Today’s Market Summarised
Nifty opened the day at 11,856, with a slight gap-up from yesterday’s close. Just before the RBI policy meet, Nifty went into red for a while but took support at 11,800 and strongly came back. The policies adopted by the Reserve Bank were received well by the market, and Nifty jumped up to 11,930 in 2 hours. After consolidating, Nifty closed the day at a high of 11,914.20, up 79.60 points or 0.67%.
Bank Nifty opened the day at 23,313 and went down to take support at 23,100. The RBI policy meet was especially good for banks and financial services companies, and this was clearly reflected in the movement of the index of banks. The index took resistance near 23,800 and consolidated but after 2pm went up again to consolidate near 23,900. Bank Nifty closed at 23,846.80, upto 655 points or 2.83%. PSU Banks especially lead the charge.
Bank Nifty was the top gaining sector today, as we talked about. PSU Banks moved more than Private Banks. Nifty Realty and Nifty Pharma were the worst performing.
European markets are mostly trading in green at the time of Indian markets close. Asian markets closed mostly in red for the day.
Wipro became the top-gaining stock in Nifty 50, once again. Shares jumped up 4.40% to Rs 375.25. Similar to yesterday, this movement largely came after the news of the company’s board considering a buyback of shares.
The Reserve Bank of India decided to keep the repo rates unchanged, along with announcing new plans to buy bonds from the open market. Banking stocks took the remaining 4 spots for top-gainers of the day. ICICI Bank, Axis Bank, SBI and HDFC Bank featured on the list. Very interesting day indeed. We will be writing an in-depth article on today’s policy meet, soon.
Shares of Majesco closed at Rs 876, up 3.32%. Check out this article to learn about this company. Last day, the business had announced a buyback, similar to that of TCS.
Pharma stocks have started falling as the rupee is getting stronger day-by-day. Can watch this sector more. Can watch for a similar fall in IT stocks, as well, if Rupee continues to get stronger vs the dollar.
Nifty is making higher highs, and it looks like 12,000 is the next mark. Banks are quickly recovering and can be watched for good movement even in the coming days. Banks are moving up and up. This week, Nifty jumped 4% and it is nearly 2% away from turning positive for this year!
For perspective, currently Nifty is up 6% from where it was on 9 June 2019. Yes, only the high made in 2020 is the next step.
Hope you will all tune in to The Stock Market Show tonight. Keep watching this space for more.