The key domestic benchmarks rebounded smartly as the Sensex surged by more than 350 points led by robust buying momentum in realty and auto stocks. A set of good quarterly earning numbers from IT companies such as TCS, HCL Tech and Mindree also supported sentiment, signaling a bullish outlook for the sector. Sentiment was also boosted after rating agency Standard & Poor’s (S&P) said it could upgrade the country’s ratings outlook from negative to stable if the new government successfully addresses the challenges facing the economy including reviving reforms such as implementing the goods and services tax while containing the fiscal shortfall. Markets will be closed tomorrow due to Good Friday. Bulls woke up from slumber after three consecutive sessions of drubbing, leading to positive session of trade at Dalal Street ahead of long weekend, as equity markets will remain shut for trade tomorrow on account of ‘Good Friday’.
On the global front, Asian markets ended mixed as a positive report on the US economy and the Federal Reserve chief's pledge to keep interest rates at record lows were offset by profit-taking after the previous day's gains. On the flip side, European shares, edged lower weighed down by weakness in luxury drinks after a crackdown on gift giving in China knocked beverage company earnings, in quiet trade ahead of a public holiday, were trading weak in early deals.
Back home, broad based gains were witnessed at Dalal Street as investors lapped up all the fundamentally strong stocks which were available at attractive valuation after recent drubbing. No sectoral indices on BSE witnessed profit-booking, nonetheless, gains were led by stocks belonging to Realty, Auto and Banking counters. Besides,telecommunication stock rang loud in trade on plans of telecom department to facilitate a mix of subsidies, grants and overseas borrowings through multilateral agencies to help cash-strapped telcos invest in green energy technologies mandated by the government.
On the result front, HCL Technologies rose over a percent after the IT major reported better-than-expected earnings for quarter ended March 2014 on the back of strong margins. Its net profit grew to Rs 1,624 crore, up 8.5 per cent, from Rs 1,496 crore, in previous quarter. Additionally, TCS stocks clinched similar amount of gains after country’s largest IT services exporter reported a better than expected 51.5 percent increase in the last three months. The market breadth on the BSE ended positive; advances and declining stocks were in a ratio of 1717: 1054, while 147 scrips remained unchanged.
BSE Mid cap and Small cap indices ended higher by 1.47% and 1.43% respectively. On the BSE Sectoral front, Realty up by 2.79%, Auto up by 2.25%, Metal up by 1.85%, Power up by 1.81% and Oil & Gas up by 1.79% were the top gainers, while there were the no losers in the space. The top gainers on the Sensex were Tata Motors up by 4.57%, Hindalco up by 4.54%, ICICI Bank up by 3.33%, BHEL up by 3.25% and SBI up by 2.89%. On the other hand, HDFC Bank down by 1.06% was the only loser in the index. India VIX, a gauge for markets short-term expectation of marginally lost 0.98% at 30.85 from its previous close of 31.16. Nifty gained 103.25 points to settle at 6,778.55. Out of the 50 stocks on the Nifty, 47 ended in the green, while 3 ended in the red. The European markets were trading in red; France’s CAC 40 was down by 0.19%, Germany’s DAX was down by 0.20% and UK’s FTSE 100 down by 0.26%.
Summary
RSI was at 65 MACD positive below signal line; India VIX was at 31~ which all Indicate that market are in uptrend for immediate short term. Today, Nifty closed above its 200 DMA (6096), 50 DMA (6412) ,20 DMA (6672), 5 DMA (6752) which all indicate that market may see some upside in the near future.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.