Stock Market Highlights: Indian equity benchmarks Sensex and Nifty ended Tuesday's volatile session flat dragged by weakness in banking and IT shares. Broader markets, smallcap and midcap indices closed marginally lower. Among sectors, selling was seen in banks, IT, metals, pharma, realty and auto indices, while FMCG, media and financial services indices ended in the green.
Deepak Jasani, Head of Retail Research, HDFC Securities
Nifty had a larger high-low range on Tuesday compared to the previous day. However, the close was not too different. As US markets were shut on Monday, global stocks are finding it difficult to find cues and hence direction. Post resumption of US markets on Tuesday, we may see higher volatility and close on close change on Wednesday. The advance-decline ratio again dipped much below 1:1 worrying investors and dampening volumes.
Ajit Mishra, VP - Research, Religare Broking
Nifty traded volatile in a range and settled marginally lower, taking a pause after the recent surge. In absence of any major event, global cues would continue to dictate the trend. Indications are in the favour of some consolidation or profit taking thus we recommend maintaining extra caution in stocks selection. On the benchmark front, Nifty has immediate support around the 17,200-17,250 zone.
Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities
Markets witnessed selective profit-taking on the back of tepid global cues, while benchmark Nifty witnessed intraday weakness near the 17,450 resistance level. After witnessing an 800 points rally, the index is exhibiting a range-bound trend, which indicates that bulls could be feeling discomfort to go further long near 17,450. But technically, a short-term correction is possible only if the index falls below 17,290. For the next few trading sessions, 17,290 could act as a trend deciding level, above which we can expect one more uptrend wave towards 17,450-17,500 levels. However, trading below the same could trigger a quick intraday correction up to 17,250-17,210.
Nagaraj Shetti, Technical Research Analyst, HDFC Securities
The market seems to have shifted into a consolidation mode with range bound action. The present choppy movement with minor weakness could continue for the next 1 or 2 sessions before showing another round of upside bounce from the lows. Immediate support is placed at 17,250 and the crucial overhead resistance to be watched around 17,500 levels.
Rahul Sharma, Co-Founder, Equity99
On Daily charts we can see a red candle, as a result, this will push consolidation further in the coming session, Nifty has strong support at 17,300 followed by 17,225-17,150 on the downside & the hurdle is placed at 17,425-17,500 levels on the upside. The uptrend is still intact as can see super trends on the bullish side only.
Bank Nifty was struggling during the day and the majority of players witnessed profit booking in the banking space, Now Nifty Bank has major support at 36,275 followed by 36,100 - 35,900 on the downside & similarly hurdle on the upside is placed at 36,750-36,900-37,100 levels.
Anindya Banerjee, DVP, Currency Derivatives & Interest Rate Derivatives at Kotak Securities
The spot rupee jumped 30 paise higher at 73.40 against the greenback probably on the back of large corporate demand for the dollar. A strong US Dollar Index is also aiding the weakness in the rupee. However, the upside remains capped thanks to exporter selling and FPI inflows. We expect a range of 73.00 and 73.70 on spot.
Mohit Nigam, Head - PMS, Hem Securities
On the technical front, the market is witnessing a continuous positive trend and it has sustained well above 17,300-17350 levels and we believe this up move will extend till 17,500 levels in the short term. On the downside 17,100 is the immediate support in Nifty50 followed by 16,900.
Sachin Gupta, AVP - Research, Choice Broking
Technically, the Nifty index has been trading in Higher High & Higher Low formation, which suggests strength in the counter. On an Hourly Chart, the Index has been finding resistance from the upper band of Bollinger crossing above the same can show further upside movement. All the key indicators like RSI, MACD & Stochastic are supporting the positive trend in the index. At present, the psychological level of 17,500 could be a resistance while on the downside, 17,200 may act as support for the index.
Manish Shah, Founder, Niftytriggers.com
Nifty closed the day marginally lower for the second day in a row. On the charts, we see a narrow range candle with a narrowing range for the day. The price action is not bearish; to confirm bearishness, we need to see a range expansion candle that closes at the low end of the range. Nifty saw a bottoming tailed candle which is to be regarded as a bullish development.
