NSE Nifty 50 Starts Strong, Surges 0.57% & Closes Above 17900 Mark

At the close, the Nifty 50 was at 17,915.05 up by 0.57%

Today marked a strong start for the NSE Nifty 50, which opened on a high note and continued to climb throughout the trading day. By the closing bell, the index had surged by an impressive 0.57 percent, signaling a bullish sentiment in the market. Investors and traders alike were pleased to see the Nifty 50 closing in the green, with the index finishing above the 17900 mark. This upward trend is a positive indicator for the Indian stock market, suggesting a healthy and thriving economy that is attracting both domestic and foreign investment. As we look ahead to the coming days and weeks, it will be interesting to see if this trend continues and how it will impact various industries and sectors within the market.

Indian benchmark equity indices recorded their fourth consecutive day of gains on April 27th, buoyed by positive cues from global markets and anticipation of US GDP quarterly growth data due later in the day. The upward trend was particularly driven by heavyweight stocks such as Reliance, Infosys, and Bajaj Finance.

Investors appeared optimistic about the potential for strong GDP growth in the US, which would have positive implications for global markets. These sentiments helped to drive gains across a range of industries, with a particularly strong showing in the technology and finance sectors.

Bank Nifty: Up by 0.40%

The Bank Nifty kicked off the trading day on a positive note, opening in the green and maintaining its upward momentum throughout the session. By the closing bell, the index had gained 0.40 percent and closed in the green, reaching an impressive 43,000.85. This upward trend suggests a promising outlook for the banking sector, with investors and analysts closely monitoring the performance of key players in the market.

In addition to the Bank Nifty, the BSE Sensex also enjoyed a strong showing, opening with a bullish sentiment and maintaining its upward trajectory throughout the trading day. By the close of the market, the index had surged by 0.58 percent, reaching a high of 60,649.38. This strong performance is a positive signal for the Indian stock market, indicating a healthy and thriving economy that is attracting significant investment.

Indian stock market on a sector-by-sector basis, we observe a strong showing across a diverse range of industries. Notably, the Nifty Realty sector rose by an impressive 1.53%, while the Nifty IT sector also enjoyed gains of 1.07%.

In addition to these sectors, banks, financials, autos, media, metals, pharma, healthcare, consumer durables, and oil & gas all closed higher, suggesting a broad-based bullish sentiment among investors.

Moving to the broader market, the Nifty Midcap 100 rose by 0.56%, indicating healthy growth across mid-sized companies. Meanwhile, the Smallcap 100 surged by 0.80%, reflecting positive trends among smaller businesses and startups.

Bank Nifty

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

The gainers included Kotak Bank with a 1.48% increase, Babdhan Bank with a 1.25% increase, IDFC First Bank with a 1.19% increase, Bank of Baroda with a 0.98% increase and HDFC Bank with a 0.49% increase. On the other hand, the biggest losers in the sector included Axis Bank with a 0.81% decline, Federal Bank with a 0.70% decline, State Bank of India with a 0.34% decline, and AU Bank with a 0.16% decline. These results suggest that some banking stocks performed better for the day.

Buzzing

The Indian stock market continued its upward momentum on April 27th, building on gains from the previous session to close higher on the Future & Option expiry day. Investors demonstrated a strong appetite for buying across sectors, with the Nifty index reclaiming the 17,900 mark.

Although the market opened on a relatively flat note amid mixed global cues, buying activity picked up in the second half of the session, driving the indices to close near the day’s high. By the close of trading, the Nifty had gained an impressive 101.45 points, or 0.57 percent, reaching 17,915.05.

The Indian domestic market is showing signs of a gradual shift towards positive terrain, with supportive factors including inflows from Foreign Institutional Investors (FIIs) and positive Q4 earnings from banks.

Meanwhile, on the global front, investors are closely monitoring the release of US Q1 GDP data, which is expected to moderate on a quarter-on-quarter basis amid concerns over banking contagion and a slowing economy. Looking ahead, the upcoming FED policy meeting next week will be keenly monitored, with expectations that the FED may announce a further 25 basis points hike in interest rates, but that this will represent a peak and a prolonged pause will follow.

