Today’s Market Summarised
Markets move up again with a gap-up on the weekly expiry day.
NIFTY opened the day at 17,069 with a gap-up and moved with volatility. It traded in a 100-point zone for the whole day. 17,000 was taken as support. With volatility even near the closing, NIFTY closed the day at 17,072, up 117 points or 0.69%.
BANK NIFTY opened the day at 35,359 and moved down more than 250 points. A bounce-back was seen till 35,500 by 1:30 PM but this was not sustained. By the day closing Bank Nifty broke the day-low and moved down but average closing helped Bank Nifty close the day at 35,191, up by 161 points or 0.46%.
NIFTY REALTY(+2.3%), PSU BANK(+1.5%), FMCG(+1.3%) and IT(+1%) moved up more than 1%. NIFTY MEDIA fell 1%.
Most Asian markets closed in the green today. All European markets are trading in the green currently.
News Picks
Energy stocks closed among the top-gainers of NIFTY 50. Powergrid (+3.3%), IOC (+2.8%) and ONGC (+2.7%) moved up.
FMCG stocks bounced back in the day. ITC (+2.5%), Tata Consumer (+1.6%) and Britannia (+1.6%) closed among the top-gainers of NIFTY 50. Radico (+5.4%) and Colpal (+1.7%) also moved up from the FMCG index.
Adani Ports (+1.1%) moved up in the morning but could not hold gains. It was after the Govt’s announcement of deregulation of tariff norms for major ports.
Lodha(+5.1%) once again moved up after Morgan Stanley Real Estate Investing closed a transaction to develop a logistics park spread across 72 acres in Maharashtra.
L&T Finance (+3.6%) said to sell its mutual fund business. Other midcap finance stocks including CholaFin (+5.1%), M&MFin (+3.8%), Muthoot Finance (+3.3%), LIC Housing Finance(+3.2%), Shriram Transport(+3.2%) and Manappuram Finance(+1.9%) moved up.
REC (+2.5%) moved up after signing an agreement with KFW Development Bank to finance the power sector and renewable energy projects.
Jindal Saw (+3.8%) moved up after signing a Joint Venture agreement with Britain’s Hunting Energy Services.
All PSU Bank stocks closed in the green after reports that the Government may look at relaxing foreign shareholding and voting rights cap for them. SBI (+1.3%), PNB (+1.4%) were among the gainers.
GAIL(+2%) moved up after approving payment of interim dividend for the FY22 at Rs 4/share.
Hero Motocorp(+1.8%) gained after a plan to increase prices of its motorcycles & scooters from Jan 4th, up to Rs 2,000.
Markets Ahead
If you zoom out in the day and look at the chart, it was a pretty calm day. But during the day, it is very easy to see how it could have been a difficult expiry with the overall volatility.
As indicated by SGX Nifty in the morning there was a gap-up in the market above 17,000. Short covering took the index up to its highest level of the week but this was not sustained. There are many stocks still available at good valuations.
If you look at the closing in Bank Nifty, there is definitely a negative bias. HDFC Bank is struggling after falling below the Rs 1,500 mark. We will have to see if the current rumours about PSU Banks can affect SBI and other banking stocks.
Infosys has touched a fresh all-time high today. If the IT index continues this power, we can expect some underperforming stocks including TCS to move up.
How did the weekly expiry go for you? Let us know in the comments section of the marketfeed app!
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