Today’s Market Summarised
A clear trending day in the market, with Nifty shooting up from the day-open.
Nifty opened the day at 15,533 with a more than 150 points gap down. But from here, the index just kept on moving up till the end of the day. With a more than 260 point gain from the day-low, Nifty closed the day at 15,746, up 63 points or 0.40% near Friday’s high.
Bank Nifty opened the day at 34,141 and took support at the 34,000 zone. The index kept moving up, especially after 12:30 PM. With a 1,000 point move from day-low to day-high, the index closed near the top of the chart. Bank Nifty closed the day at 34,871, up 313 points or 0.91%.
Nifty PSU Bank(+4%) gained the most in the day, with more news from privatisation. Nifty Realty(+2.33%), Nifty Metal(+1.12%) were the other sectors that performed well. No other index moved up or down by more than 1%.
Asian markets closed mostly in the red today, with Japan’s Nikkei closing 3% in the red. European markets are all trading with gains after recovering from their morning fall.
News Picks
Adani Ports(+5.2%) once again closed as the top-gainer for Nifty. Adani Ent gained 3.5% in the day.
All Adani stocks closed in the green today with most turning around from Lower Circuit to Upper Circuits. Adani Power, Adani Transmission, ATGL and Adani Green closed 5% up each.
NTPC closed 3.9% up, powered by the strong Q4 earnings posted on Saturday.
UPL(-4.4%) continued to see profit booking from its all-time highs, and closed as Nifty 50’s top loser.
Central Bank Of India and Indian Overseas Bank have been shortlisted for PSU Bank Divestment. Both the stocks closed in the Upper Circuit of 20%. Many other PSU Banks saw strength after this, including PNB(+3.4%), IDBI(+2.6%), Union Bank(+5.2%), UCO Bank(+5%)and Canara Bank(+3.2%).
Indian Bank moved 3.9% up after announcing plans to launch a QIP( Qualified Institutional Placement) this week to raise Rs 2,500- 3,000 crores.
Bandhan Bank(+7.6%) opened with a gap-up and moved up after the Assam Government’s decision of providing relief as well as an incentive for MicroFinance loans. The bank has the highest market share in Assam.
Singapore International Commercial Court has confirmed the final value of Kiri’s 37.57% stake in Dystar Global Holdings at Rs 3,570 crores. KIRI closed 12% up.
Info Edge reported a 60% rise in Q4 standalone net profit at Rs 66.6 crores. The stock closed 1.84% up.
Many IT stocks featured in the top-losers even though Nifty IT went up from the gap-down opening. Wipro(-1.3%), TCS(-0.7%) and TechM(-0.7%) closed with small losses.
Maruti Suzuki will increase vehicle prices in the second quarter as it is facing a rise in input costs. The company said they are still highly impacted by this raw material price increase. Maruti(-0.8%), Tata Motors(-0.9%) and M&M(-0.6%) closed with small losses.
Cadila announced the extension of their Joint Venture with Bayer Group for 3 more years. The stock closed 1.4% up
Route Mobile has partnered with Truecaller to enable enterprises to enhance trusted communication using Truecaller Verified Business Caller ID. The stock closed 2.9% up.
SBI General Insurance announced its tie-up with IDFC First Bank(+1.5%) for selling insurance products.
MOIL rose sharply after receiving environment clearance for Gumgaon and Khodegaon manganese underground mines. The stock closed 7.4% up.
HDFC Bank to buy a 4.99% stake in HDFC Ergo from Housing Development Finance Corporation for Rs 1,906.43 crore. Parent company HDFC gained sharply from day-low.
After the market closed, OIL India(+0.7%) reported Q4 standalone net profit at Rs 848 crores, down 8% YoY and down 6% compared to last quarter. Recommended Rs 1.5/share as final dividend.
GMR Infra made a fresh 52-week high and closed 9.6% up. We had talked about a multi-year breakout setup in the stock last Tuesday.
Markets Ahead
The trend from Friday’s close continued in the day, with bulls taking up the market. Nifty took resistance at Friday’s high but Bank Nifty easily closed above it.
For HDFC Bank, it was a clearly bullish close as well which may continue on to tomorrow. As we talked on Friday, the bulls and bears have not been letting each other win.
But today’s strong close after the gap-down opening shows some strength. Many foreign banks including Credit Suisse and Morgan Stanley have also said that the bull run is likely to continue in the market, even if it may see some profit bookings.
Adani Group investors can also celebrate the day where all group stocks closed in the green again.
Will be watching Reliance and HDFC in the coming days as IT stocks including Infy have started consolidating.
Hope you had a great day in the market!
Catch you all on The Stock Market Show tonight!