At the close, the Nifty 50 was at 18,255.80 up by 0.92%
NSE Nifty 50 showed a positive trend, opening at a high point and registering a 0.92 percent increase during the day. The index maintained its momentum and closed in the green, with Nifty managing to remain above the crucial 18200 mark. This performance indicates a positive market sentiment and suggests potential for further upward movement in the near future.
At the beginning of today’s trading session, Indian stock market indices were slightly nervous following the US Federal Reserve’s widely anticipated decision to raise interest rates by 25 basis points. However, the benchmarks quickly stabilized and gained momentum on the back of robust corporate earnings and renewed foreign institutional investor (FII) buying. The US Fed’s possible pause in rate hikes also contributed to the positive sentiment.
On May 4, 2023, Foreign Institutional Investors/Foreign Portfolio Investors (FII/FPI) purchased shares worth Rs. 7,311.04 crore and sold shares worth Rs. 5,896.31 crore, resulting in a net investment of Rs. 1,414.73 crore. Domestic Institutional Investors (DII) bought shares worth Rs. 5,611.15 crore and sold shares worth Rs. 5,169.59 crore, resulting in a net investment of Rs. 441.56 crore.
Bank Nifty: Up by 0.86%
The Bank Nifty, like the Nifty 50, opened on a positive note today with a gain of 0.86 percent. The index managed to maintain its upward momentum throughout the day and closed in the green at 43,685.45. Likewise, the Bombay Stock Exchange’s benchmark index, the BSE Sensex, also performed well, opening with a gain of 0.91 percent. Throughout the day, the Sensex maintained its upward trajectory and closed at a high of 61,749.25.
The Financial Services sector emerged as the biggest gainer on the sectorial front, with an overall gain of 1.55%. Among the companies in this sector, CHOLAMANDALAM INVESTMENT AND FINANCE COMPANY LIMITED gained by 7.20%, while BAJAJ FINANCE LIMITED and MUTHOOT FINANCE LIMITED saw gains of 3.22% and 2.79%, respectively. HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED also performed well, gaining by 2.66%.
On the other hand, the FMCG sector suffered the biggest loss with a decline of 0.13%. DABUR INDIA LIMITED was among the companies in this sector that experienced a decline, with a loss of 1.55%. MARICO LIMITED, GODREJ CONSUMER PRODUCTS LIMITED, and NESTLE INDIA LIMITED also saw declines of 0.96%, 0.87%, and 0.72%, respectively.
The Nifty Banking sector had some gainers and some losers for the day.
The gainers included HDFC Bank with a 2.12% increase, State Bank of India with a 1.57% increase, Federal Bank with a 1.31% increase, Punjab National Bank with a 1.24% increase and Axis Bank with a 0.70% increase. On the other hand, the biggest losers in the sector included IndusInd Bank with a 1.32% decline, IDFC First Bank with a 0.70% decline, ICICI Bank with a 0.30% decline, and AU Bank with a 0.03% decline. These results suggest that some banking stocks not performed better for the day.
Adani Enterprises Ltd. In the past three years, the stock market has seen some remarkable performances, with one standout being the incredible 1297.95% return on a particular stock, far surpassing the Nifty 100’s return of 78.92%. One company that has seen a recent uptick in its share price is Adani Enterprises Ltd., which has experienced a 2.38% increase from its previous closing price of Rs 1,839.00. As of the most recent trade, Adani Enterprises Ltd. stock is valued at 1,882.80, indicating a positive trend in its performance.
Bajaj Finance Ltd. BFL has cemented its position as the leading provider of unsecured personal loans in the NBFC sector, thanks to its strong focus on technology. Despite the impact of the Covid-19 pandemic, the company has been able to maintain a tight rein on its GNPA. For the fiscal year ending 31 Mar, 2022, BFL allocated 30.82% of its operating revenues towards interest expenses and 11.35% towards employee costs. In the latest market activity, Bajaj Finance Ltd. has experienced a 3.48% increase from its previous close of Rs 6,180.25, with the company’s stock last trading at 6,395.50.
IndusInd Bank Ltd. Over the past 18 years, a mere 3.65% of trading sessions have witnessed intraday declines surpassing 5%. IndusInd Bank Ltd. has reported a YoY growth of 21.28% in its advances, outperforming its 5-year CAGR of 9.24%. The company’s annual revenue growth rate of 16.51% also surpassed its 3-year CAGR of 7.54%. Moreover, the stock has provided a return of 170.93% over the last three years, far outpacing the Nifty 100’s return of 78.92%. Despite this, in the latest market activity, the share price of IndusInd Bank Ltd. has fallen by -1.32% from its previous close of Rs 1,146.15, with the stock last trading at 1,131.00.
Indian rupee opened strong against the US dollar at 81.65 but gradually lost ground, eventually falling to around 81.80. The dollar index fluctuated between 101.04 and 101.40, while foreign institutional investors (FII) remained net buyers, which could help stabilize the rupee’s value in the near future. Looking ahead, the rupee is expected to trade within a range of 81.50 to 82.00 following the US Federal Reserve’s hint at a dovish stance. Moreover, the downward trend in crude oil prices may contribute to a positive sentiment for the rupee, as the price of crude has been experiencing a strong drift downwards.
After the Federal Reserve implemented a highly anticipated rate hike and received continuous foreign support, domestic equities regained their bullish momentum, propelled by gains across significant sectors. Nevertheless, the US market witnessed losses as the Fed restated worries regarding high inflation, even though it softened its language on future rate hikes. Additionally, indications of resurging contagion fears in regional US banks weighed on the global market sentiment.
Advance Decline Ratio
Today, the advance-decline ratio was 2.09, and the market breadth was positive. The volatility index India Vix decreased by 0.90 percent to settle at 11.73 and the FIIs were net buyers today.
DAILY MARKET ACTION
Advancers – 1533
Decliners – 734
52Wk High – 78
52Wk Low – 4
High Band Hitters – 75
Low Band Hitters – 26
200d SMA – 17678
50d SMA – 17524
20d SMA – 17779
Top Gainers and Losers Stocks
The top gainers were Adani Enterprises (+4.68%), Bajaj Finance (+3.22%), HDFC (+2.66%), SBI Life (+2.65%), and HDFC Bank (+2.12%).
The top losers were IndusInd Bank (-1.32%), UPL (-1.10%), Nestle India (-0.72%), Power Grid (-0.71%), and ITC (-0.70%).
Top Gainers and Losers Sector
The top gainers sectors were Financial Services (+1.55%), Metal (+1.22%), Consumer Durables (+0.68%), Media (+0.58%), and Pharma (+0.54%).
The top losers sectors were FMCG (-0.13%).
The Nifty Midcap 50 was up by 0.63 percent, while the Nifty Small Cap 50 was up by 0.57 percent on the day.
The Nifty Midcap 50 index currently closed at 9,122.90, while the Nifty Small Cap 50 index currently closed at 4,478.50.
SECTORS – NOTABLE ACTION
FINANCIAL SERVICES +1.55%
CONSUMER DURABLES +0.68%
Stocks Ban List
(SEBI) F&O ban list (MANAPPURAM open at 113.10 and close at 111.10) is not currently on the stock exchange.
The Securities and Exchange Board of India (SEBI) has banned MANAPPURAM from trading in the futures and options (F&O) segment of 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.
It seems that GNFC may be at risk of being added to the ban list.
As per the above pivots data, 18120 to 18340 is the Nifty 50 trading range.
This article is only for educational purposes and is not an investment advice.