Today’s Market Summarised
NIFTY opened today again with a gap-up at a fresh all-time high of 13,980. The index fell more than 90 points very quickly, after flying close to the 14k mark. Nifty consolidated till afternoon, then broke the day low after news of UK approving vaccine came to take support at 13,880. Just after noon, the index went up more than 140 points and almost touched 14,000. Nifty closed the day at 13,981, up 49 points or 0.35%.
Bank Nifty opened the day near 31,500 and was not able to sustain. It fell around the whole day, and was pulling Nifty down as well. Although the index of banks tried to go up after the positive vaccine news, it could not break the day-high as Nifty did. Bank Nifty closed at 31,303, down 19 points or 0.06%.
Auto, Metal and Realty stocks went up the most today. Bank Nifty corrected after yesterday’s rally.
Asian markets, except Japan, went up today. European markets are currently flat.
News Picks
After being yesterday’s top gainers, profit booking kicked in to take Axis Bank and Indusind Bank featured as today’s top losers in Nifty.
Shares of cement companies went up sharply, along with steel and infrastructure stocks. India Cements went up 20%, SAIL went up more than 8%. UltraTech and ShreeCem also went up to become today’s top gainers in Nifty. Rumours are going about that infrastructure companies may receive a lot of benefits in the upcoming Union Budget.
Shares of UPL closed up by more than 2% after the company reduces debt by more than $410 Million(~Rs 2,900 crore). A lot of intraday opportunities were also available in the stock.
Shares of Coromandel International fell more than 5.8% after entities including Eid Parry sold more than 58 lakh shares in bulk deals. Shares of Eid Parry gained more than 6% as the company clarified that this amount will be used for reducing debts of subsidiaries. Interestingly, both companies are owned by Murugappa Group.
Cabinet has approved an increase in the subsidy of ethanol. Do check out this article by marketfeed to learn about the sugar+ethanol industry, and stocks which may benefit. Rice-based ethanol may also see benefits from the decision.
Markets Ahead
The bull rally continues with NIFTY brushing against 14,000 today. This was mainly fueled by the news that Oxford-AstraZeneca vaccine has been approved by the UK. This vaccine is also the prime candidate in India, and there are rumours that it will be approved here today. Just following this news, markets consolidated then fell to hit many stoplosses and flew up.
With the vaccine set to arrive soon, do look into stocks which may benefit from this. You can read about it here.
Hope you will all tune in to The Stock Market Show tonight. Keep watching this space for more.