At the close, the Nifty 50 was at 19,996.35 up by 0.89%
In a remarkable testament to its resilience and vigor, the Nifty 50 index has boldly defied subdued global indicators, surpassing international benchmarks to achieve an unprecedented record high. The NSE Nifty 50 commenced the day on a buoyant note, posting a 0.89% gain and securing a green close, steadily advancing towards the significant milestone of 20,000 points. This bullish surge persisted for an impressive seventh consecutive session, a clear testament to the index’s unwavering strength.
What’s truly remarkable is that this enduring winning streak endured despite consistent foreign institutional selling and a complex global landscape fraught with uncertainties such as inflationary concerns, a strengthening US dollar, surging US treasury yields, and looming interest rate hikes.
Key catalysts in this success story include the recent G20 Delhi Declaration and India’s diplomatic triumphs, pivotal in maintaining positive market sentiment and momentum. Additionally, the inclusion of the African Union in the G20 and the ambitious India-Middle East-Europe Corridor proposal hold promising economic and market prospects, further fueling optimism within financial markets.
This remarkable milestone can be attributed to robust investments from domestic investors, standing out amidst mixed foreign investment trends. India’s recent stellar achievements in the space sector and effective foreign diplomacy initiatives have notably fortified investor confidence in Indian equities, especially in the face of global economic unpredictability.
The Indian stock market’s ability to sustain a favorable trajectory amid global economic turbulence underscores the deep trust that local investors have in the nation’s economic stability and growth potential. Diverse investment portfolios and strong domestic sentiment remain pivotal drivers behind the enduring ascent of the Nifty index.
Bank Nifty: Up by 0.92%
The past week witnessed a striking performance by domestic stock indices, marked by a gradual upward surge propelled by the robust state of the Indian economy. This ascent was underpinned by strong domestic macroeconomic indicators, featuring impressive GDP and PMI figures, which have collectively fostered a positive sentiment within the domestic market.
The Bank Nifty index faithfully mirrored this optimism, commencing in the green and ultimately concluding with a noteworthy gain of 0.92% at 45,570.70. Similarly, the BSE Sensex, a broad market barometer, reported an uptick of 0.79%, wrapping up the week on a high note at 67,127.08. These gains unmistakably reflect the market’s enthusiastic response to favorable economic signals and underscore the unwavering investor trust in the domestic economic landscape.
In the realm of sectoral performance, the Metal sector demonstrated notable vigor in recent trading sessions, surging by an impressive 1.81%. Within this segment, Jindal Stainless Ltd. stood out, notching up an impressive gain of 5.59%, closely shadowed by Adani Enterprises Ltd., which posted a commendable gain of 3.68%.
On the flip side, the Media sector encountered challenges, experiencing a modest decline of 0.33%. Within this sector, PVR Inox Ltd. grappled with a significant setback, incurring a loss of -2.82%, while TV18 Broadcast Ltd. also saw declines, recording a dip of -1.33%.
The Nifty Banking sector had some gainers and some losers for the day.
The gainers included Punjab National Bank with a 3.14% increase, Bank of Baroda with a 2.58% increase, Axis Bank with a 2.32% increase, State Bank of India with a 1.34% increase, and IDFC First Bank with a 1.21% increase. On the other hand, the biggest losers in the sector included Bandhan Bank with a 0.16% decline. These results suggest that some banking stocks performed better for the day.
The Indian rupee faced a minor setback in its exchange rate against the US dollar, declining by 1 paisa to settle at 83.03 (pro) on Monday. This slight depreciation comes in the wake of positive signals from the domestic equity markets, which, despite their optimism, were unable to fully mitigate concerns stemming from the persistently elevated crude oil prices.
It’s worth noting that the rupee found some support from the weakened US dollar in global forex markets when compared to its major counterparts. This support helped to limit the rupee’s decline.
In the interbank foreign exchange market, the rupee initiated trading at 82.93 against the US dollar, fluctuating within a range of 82.83 to 83.06 throughout the trading session. Ultimately, it concluded the day by settling 1 paisa lower at 83.03 (pro) compared to the previous day’s closing rate.
