Today’s Market Summarised
Nifty opened near 11,380 today, at a small gap-up from yesterday’s close. After taking support at 11,320, the index moved up till noon and made a day-high of 11,440. Nifty consolidated in anticipation of opening of major European markets and fear due to Indo-China tensions. The downfall started from there, and saw Nifty closing at 11,317.35, down 37.70 points or 0.33%.
Bank Nifty had a similar story. The index of major banks in the country opened the flat, just under 23,000. After making an intraday high of 23,064, a continuous sell-off in Bank Nifty was witnessed. Closed at 22,744, down 200 points or 0.87%.
Every sectoral index except Nifty IT fell. 3 out of the Top 5 gainers in Nifty 50 were from the IT index. Nifty Media and Nifty Metal were the worst performers of the day.
Asian markets closed in green today. European markets are trading in red at the time of market close. Negative global cues led to the fall in Nifty, as well.
News Picks
Shares of Bharat Dynamics fell to ₹330.20, down 14.11% after the launch of Offer for Sale. The stock opened at ₹338.8. The Government of India, who is the promoter, confirmed that the OFS was fully subscribed.
Shares of ITI fell to ₹127.25, down 3.93%. News about the signing of MoU and tie-up with Bharti Airtel was discussed in the morning feed here. Hope you made most of the volatility.
Amber Enterprises was the MarketFeed pick of the day with shares flying more than 7% intraday. We had discussed the launch of QIP Issue on Sept 7, and it looks like it was considered a positive sign by investors. Shares of the company ₹1,880, up 2.29%.
The top-gaining stock in Nifty 50, BPCL, closed at ₹410.80, up 2.65%. Yesterday, the High Court in Calcutta had said it hoped for a resolution between BPCL and unions through talks.
Japan’s GDP data for April-June showed a fall of 28.1%, beating India’s numbers. This is highly worrying for both Japan and also for global economies.
Markets Ahead
News reports have come out that for the first time in 45 years, shots were fired in air at the Indo-China Line of Control. The situation looks tense but hopefully both countries will resort to peaceful talks to solve issues. A war-situation will be extremely bad for economies of both countries, especially during times of COVID-19. When tensions ease, markets will surely make up the lost ground. Be sure to follow any news on this topic. Gold prices have staged a comeback in the back of growing economic concerns after Japan’s GDP results. Be sure to watch this space for more updates
