by admin | May 25, 2021 | Economy, Markets, News
By Porisma P. Gogoi,
Mumbai : The key Indian equity indices rode the bulls for the third consecutive week and scaled new peaks ahead of the extended Christmas weekend as sentiments were boosted by the Gujarat election results, along with global cues and infusion of funds by domestic institutional investors (DIIs).
In another development, the week ended on a cheery note for the domestic equity markets with BSE’s market capitalisation crossing Rs 150 lakh crore (over $2 trillion) for the first time.
On the last trading day of the week (December 22), the barometer 30-scrip Sensitive Index (Sensex) closed trade at a fresh level of 33,940.30 points. It soared 477.33 points or 1.42 per cent from its previous week’s close at 33,462.97 points.
The Sensex also touched a new intra-day high of 33,964.28 points.
On the same day, the wider Nifty50 of the National Stock Exchange (NSE) crossed the 10,500 mark for the first time on an intra-day basis to scale a new high of 10,501.10 points.
The index closed trade at a fresh high of 10,493 points, soaring 159.75 points or 1.55 per cent from its previous week’s close of 10,333.25 points.
“The week gone by saw the Nifty surging higher. It was the third consecutive week of gains for the Nifty,” Deepak Jasani, Head – Retail Research, HDFC Securities, told IANS.
“Sectorally, the top gainers were realty, metal, auto and infrastructure indices. There were no losers,” he added.
On the currency front, the rupee closed almost flat at 64.05 against the US dollar from its last week’s close at 64.04.
“Indian equity benchmarks rose to record highs with the NSE Nifty50 index rising above 10,500 for the first time and the S&P BSE Sensex to a record high of 33,962 points. India’s stock market achieved a new milestone with BSE’s market capitalisation crossing Rs 150 lakh crore for the first time,” Arpit Jain, AVP at Arihant Capital Markets, told IANS.
“During the week, Gujarat election outcome cheered the market. Other developments included Finance Ministry forming a panel to frame policy on the bitcoin issue. However, FIIs (foreign institutional investors) remained net sellers during the week,” said Jain.
Provisional figures from the stock exchanges showed that FIIs sold scrips worth Rs 2,620.76 crore.
However, DIIs continued to pump in funds in the equities markets and invested funds worth Rs 3,526.21 crore during the week.
Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors sold equities worth Rs 4783.23 crore, or $746.34 million, from December 18-22.
On the global front, markets moved higher in the wake of solid US economic growth data and amid investor optimism following the recent passage of a $1.5 trillion tax cut plan in Washington, said D. K. Aggarwal, Chairman and Managing Director of SMC Investments and Advisors.
“Back at home, domestic market moved higher mirroring Asian optimism on fresh data that pointed to a steady revival in the US economy,” Aggarwal told IANS.
“Meanwhile, the Minutes of the December 6 policy meeting show that Reserve Bank of India (RBI) MPC minutes has raised concerns over rising global oil prices and inflation in the country,” he added.
The top weekly Sensex gainers were: Hero MotoCorp (up 8.11 per cent at Rs 3,785.95); Tata Motors (DVR) (up 6.07 per cent at Rs 240.40); Maruti Suzuki (up 5.85 per cent at Rs 9,700.25); ONGC (up 5.77 per cent at Rs 193.40); and Larsen and Toubro (up 5.26 per cent at Rs 1,266.65).
The losers were: Kotak Mahindra Bank (down 1.99 per cent at Rs 1,008.50); Yes Bank (down 1.90 per cent at Rs 310.05); Coal India (down 1.86 per cent at Rs 266); Indusind Bank (down 1.85 per cent at Rs 1,648.85); and Dr. Reddys Lab (down 1.64 per cent at Rs 2,333.05).
(Porisma P. Gogoi can be contacted at porisma.g@ians.in)
—IANS
by admin | May 25, 2021 | Economy, Markets, News
Mumbai : The equity markets turned bearish during the week on growing concerns over the country’s widening fiscal deficit as well as rising crude oil prices and persistant selling by foreign institutional investors (FIIs).
According to market observers, upbeat gross domestic product (GDP) growth data for the second quarter of 2017-18 failed to cheer the equity markets as investors remained cautious ahead of major events in the upcoming week.
The barometer 30-scrip Sensitive Index (Sensex) of the Bombay Stock Exchange (BSE) dropped 846.3 points, or 2.51 per cent, to close the week at 32,832.94 points.
The broader Nifty50 of the National Stock Exchange (NSE) declined by 267.9 points, or 2.58 per cent, to close at 10,121.80 points.
“Markets ended sharply lower this week after consolidating in a range for major part of the week. Selling emerged in the last two sessions of the week,” Deepak Jasani, Head – Retail Research, HDFC Securities, told IANS.
D.K. Aggarwal, Chairman and Managing Director of SMC Investments and Advisors, said the domestic market got spooked by fiscal deficit readings ahead of expiry of November contracts.