Nifty should see more upsides. These two days of sideways action is a pause in a fast-moving uptrend and usually, this resolves with a pop on the upside. Nifty could very well see a push towards the confluence of 17,720-17,820 once the index sees a break above 17,450. MACD is in a bullish state and ADX shows no signs of relenting. Going into the end of weekly expiry on Thursday expect the market to show bullish bias over the next two days. Support for Nifty is at 17,270, if this is taken out a small drop to 17,200-17,150 may be expected. Don’t write off Nifty as the sudden rush of could still leave sellers stranded.
Market At Close | Market breadth in favour of declines; advance-decline ratio at 1:2
Market At Close | Market snaps 3-day gaining streak; banks top losers
Market At Close | Here are the highlights of today's trading session
-Market Snaps 3-day Gaining Streak; Banks Top Losers
-Market Breadth In Favour Of Declines; Advance-Decline Ratio At 1:2
-Infosys, Axis, TCS & ICICI Drag Market While HDFC, RIL & Bharti Support
-Sensex Slips 17 Points To 58,279 & Nifty 16 Points To 17,362
-Nifty Bank Falls 124 Points To 36,469 & Midcap Index 73 Points To 29,105
-Bharti, Voda Idea Surge On Reports Of Govt Mulling Relief For The Sector
-Housing Finance Cos (HDFC, Can Fin, LIC Hsg ) Rise On Strong Realty Demand
-ITC Amongst Top Nifty Gainers Following CLSA’S Buy Call With `265/Sh Target
-Sun Pharma, BPCL, Hindalco, Axis Bank, Wipro, Tech Mahindra Top Nifty Losers
-Gain In Voda Idea Lifts Stocks Like Indus Towers, IDFC First & IndusInd Bank
-IRCTC, Voltas, Polycab, JSPL, Max Fin Top Midcap Gainers
Closing Bell | Indian equity benchmarks Sensex and Nifty ended Tuesday's volatile session flat dragged by weakness in banking and IT shares. The Sensex eased 17.43 points, or 0.03 percent, to end at 58,279.48, while the Nifty closed at 17,362.10, down 15.70 points, or 0.09 percent. Broader markets, smallcap and midcap indices closed marginally lower.
Among sectors, selling was seen in banks, IT, metals, pharma, realty and auto indices, while FMCG, media and financial services indices ended in the green. Sun Pharma, BPCL, Hindalco Industries, Axis Bank and Wipro were the top Nifty50 losers, while Bharti Airtel, HDFC, Grasim Industries, ITC and IndusInd Bank were the top index gainers. Read here.
Market Watch:Mehraboon J Irani, Market Expert
IRCTC is a stock if you know as to sell on good days and again learn to buy when the stock comes off sharply for whatever reason, one can do it otherwise this is a pure investment stock. A great stock and this is something which people need to understand that the earnings will possibly keep on improving as we go ahead.
Going ahead, the business can only improve. Things are only going to improve from hereon. Even at present price, if one sees a 10 percent correction from here, one should not be surprised but from a pure investment angle, I personally believe the stock should be much higher over the next one-one and a half year.
Centre likely to beat excise target yet again, states share down to 5.5% of revenue mop-up
The Centre has continued to make a killing in excise duty mop up on petrol and diesel. According to the CGA data, the Centre has mopped up over Rs 1 lakh cr between April-July and the state's share of this bounty is less than Rs 5500 crore, which is not even 5.5 percent of the total corpus.
While the impact of the steep hike in road cess and special excise duties was reflected in close to Rs 3.90 lakh crore collected in FY21 by the Centre, the impact of the cut in basic excise duties to adjust for the agriculture infra development cess in the budget is telling on the states share.
