Daily Markets - Oct 21, 2020 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian benchmark indices saw volatile trade on Oct 21.Nifty opened marginally higher but cracked post 1300Hrs. It made a bottom at 1415 Hrs and recovered sharply from there to end in the positive. At close the Nifty was up 40.90 points or 0.34% at 11937.70.

Volumes on the NSE were higher than recent average due to volatility on both sides. Banks, Realty, Metals, Infra and energy indices rose while FMCG, IT and Auto indices fell.

Asian markets rose Wednesday on signs US lawmakers are moving towards agreeing a new stimulus package for the struggling economy, while hopes for a vaccine helped tamper worries about surging virus infections around the world. European stocks fell on Wednesday, with earnings news overshadowed by investor concerns over the COVID-19 pandemic spread in the region and stimulus progress in the U.S.

Nifty has turned back from just above 12000 for the third time in the past eight days. The fall from there was reversed in a sharp manner suggesting that the Nifty may not be ready to give up immediately. Materials and large PSUs are back in favour in sectoral rotation while BFSI and IT have come under pressure.

Source : Equity Bulls

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