%), MindTree(+3.8%) and Mphasis(+3.4%) also closed in the green.

Metal stocks were weak the day after yesterday’s rally. JSW Steel(-2.2%), Coal India(-1.9%) moved were among the top-losers. Vedanta(-9.9%), Welcorp(-4.5%), Hind Zinc(-3.9%), Jindal Steel(-3.5%), SAIL(-3.3%) and National Aluminium(-3%) also moved down in the day.

Vedanta(-9.9%) crashed down to the lower circuit after Madras HC sent a notice regarding contaminated sites within its Tuticorin plant.

Healthcare stocks Apollo Hospital(+13.2%), Fortis(+2.6%), Max Health(+6.7%), AsterDM(+7.9%) traded in the green.

Idea(-3.3%) fell in the day, continuing its bearishness. Airtel(-1.2%) also moved down.

ARVIND FASHION(+4.7%) is planning for fundraising through equity shares on August.

Markets Ahead

Defensive stocks in the market were the ones performing today. Those shares of companies have continual demand for their products despite market conditions. 

Usually, there is a demand in these stocks when markets turn cautious or investors feel they are overvalued.

Infosys rally is the one that surprised me and many other investors. The stock has touched a fresh 52-week high and many are expecting it to cool down soon. Nifty IT has been at fresh highs for many days in a row.

The Afghan issue is still evolving and is currently keenly being watched by investors. Any provocation towards India would create a knee-jerk reaction in the Indian stock markets.

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