Market Commentary

Daily Markets - March 2, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities



Posted On : 2021-03-02 18:40:33( TIMEZONE : IST )

Daily Markets - March 2, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian benchmark equity indices ended higher for the second straight day, after recovering from selloff seen in the morning. At close the NSE Nifty 50 index gained another 1.07% to end at 14,919.

Volumes on the NSE were in line with recent averages. Among sectors, Auto, IT, FMCG, Pharma gained the most, while PSU Bank index ended in the negative. The Nifty Midcap index ended 1.7% higher while the Smallcap index gained 1.2% by the close of trade.

India's exports declined 0.25% to $27.67 billion in February while imports grew 6.98% to $40.55 billion during the month, according to provisional data released by the commerce ministry. The trade deficit widened to $12.88 billion in February as compared to $10.16 billion in the year-ago period. However, the trade deficit stood at $14.54 billion in January 2021.

Asia stocks reversed course giving up morning gains and European stocks fell as a senior Chinese official expressed wariness about the risk of asset bubbles in foreign markets and a recent bond market sell-off still weighed on investor sentiment. Lower commodity prices also weighed on indexes. German retail sales fell sharply in January, dropping 4.5% on the month, showing the continued impact of these restrictions on Europe's largest economy.

The number of new coronavirus infections globally rose last week for the first time in seven weeks, the World Health Organization said on Monday.

Nifty has entered the downgap area of 14919-15065 raising hopes of further upmove. Advance decline ratio also rose in line with the uppishness in the Nifty. 14782 on the downside is a crucial level to defend.

Source : Equity Bulls

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