At the close, the Nifty 50 was at 19,393.60 up by 0.43%
In a resilient comeback from the previous session’s losses, Indian equity indices showcased notable strength and closed higher. Despite a mixed bag of global cues, the market demonstrated a flat-to-positive sentiment at the beginning of the day, which gradually gained momentum throughout the trading session.
The NSE Nifty 50 index took the lead by starting the day at an elevated level and achieving a commendable increase of 0.43 percent. This positive trajectory persisted, culminating in a green finish for the index. Noteworthy is the Nifty’s ability to maintain its position above the significant 19,350 mark, indicating a robust and promising market performance.
Displaying consistent momentum, the Nifty index engaged in another day of consolidated trading. This successful trend reversal breaks a two-day streak of losses, delivering a positive outcome with an impressive gain of approximately 83 points. The renewed vigor in global markets following a substantial correction prompted heightened activity in the domestic equities arena, notably within the thriving IT sector. This resurgence showcases the market’s adaptability and resilience, fostering optimism for the future.
However, the prospect of ongoing volatility remains relevant in the immediate future due to the strengthening dollar index and higher US bond yields, fueled by apprehensions regarding potential rate hikes. Across Asian markets, a diverse performance was observed, influenced by the response to the Chinese central bank’s rate cut, which turned out to be smaller than anticipated.
Bank Nifty: Up by 0.34%
The Bank Nifty has also experienced a rebound, ending a seven-day stretch of losses. It commenced trading on a positive note, showing a gain of 0.34 percent and ultimately closing in the green at 44,002.00. Likewise, the BSE Sensex displayed a growth of 0.41 percent, closing at a high of 65,216.09.
In today’s market, the sectorial landscape witnessed notable fluctuations. The metal sector emerged as the front-runner, gaining an impressive 1.30%. Noteworthy performers within this sector include NMDC Ltd., which surged by 2.82%, and Adani Enterprises Ltd., marking a gain of 2.31%.
However, the media sector experienced a decline, losing ground with a decrease of 0.29%. Within this segment, Navneet Education Ltd. recorded a loss of -2.27%, and Dish TV India Ltd. faced a decline of -0.80%.
FII/FPI activity showed a net sell value of -1,901.10 crore rupees, with a buy value of 8,074.95 crore rupees and a sale value of 9,976.05 crore rupees. On the other hand, DII activity indicated a net buy value of 626.25 crore rupees, comprising a buy value of 6,157.40 crore rupees and a sale value of 5,531.15 crore rupees.
The Nifty Banking sector had some gainers and some losers for the day.
The gainers included IndusInd Bank with a 1.86% increase, IDFC First Bank with a 1.01% increase, Axis Bank with a 0.90% increase, Kotak Bank with a 0.64% increase, and Bandhan Bank with a 0.35% increase. On the other hand, the biggest losers in the sector included Punjab National Bank with a 0.80% decline, Bank of Baroda with a 0.42% decline, State Bank of India with a 0.29% decline, HDFC Bank with a 0.19% decline, and AU Bank with a 0.11% decline. These results suggest that some banking stocks performed better for the day.
Indian Rupee Touches Record-Low at 83.12 Against USD
The Indian rupee faced a marginal depreciation of 2 paise, closing at a record-low of 83.12 (pro) against the US dollar on Monday. This decline was influenced by elevated crude oil prices and selling pressure from foreign investors.
In the interbank foreign exchange market, the rupee initiated trading at 83.10 against the US dollar and fluctuated between 83.05 and 83.13 throughout the day.
Despite these challenges, the rupee managed to maintain some support from a weakened US dollar and favorable domestic market conditions, mitigating the downward pressure.
The surge in global crude oil prices played a pivotal role in the rupee’s depreciation, while foreign investor activities further impacted its trajectory.
Conversely, Brent crude futures, the global oil benchmark, observed a 0.64 percent increase, reaching $85.34 per barrel.
Bajaj Finance Ltd.: A Steady Climb with Impressive Returns
Bajaj Finance Ltd.’s share price demonstrated a robust upward movement, ascending by 2.75% from its previous close of Rs 6,862.10. The stock’s most recent trade settled at Rs 7,050.55. Over the past three years, the stock has delivered a remarkable return of 102.46%, outpacing the Nifty 100’s return of 67.34%.
