Nifty, US Markets attain to New Heights – Preparation on for the Fed Chair’s Testimony

At the close, the Nifty 50 was at 24,433.20 up by 0.46%

The NSE Nifty 50 woke up with a spring in its step today, surging 0.46% and smashing through the 24,400 barrier. After a few days of treading water, Dalal Street roared with bullish energy, pushing the index to a dazzling new peak of 24,443.60 before settling at 24,433.20, a robust gain of 112.65 points. Investors across sectors joined the party, exuding confidence and fueling this upward spree.

What fueled this euphoria? Well, it’s a global affair! International markets lent a helping hand, and hefty foreign investments poured in, lifting our spirits to record highs this July 9th. And let’s not forget the homegrown optimism sparked by expectations of a budget that sings growth and the promise of bumper earnings from our Nifty 50 stalwarts.

Across the pond, things are also looking bright. US stocks strutted to new highs, painting a sunny picture. All eyes now turn to Jerome Powell’s upcoming congressional testimony, where hints about interest rates could set the stage for future moves. Economic tea leaves like CPI and PPI reports are on everyone’s radar, ready to sway the market dance.

Meanwhile, in our own backyard, mutual funds hit a high note, managing over Rs. 61.3 trillion in assets by June’s end. Investors are diversifying like never before, embracing multi-asset funds as they navigate this ever-changing market landscape.

As the market continues its dynamic dance, one thing’s for sure: staying informed is the name of the game. What surprises might tomorrow bring?

Bank Nifty: Up by 0.27%

The Bank Nifty started the day on a positive note, opening in the green with a modest increase of 0.27%. The momentum continued throughout the trading session, culminating in a green close at 52,568.80.

Simultaneously, the BSE Sensex also witnessed a robust performance, gaining 0.49% during the day to reach a high of 80,351.64 by the closing bell. The Sensex’s upward trajectory underscores strong buying sentiment and investor optimism across key blue-chip stocks.

In the sectorial front, the auto sector has made a significant mark with an impressive gain of 2.23%. Leading the charge, Maruti Suzuki India Ltd. has surged by a remarkable 6.52%, showcasing robust performance and strong investor confidence. Bosch Ltd. also contributed to the sector’s triumph, recording a notable increase of 3.53%.

On the flip side, the IT sector faced a slight downturn, emerging as the top loser with a dip of 0.20%. Within this sector, Coforge Ltd. experienced a decline of 1.60%, reflecting a challenging market environment. L&T Technology Services Ltd. also saw a decrease of 0.53%, adding to the sector’s overall underperformance.

FIIs/FPIs displayed a balanced approach with a buy value amounting to Rs. 14,537.07 crore and a sale value of Rs. 14,222.61 crore. This resulted in a net investment of Rs. 314.46 crore, showcasing moderate positive sentiment in the market from foreign entities.

Conversely, DIIs exhibited stronger buying activity, recording a buy value of Rs. 13,615.06 crore against a sale value of Rs. 12,198.60 crore. This substantial activity led to a net investment of Rs. 1,416.46 crore by domestic institutions, highlighting robust confidence and participation in the domestic equity market.

Bank Nifty

The Nifty Banking sector had some gainers and some losers for the day.

The gainers included ICICI Bank with a 0.87% increase, Punjab National Bank with a 0.77% increase, HDFC Bank with a 0.21% increase, and State Bank of India with a 0.03% increase.

On the other hand, the biggest losers in the sector included Bandhan Bank with a 1.97% decline, IDFC First Bank with a 0.70% decline, Kotak Bank with a 0.44% decline, AU Bank with a 0.34% decline, and IndusInd Bank with a 0.27% decline. These results suggest that some of the banking stocks not performed better for the day.