Overall, these factors suggest a complex and rapidly evolving economic landscape, with numerous drivers and challenges affecting the global and Indian markets. As always, it will be important for investors and traders to stay alert and adaptable to changing conditions in order to make informed decisions and capitalize on emerging opportunities.

Buzz

Bajaj Auto Ltd. appears to be in a strong position as the company has recently implemented a new dividend payout policy that is tied to its cash reserves. With current reserve levels, it is expected that dividend payments for FY23 and beyond will experience a significant increase. Additionally, the company has a diversified revenue stream with sales in two-wheelers in both rural and urban areas, as well as sales of three-wheelers and exports.

HDFC Life Insurance Company Ltd. During FY 22, when there was a shortage of containers affecting exports, the company was able to rely on strong domestic sales to mitigate the impact. Conversely, when domestic sales were impacted by partial lockdowns, the company was able to rely on its exports. As a result, Bajaj Auto Ltd. has seen its share price increase by 2.54% from the previous close of Rs 4,299.00, with its stock last trading at a price of Rs 4,408.20.

Due to rising life expectancy and urbanization, there is an increasing need for insurance products that not only offer coverage but also serve as a savings tool. However, the challenge lies in developing such products, as the combination of saving and insurance leads to lower margins for insurance companies. As a result, insurance companies may face difficulties in catering to this demand. On April 27, HDFC Life Insurance Company Ltd. saw a decline in its share price by -2.59%, closing at a last traded price of Rs 517.85 from its previous close of Rs 531.60.

Indian rupee lost its strength against the US dollar, after having gained due to dollar inflows, amidst mixed performance in the Asian currency market. The rupee closed at 81.8375 per dollar, as compared to the previous session’s 81.7650.

Crude oil prices rebounded after a drop on the previous day that nullified the supportive impact of the OPEC production cut announced earlier in the month. Brent crude rose by 30 cents or 0.39% and was trading at $77.99 per barrel, while US West Texas Intermediate crude rose by 22 cents or 0.3% to trade at $74.52.

Advance Decline Ratio

Today, the advance-decline ratio was 1.56, and the market breadth was positive. The volatility index India Vix decreased by 1.95 percent to settle at 11.43 and the FIIs were net buyers today.

DAILY MARKET ACTION
Advancers – 1381
Decliners – 884
52Wk High –  60
52Wk Low – 14
High Band Hitters – 66
Low Band Hitters – 37
200d SMA – 17636
50d SMA – 17504
20d SMA – 17570

Top Gainers and Losers Stocks

The top gainers were Bajaj Auto (+2.63%), Bajaj Finance (+2.38%), SBI Life (+2.30%), Bajaj Finserv (+1.82%), and UPL (+1.78%).

The top losers were HDFC Life (-2.23%), Hindustan Unilever (-1.66%), ONGC (-0.84%), Axis Bank (-0.81%), and Power Grid (-0.80%).

Top Gainers and Losers Sector

The top gainers sectors were Realty (+1.53%), IT (+1.07%), Auto (+0.76%), Metal (+0.71%), and Media (+0.53%).

The top losers sectors were FMCG (-0.06%).

The Nifty Midcap 50 was up by 0.35 percent, while the Nifty Small Cap 50 was up by 0.82 percent on the day.

The Nifty Midcap 50 index currently closed at 8,865.15, while the Nifty Small Cap 50 index currently closed at 4,389.80.

SECTORS – NOTABLE ACTION
REALTY +1.53%
IT +1.07%
AUTO +0.76%
FMCG -0.06%

Stocks Ban List

(SEBI) F&O ban list (GNFC open at 591.00 and close at 578.40) and (ZEEL open at 190.55 and close at 186.15) is not currently on the stock exchange.

The Securities and Exchange Board of India (SEBI) has banned GNFC and ZEEL 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.

IBULHSGFIN, DELTACORP and BHEL have the possibility of being added to the ban list.

Daily Pivots

As per the above pivots data, 17820 to 17980 is the Nifty 50 trading range.

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