A significant market event occurred as a Weekly Moving Average Convergence Divergence (MACD) crossover materialized in the week ending Aug 18, 2023. A historical analysis of the past decade reveals that following similar signals, an average price decline of -12.1% manifested within seven weeks.
Bajaj Finance Ltd. maintains an impressive annual revenue growth rate of 30.86%, surpassing its three-year Compound Annual Growth Rate (CAGR) of 16.03%. This achievement underscores the company’s consistent and robust performance.
Jio Financial Services Ltd. witnessed a notable decline in its share price, with a decrease of -5.00% from its prior close at Rs 261.85. The stock’s latest trading price settled at Rs 248.90.
Amidst these fluctuations, the company’s investing activities revealed a substantial change. Jio Financial Services Ltd. allocated Rs 1166.32 crore towards investing activities, reflecting a significant year-over-year increase of 849.08%. This development highlights the company’s strategic financial decisions in response to evolving market dynamics.
Advance Decline Ratio
Today, the advance-decline ratio was 1.41, and the market breadth was positive. The volatility index India Vix decreased by 1.50 percent to settle at 11.96 and the FIIs were net sellers today.
DAILY MARKET ACTION
Advancers – 1394
Decliners – 990
52Wk High – 122
52Wk Low – 26
High Band Hitters – 100
Low Band Hitters – 65
200d SMA – 18321
50d SMA – 19318
20d SMA – 19555
Top Gainers and Losers Stocks
The top gainers were Bajaj Finance (+2.75%), Power Grid (+2.66%), Adani Ports (+2.59%), Adani Enterprises (+2.31%), and Hindalco (+2.09%).
The top losers were Jio Financial (-5.00%), Reliance (-1.11%), M&M (-0.91%), Britannia (-0.75%), and Bajaj Auto (-0.36%).
Top Gainers and Losers Sector
The top gainers sectors were Metal (+1.30%), IT (+1.09%), Realty (+0.99%), Consumer Durables (+0.70%), and FMCG (+0.65%).
The top losers sectors were Media (-0.29%), and Oil & Gas (-0.19%).
The Nifty Midcap 50 was up by 0.74 percent, while the Nifty Small Cap 50 was up by 0.37 percent on the day.
The Nifty Midcap 50 index currently closed at 10,904.00, while the Nifty Small Cap 50 index currently closed at 5,331.95.
SECTORS – NOTABLE ACTION
OIL & GAS -0.19%
Stocks Ban List
(SEBI) F&O ban list (MANAPPURAM open at -147.50 and close at -147.10), (HINDCOPPER open at -141.35 and close at -136.70), (INDIACEM open at -237.25 and close at +245.00), (GNFC open at -541.40 and close at +543.95), (PNB open at -63.00 and close at -62.35), (SAIL open at -84.40 and close at +86.05), (DELTACORP open at -181.95 and close at -180.65), (CHAMBLFERT open at -260.00 and close at +261.05), (ZEEL open at +275.00 and close at -271.10), (IBULHSGFIN open at -157.40 and close at -154.60), and (GRANULES open at -293.00 and close at +298.30) are not currently on the stock exchange.
A stock enters the Ban List if its MWPL is above 95%. Implying that, Ban List shows the Futures and Options (FnO ) stocks whose combined open interest in all FnO contracts for a given period crosses 95% of Market-Wide Position Limit.
METROPOLIS, BHEL, RECLTD, RBLBANK, CANBK, MGL, NMDC, L&TFH, VEDL, BALRAMCHIN and CANFINHOME stocks has the possibilities of enterance in the ban list.
CHAMBLFERT, ZEEL, IBULHSGFIN, and GRANULES stocks has the possibilities of exit from the ban list.
As per the above pivots data, 19310 to 19460 is the Nifty 50 trading range.
Read previous -Daily Insights- here
Indian Benchmark Indices Extend Losses Amidst Volatility
Weak Global Cues, Weekly F&O Expiry Drive Thursday’s Equity Decline
Resilient Markets Overcome Weak Global Cues, End Green
NSE Nifty 50 Shows Resilience with Incremental Gains
This article is only for educational purposes and is not an investment advice.