Gold and Silver

Today 22 Carat Gold Price Per Gram in India (INR)

Today 24 Carat Gold Price Per Gram in India (INR)

Today Silver Price 1 Gram/KG in India (INR)

Stocks Highlights

Maruti Suzuki India Ltd. has impressed investors with a share price surge of 6.52%, climbing from its previous close of Rs 12,023.60 to a last traded price of Rs 12,807.00. Intriguingly, over the past 19 years, only 1.22% of trading sessions experienced intraday declines exceeding 5%. This resilience is further highlighted by the company’s remarkable ROE of 15.75% for the year ending March 31, 2024, significantly outperforming its five-year average of 11.7%.

In terms of financial efficiency, Maruti Suzuki has demonstrated prudent expense management, with less than 1% of operating revenues allocated to interest expenses and 4.44% to employee costs in the same period. Despite its impressive performance, the stock’s three-year return of 66.09% trails behind the Nifty Auto index, which delivered a 133.08% return. This indicates room for further growth and potential catch-up with the sector benchmark.

Reliance Industries Ltd. saw a slight dip in share price, decreasing by 0.80% from its previous close of Rs 3,201.80 to Rs 3,176.30. Over the past 19 years, only 1.2% of trading sessions witnessed intraday gains exceeding 5%, reflecting a consistent performance pattern. The company has efficiently managed its expenses, dedicating 2.57% of operating revenues to interest expenses and 2.85% to employee costs for the year ending March 31, 2024.

A notable buy signal emerged with a weekly MACD crossover on July 05, 2024, historically resulting in an average price gain of 6.64% within seven weeks over the past decade. Despite this bullish indicator, Reliance Industries’ three-year return of 47.21% lags behind the Nifty 100 index’s return of 52.57%. This suggests potential for further market performance alignment and investment opportunity.

Advance Decline Ratio

Today, the advance-decline ratio was 1.03, and the market breadth was positive. The volatility index India Vix increased by 3.38 to settle at 14.06 and the FIIs were net buyers today.

DAILY MARKET ACTION
Advancers – 1355
Decliners – 1314
52Wk High – 179
52Wk Low – 16
High Band Hitters – 120
Low Band Hitters – 86
200d SMA – 21581
50d SMA – 23074
20d SMA – 23835

Top Gainers and Losers Stocks

The top gainers were Maruti (+6.52%), Divi’s Laboratories (+2.37%), M&M (+2.23%), Titan (+1.89%), and Hindalco (+1.86%).

The top losers were Reliance (-0.80%), Tata Consumer (-0.76%), Bajaj Finance (-0.61%), ONGC (-0.60%), and Kotak Bank (-0.44%).

Top Gainers and Losers Sectors

The top gainers sector were Auto (+2.23%), Consumer Durables (+1.74%), Pharma (+1.57%), Realty (+1.14%), and FMCG (+0.97%).

The top losers sector were IT (-0.20%), and Oil & Gas (-0.17%).

SECTORS – NOTABLE ACTION
AUTO +2.23%
CONSUMER DURABLES +1.74%
PHARMA +1.57%
IT -0.20%
OIL & GAS -0.17%

Stocks Ban List

(SEBI) F&O ban list (CHAMBLFERT open at +542.00 and close at -512.70), (INDIACEM open at -278.70 and close at +281.95), (GNFC open at +720.00 and close at -704.45), (INDUSTOWER open at -385.00 and close at -385.00), (PEL open at -933.90 and close at -922.10), (BANDHANBNK open at +205.00 and close at -200.76), (ABFRL open at -323.90 and close at -322.10), and (HINDCOPPER open at +345.35 and close at +347.60) 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.

IEX, BALRAMCHIN, GMRINFRA, TATACHEM, SAIL, IDFCFIRSTB, IDEA, NMDC, RBLBANK, and BSOFT stocks has the possibilities of entrance in the ban list.

HINDCOPPER stock has the possibilities of exit from ban list.

Daily Pivots

As per the above pivots data, 24250 to 24600 is the Nifty 50 trading range.

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This article is only for educational purposes and is not an investment advice.