Today’s Market Summarised
Markets around the world seeing a sell-off in the day.
Nifty opened the day flat at 15,867 and could not break yesterday’s high. In fact, even before touching those levels, the selling started. And once 15,800 was broken, there was no looking back. With high weakness, the index fell even till 15,680 but managed to recover near the end. Nifty closed the day at 15,728, down 152 points or 0.96%.
Bank Nifty opened at 35,675 and tried to break the week’s high. After trading above the opening level for more than 2 hours, Bank Nifty saw huge weakness. 35,500 was also broken and the index saw good selling and went down till 35,135. Bank Nifty closed the day at 35,274, down 497 points or 1.4%.
Nifty Metal(-2.19%) closed with losses followed by Bank Nifty(-1.4%), Nifty Finserv(-1.22%) and Nifty Media(-1.18%).
Asian markets all closed in the red. European markets are all trading well in the red now.
News Picks
Markets around the world are in a selling mode, with pressure from the sharply falling U.S 10-year bond yields. Markets do not like volatile bond yields.
Tata Motors(-3.4%) fell again after a gap-down, and closed as Nifty’s top-loser. Yesterday’s updates from the management are yet to give the stock confidence.
Metal stocks fell after yesterday’s rally. Yesterday’s top gainers JSWSteel(-3.2%), Hindalco(-2.6%), Tata Steel(-2.3%) closed as top-losers. SAIL(-4%) and JindalSteel(-3.4%) also fell.
With crude oil prices falling following the OPEC+ fight between UAE and Saudi, ONGC fell 2.4% in the day.
Hindpetro closed 7.3% down after as today was the ex-date for the dividend.
India’s Oil Secretary said ethanol blending is at 9.2%, improved well from last year. Expecting to cross 10% next year and 20% by 2023. Keep watching sugar stocks!
IGL(+3.1%) closed with gains after CNG prices in the Delhi area was increased.
SpiceJet closed 4.4% up after announcing 42 new domestic, international flights.
Valuation of Zomato to be about Rs 64,000 crores. Another update from Zomato, to launch its own grocery delivery platform soon. Info Edge closed flat.
Food-related stocks including Westlife Development(+5.2%), Burger King(+3.7%) and Barbeque Nation(+1.3%) closed with gains in the day.
Sobha(+6%) continued bullishness and closed with gains with other realty stocks Brigade(+3.75%), OberoiRealty(+1.5%), Sunteck(+1.2%) also closing with gains. But bigger stocks including DLF(-2.3%) and Godrej Properties(-1.85%) fell.
Coforge(+5.17%) was among the top midcap gainers with the stock rising to a record high from Nifty IT.
Markets Ahead
With the continuing fall and fall, it was surprising to see Nifty erasing this week’s gains. The resistances expected at 15,915 for Nifty and 35,800 for Bank Nifty will remain as resistances for another day.
With the European markets opening more than 1% down and continuing their fall and Dow Jones Futures looking weak, Nifty also saw a reaction.
Nifty broke 15,800 support and Bank Nifty even took out the 35,500 support zone. More importantly, Reliance breaking 2,100 was also a bearish indication.
June’s Mutual Fund data once again showed Net Equity Inflows at Rs 4,608.7 crores vs 9,235 crores in May (MoM). This is the reason for continuing buying by DIIs in the market.
Well anyway, this is the weekly expiry! India VIX also jumped more than 10% in the day so was an interesting expiry overall.
TCS Q2 results are coming out today. Will be watching how it goes.
Hope you had a great Thursday in the market. How did it go for you? Were you able to capitalise on today’s fall? Let us know in the comments of the marketfeed app!
Catch you all on The Stock Market Show tonight!
