Indian equity benchmarks ended the volatile session of trade on a flat note, a day after touching their fresh all-time closing high levels. The bourses went through volatility where benchmarks, despite making decent opening, slipped into red for a couple of times during the session. Investors in last leg of trade turned cautious and booked profit ahead of the Infosys’ fourth quarter performance which will set the tone of earnings season for the January-March quarter. Overall, sentiments remained up-beat after World Bank projected an economic growth rate of 5.7 percent in fiscal year 2015 for India on the back of a more competitive exchange rate and many large investments going forward. Investors’ confidence also got boost with report that India Inc raised $2.72 billion more through external commercial borrowings (ECB) in the first 11 months of financial year 2013-14 on the back of better business environment. Supportive cues from US markets led the gains in local markets and sentiments remained up-beat following the release of the minutes of the latest Federal Reserve meeting that eased concerns about the central bank raising interest rates sooner than anticipated. Asian markets too ended mostly in the green with both Hong Kong and Shanghai markets edging higher, after China announced a plan to widen market access for overseas investors and allow direct stock trading between Hong Kong and Shanghai. However, disappointing start of European markets took their toll on domestic sentiments and capped the gains.
Back home, selling pressure in software manufacturer Infosys, cigarette to hotel conglomerate ITC and private lender ICICI Bank pulled the benchmarks lower in dying hour of trade. Meanwhile, stocks related to healthcare space which witnessed splendid run in last few sessions witnessed massacre in today’s trade. Software and technology counters too witnessed selling pressure as investors remained concerned ahead of the release of quarterly earnings next week.
On the flip side, steel stocks like Tata Steel, JSW Steel, SSLT and SAIL all edged higher on the World Steel Association (WSA) statement that India’s steel demand may grow 3.3 per cent this year on higher demand from construction and manufacturing sectors. Stocks related to aviation stocks too remained on buyers’ radar, as the SEBI is likely to pass final order on Jet Airways, Etihad Airways deal soon.
GLOBAL UPDATES:
European shares inched higher after minutes of the U.S. Federal Reserve's latest policy meeting suggested it would be less inclined than anticipated to raise interest rates. Both Dow and NASDAQ futures started on a negative note today at this evening.
Technically speaking, today RSI closed at 77, MACD was Positive at Signal line, India VIX was at 29~. Nifty closed above all its moving averages like 5 DMA (6743) 20 DMA (6625),50DMA (6360) and 200 DMA (6074) which indicate that market is in the strong bull run and are in the new zone only. Though trend is positive, one needs to be cautious at higher levels.
Markets closed on a Positive note with majority of the sectors closed on a mixed note but Bse Power was the best performing sector today.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.