Adani Ports & Special Economic Zone Ltd. has demonstrated an impressive upward trajectory in its share price, surging by 7.10% from its previous closing value of Rs 825.00. The stock of Adani Ports & Special Economic Zone Ltd. is currently trading at Rs 883.55, showcasing its resilience and investor confidence.
One of the key indicators of a company’s performance is its revenue growth, and in this regard, Adani Ports & Special Economic Zone Ltd. has excelled with an annual revenue growth of 23.86%. This robust growth has outperformed the company’s 3-year Compound Annual Growth Rate (CAGR) of 17.53%, highlighting its ability to sustain and even accelerate its revenue generation.
It’s also noteworthy that the company has prudently managed its financial commitments, allocating 11.33% of its operating revenues towards interest expenses and 5.65% towards employee costs for the fiscal year ending on March 31, 2023.
The share price of Bajaj Finance Ltd. experienced a marginal decrease of -0.28% from its previous closing value of Rs 7,410.65, with the stock currently trading at Rs 7,390.00.
One notable technical indicator is the weekly stochastic crossover that occurred in the week ending September 08, 2023. Historically, when such crossovers have happened, there has been an average price gain of 9.02% within 7 weeks. This could be indicative of a potential uptrend in the coming weeks, although past performance is not always indicative of future results.
In addition to technical indicators, it’s crucial to consider fundamental aspects. Bajaj Finance Ltd. has demonstrated robust annual revenue growth, recording an impressive 30.86%. This growth surpasses the company’s 3-year Compound Annual Growth Rate (CAGR) of 16.03%, reflecting its ability to consistently expand its top-line revenues.
Advance Decline Ratio
Today, the advance-decline ratio was 1.15, and the market breadth was positive. The volatility index India Vix increased by 5.26 percent to settle at 11.35 and the FIIs were net buyers today.
DAILY MARKET ACTION
Advancers – 1295
Decliners – 1125
52Wk High – 247
52Wk Low – 38
High Band Hitters – 117
Low Band Hitters – 44
200d SMA – 18416
50d SMA – 19533
20d SMA – 19470
Top Gainers and Losers Stocks
The top gainers were Adani Ports (+7.10%), Adani Enterprises (+3.68%), Axis Bank (+2.32%), Apollo Hospitals (+2.19%), and Power Grid (+2.18%).
The top losers were Coal India (-1.15%), Bajaj Finance (-0.28%), ONGC (-0.27%), and Larsen & Toubro (-0.18%).
Top Gainers and Losers Sector
The top gainers sectors were Metal (+1.81%), Auto (+1.69%), FMCG (+0.89%), Realty (+0.88%), and Financial Services (+0.83%).
The top losers sectors were Media (-0.33%).
The Nifty Midcap 50 was up by 0.67 percent, while the Nifty Small Cap 50 was up by 1.38 percent on the day.
The Nifty Midcap 50 index currently closed at 11,725.65, while the Nifty Small Cap 50 index currently closed at 5,995.40.
SECTORS – NOTABLE ACTION
Stocks Ban List
(SEBI) F&O ban list (IBULHSGFIN open at -188.65 and close at -184.75), (CHAMBLFERT open at -285.95 and close at +284.05), (MANAPPURAM open at +145.60 and close at +148.50), (INDIACEM open at -250.90 and close at +251.00), (PNB open at +67.20 and close at +69.15), (SAIL open at -99.50 and close at +99.95), (DELTACORP open at +186.20 and close at -184.95), (HINDCOPPER open at +168.60 and close at -166.50), and (BALRAMCHIN open at -414.00 and close at +420.20) 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.
ZEEL, IEX, NATIONALUM, and NMDC stocks has the possibilities of enterance in the ban list.
As per the above pivots data, 19900 to 20060 is the Nifty 50 trading range.
Read previous -Daily Insights- here
Nifty Opens Gap Up, Records Sixth Consecutive Gains
Nifty Breaks 19,650 Hurdle, Banking Pack Strengthens
Index Rebound Hindered by Banking Underperformance
Nifty Gaps Up, Consolidates in Narrow Range
This article is only for educational purposes and is not an investment advice.