“To note, India’s fiscal deficit at the end of October hit 96.1 per cent of the budget estimate for the fiscal year ending in March 2018,” Aggarwal told IANS.
“In the week gone by, the Dow industrials pushed past the 24,000 mark for the first time on the back of tax-reform optimism amid the latest batch of economic data pointing to a pickup in global and domestic demand. In a recent meeting, OPEC (Organisation of the Petroleum Exporting Countries) members agreed to extend curbs on output to the end of next year,” he added.
Provisional figures from the stock exchanges showed that domestic institutional investors bought scrips worth Rs 1,614.89 crore.
FIIs continued to remain net sellers and sold stocks worth Rs 2,772.56 crore during the week.
“Widening fiscal deficit and rising crude oil prices concerns continued to hurt sentiment. Investors turned cautious ahead of major events in the month ahead — the Reserve Bank of India policy, Federal Open Market Committee meet and Gujarat assembly elections,” said Arpit Jain, AVP at Arihant Capital Markets.
Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors (FPIs) invested in equities worth Rs 3,273.34 crore, or $506.06 million, from November 27-30.
On the currency front, the rupee strengthened by 23 paise to close at 64.47 against the US dollar from its last week’s close at 64.70.
The currency market was closed on December 1 on the occasion of Id-e-Milad.
The top weekly Sensex gainers were: Maruti Suzuki (up 1.41 per cent at Rs 8,607.55); Coal India (up 0.42 per cent at Rs 272.25); and NTPC (up 0.42 per cent at Rs 181.15).
The losers were: Tata Motors (down 6.07 per cent at Rs 399.15); State Bank of India (down 5.93 per cent at Rs 312.55); Infosys (down 5.09 per cent at Rs 958.50); Tata Motors (DVR) (down 4.92 per cent at Rs 228.85); and Adani Ports (down 4.46 per cent at Rs 386.90).
—IANS
by admin | May 25, 2021 | Economy, Markets, News
By Porisma P. Gogoi,
Mumbai : Bolstered by an upbeat domestic macro data and global cues, the two key Indian equity indices — BSE Sensex and NSE Nifty50 — rode the bulls to scale new highs during the week ended Friday.
According to market analysts, India’s advancement to the top 100 in the World Bank’s Ease of Doing Business global rankings, along with a strengthening rupee and healthy buying in index heavyweights, gave a boost to the upward rally of the indices for the fourth consecutive week.
On Friday, the broader Nifty50 of the National Stock Exchange (NSE) hit a new 52-week high of 10,461.70 points intra-day, and closed trading at record 10,452.50 points.
On a weekly basis, it edged higher by 129.45 points, or 1.25 per cent.
The barometer 30-scrip Sensitive Index (Sensex) of the BSE, too, saw a strong closing at 33,685.56 points — up 528.34 points, or 1.59 per cent, on a weekly basis.
The Sensex hit a new 52-week high of 33,733.71 points on intra-day basis.
“Carrying on from last week, markets continued to surge higher this week to touch new life highs,” said Deepak Jasani, Head – Retail Research, HDFC Securities.
“Sectorally, the top gainers were realty, PSU banks, bank Nifty and pharma indices. The top losers were IT, metal and FMCG indices.”
According to Vinod Nair, Head of Research at Geojit Financial Services, market witnessed strong up-move led by affirmative signs of recovery in domestic earnings and rally in index heavyweights.
“Strong core industries data, US Fed status quo on interest rate and positive global cues supported this trend. Market was enthused by September core industries data which grew by 5.2 per cent, showing signs of revival in industrial growth, easing of GST and pick-up in restocking in the economy,” said Nair.
“There were ample signs of reversal in corporate earnings growth, with better than expected results from index heavyweights, which improved the market sentiments,” he added.
On the currency front, the rupee strengthened by 50 paise to close at 64.55 against the US dollar from its last week’s close at 65.05.
Market observers pointed out that although most macro indicators gave a boost to market sentiments, some momentum was lost on account of lower-than-expected automobile sales numbers for the month of October.
“Domestic markets touched a lifetime high after India’s ranking rose 30 notches to 100 in the World Bank’s Ease of Doing Business Survey for 2018. Besides the positive sentiment driven by macro indicators and ease of doing business, global markets have also been supportive for the Indian markets,” said D.K. Aggarwal, Chairman and Managing Director of SMC Investments and Advisors.
“However, it lost nerve soon to close lower after the announcement of muted auto sales numbers. The government’s recent recapitalisation plan and ‘Bharatmala Pariyojana’ have boosted market sentiment and fuelled growth recovery hopes,” Aggarwal told IANS.
Provisional figures from the stock exchanges showed that foreign institutional investors off-loaded stocks worth Rs 8,336.86 crore during the week, while the domestic institutional investors divested in scrips worth Rs 354.42 crore.
