Daily Market Wrap - July 15, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities
(Time Zone: UTC)
Indian benchmark equity indices closed at record highs on July 15 aided by gains in IT, Realty and Capital Goods stocks. Nifty opened marginally higher and rose till 1100 Hrs, post which it went sideways. Nifty closed higher for the third consecutive session. At close, the Nifty settled with a gain of 70 points, or 0.44 percent, at 15,924.20.
Volumes on the NSE were higher than recent averages. Among sectors, Realty, Capital Goods and IT rose the most while Oil & Gas, Auto and Telecom lost the most. The BSE Midcap and Smallcap indices closed 0.31 percent and 0.43 percent higher, respectively.
Asian shares were mostly higher on Thursday as dovish comments by the U.S. Federal Reserve chief and fresh liquidity from China's central bank propped up investor appetite. Earlier in the day, People's Bank of China (PBOC) rolled over part of the 400 billion yuan maturing one-year medium-term lending facility (MLF) loans, by injecting 100 billion yuan ($15.46 billion). European stocks were lower on Thursday, as investors digest inflation data from the U.S. and U.K. released yesterday along with Fed Chairman Jerome Powell's comments, and look ahead to more earnings and jobs data.
Nifty has closed at its all-time high on July 15 after making a fresh intraday high at 15952. However advance decline ratio has turned negative after 4 sessions of a positive number. Focus is now shifting towards the largecaps, after being neglected for quite some time. This is apparent from the higher volumes and successive rises in the Nifty. The momentum in the market remains up. On upmoves the Nifty could face resistance at 15987, while 15855 could be a support for the next session.