Also, while net tax revenues during April-July stand at a buoyant Rs 5.29 lakh crore, almost Rs 95,000 crore of this collection is made up of excise duties. Read full story here
Ashis Biswas, Head of Technical Research at CapitalVia Global Research
The market witnessed some volatile movements and an attempt to hold the level around the Nifty50 Index level of 17,300. If the market sustains above the level of 17,200-17,250, it is expected to gain momentum, leading to an upside projection till 17,400-17,450 level. The momentum indicators like RSI and MACD to stay positive and market breadth to improve, further strengthening a short-term bullish outlook.
World shares hit fresh peaks on dovish Fed bets
World stocks hit fresh record highs on Tuesday on growing bets that the US Federal Reserve will push back tapering its bond purchases and keep its expansive policy for the near term. European shares dipped in early trading after Monday gains, however, with the STOXX 600 regional index down 0.1 percent but still close to their lifetime peak, hit in August.
The MSCI world equity index was up 0.1 percent by and looked set for its eighth consecutive day of gains to record highs, while stock futures pointed to a positive open on Wall Street after the long Labor Day weekend.
Gold slips as uptick in yields, dollar dent appeal
Gold prices fell on Tuesday, retreating further from a 2-1/2 month peak hit last week, as a firmer dollar and a rise in US Treasury yields dented demand for safe-haven bullion. Spot gold was down 0.5 percent to $1,813.60 per ounce, while US gold futures fell 1 percent to $1,815.80.
Cabinet to take up PLI scheme for textile sector on September 8: Sources
The Union Cabinet will take up the PLI scheme for the textile sector on Wednesday, September 8, sources told CNBC-TV18. The government is likely to announce contours of the textile PLI scheme after the meeting, they said.
Explained: What is crypto coin burning and how does it impact investors?
Coin burning is a process in which cryptocurrency miners and developers remove a specific portion of coins from circulation to control their prices. It is a common industry practice to incentivise long-term holding among users. This is generally done periodically. (Read more on crypto coin burning)
IRCTC share price jumps 9% to record high; Mcap soars above Rs 52,000 crore; analysts warrant caution
Indian Railway Catering and Tourism Corporation (IRCTC) share price rallied over nine percent to touch a fresh record high of Rs 3,297.90 on Tuesday. The company's market capitalisation also crossed Rs 52,000 crore on the BSE.
The stock price has jumped more than 54 percent in the last three months and it is up over 125 percent YTD. In the last year, it registered a gain of more than 128 percent, outperforming the benchmark indices and the broader markets.
Analysts say the stock rally can be attributed to the reopening of the economy which will benefit the travel sector and the company’s monopoly in the internet ticketing for Indian Railways. Continue reading
Nifty outperforms Mid/Small-Cap first time in CY21
Dr Reddy’s Labs launches Minoxidil for women in India
The drug maker announced the launch of prescription drug Minoxidil topical solution USP 2 percent and 5 percent for the treatment of female pattern hair loss
(FPHL). Dr Reddy's will sell its products under the brand names Mintop TM 2 percent and Mintop Eva 5 percent, it said in a regulatory filing.
The launch follows the first-ever approval of the additional indication by the Central Drugs Standard Control Organization (COSCO) in India for the use of Minoxidil topical solution USP 2 percent and 5 percent for the treatment of FPHL, it said.
Wonderla Holidays says all amusement parks now reopened, footfalls encouraging
All amusement parks of Wonderla Holidays have reopened, MD Arun K Chittilappilly told CNBC-TV18. The amusement parks are now open four days a week and footfalls have been encouraging.
The footfalls have matched the pre-pandemic levels, he said. Chittilappilly also said he is optimistic that the company could be EBITDA positive in Q2.
LIC Housing Finance in strategic partnership with India Post Payments Bank for home loan products
LIC Housing Finance announced a strategic partnership with India Post Payments Bank for providing home loan products to more than 4.5 crore customers of the payments bank. Through its network of 650 branches and more than 136,000 banking access points, IPPB will make LICHFL’s home loan products accessible to its customers pan-India, a joint statement said.
LIC Housing Finance shares traded 2.88 percent higher at Rs 416.40 apiece on BSE.