Figures from the National Securities Depository Ltd (NSDL) revealed that foreign portfolio investors (FPIs) invested in equities worth Rs 2,773.08 crore, or $179.57 million, during October 30-November 3.
The top weekly Sensex gainers were: Bharti Airtel (up 11.60 per cent at Rs 541.35); Axis Bank (up 11.46 per cent at Rs 540); ICICI Bank (up 4.95 per cent at Rs 315.85); Lupin (up 4.84 per cent at Rs 1,049.25); and HDFC (up 4.56 per cent at Rs 1,775.35).
The losers were: Mahindra and Mahindra (down 3.95 per cent at Rs 1,331.15); Hero MotoCorp (down 2.80 per cent at Rs 3,690.80); Tata Steel (down 2.39 per cent at Rs 708.90); Infosys (down 2.20 per cent at Rs 926.65); and Bajaj Auto (down 2.02 per cent at Rs 3,223.10).
(Porisma P. Gogoi can be contacted at porisma.g@ians.in)
—IANS
by admin | May 25, 2021 | Banking, Business, Economy, Finance, Investing, Markets, News, SMEs
By Porisma P. Gogoi
Mumbai : Continuing the bull run for the second consecutive week, key Indian equity indices — the Sensex and the Nifty50 — closed with minimal gains as short covering in healthcare and banking stocks coupled with continuous purchasing activities by domestic institutional investors (DIIs) kept market sentiment afloat.
On a weekly basis, the 30-scrip Sensitive Index (Sensex) of the BSE rose by 71.38 points or 0.99 per cent to close at 31,596.06 points.
Meanwhile, the Nifty50 of the National Stock Exchange (NSE) closed at 9,857.05 points, up 19.65 points or 0.2 per cent.
“Nifty witnessed minor upside bounce this week and closed the week with minor gains of around 20 points (0.20 per cent). Sectorally, the top weekly gainers were the pharma, metal and banking indices, while the losers were IT and FMCG indices,” Deepak Jasani, Head of Retail Research, HDFC Securities, told IANS.
According to D.K. Aggarwal, Chairman and Managing Director, SMC Investments and Advisors, the domestic market took pressure due to crack-down of market regulator Securities and Exchange Board of India (SEBI) on shell companies and geopolitical tension between India-China and USA-North Korea.
“However, on Wednesday, domestic market moved little higher aided by fresh buying mainly in realty, healthcare and banks, coupled with positive global cues,” Aggarwal told IANS.
“Also, the news that the Union Cabinet has moved another step towards the merger of some of the state-owned banks supported the bulls.”
On August 23, Finance Minister Arun Jaitley announced that “in principle” approval has been granted by the Union Cabinet for the consolidation of state-run banks through mergers. The announcement led to massive gains in public sector bank’s (PSU banks) stocks.
On the currency front, the Indian rupee strengthened by 10-11 paise to close the week at 64.03-04 to a US dollar from its previous week’s close at 64.14.
Vinod Nair, Head of Research, Geojit Financial Services, observed that pull-out of foreign funds and persistent miss in quarter earnings, which could end up with drop in FY18 profit-after-tax estimate, kept investors a little jittery.
“Month-to-date, foreign institutional investors (FIIs) were net sellers in the market on concerns of premium valuation, whereas DIIs continued to pour money into domestic market, which is keeping the market trend positive. Further, short covering due to shorter trading days (Friday which is a holiday) and nearness of August futures and options (F&O) expiry also supported the sentiment,” said Nair.
Provisional figures from the stock exchanges showed that FIIs sold stocks worth Rs 4,666.53 crore, while DIIs bought scrips worth Rs 2,883.99 crore during August 21-24.
Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors (FPIs) divested equities worth Rs 5,281.52 crore, or $824.17 million, during the trade week ended August 24.
“IT sector continued to witness pressure due to recent management turbulence in Infosys despite a premium buyback announcement. NPA (non-performing assets) worries in PSU Banks may cloud the outlook, whereas cabinet nod for fast track consolidation of PSU banks attain investors attention,” added Nair.
The top weekly Sensex gainers were: Bharti Airtel (up 3.95 per cent at Rs 433); Lupin (up 3.95 per cent at Rs 991.75); Dr Reddy’s Lab (up 3.88 per cent at Rs 2,087.90); Tata Steel (up 2.09 per cent at Rs 638.95); and Axis Bank (up 1.77 per cent at Rs 505.60).
The losers were: Infosys (down 10.64 per cent at Rs 912.50); NTPC (down 4.35 per cent at Rs 169.15); Bajaj Auto (down 3.15 per cent at Rs 2,731.85); Hero MotoCorp (down 3.06 per cent at Rs 3,874.50); and Adani Ports (down 2.64 per cent at Rs 379.95).
(Porisma P. Gogoi can be contacted at porisma.g@ians.in)
—IANS
