Daily Markets - April 23, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian benchmark equity indices corrected from the intra day high made at 1115 Hrs on April 23 to finally end lower to log their third consecutive week of decline. A deadly wave of coronavirus infections raises concerns over business recovery. At close the Nifty closed 0.45% or 65 points lower at 14341. The Nifty logged its longest run of weekly losses since May 22 having fallen 1.9% in the week that ended today.

Volumes on the NSE were lower than recent averages. Among sectors Power and PSU rose the most while Realty, FMCG and IT fell the most.

Asian stock markets were mixed Friday after Wall Street fell following a report that President Joe Biden will propose raising taxes on wealthy investors. European stocks were on track for their first weekly loss in eight on Friday as a surge in global coronavirus cases offset optimism about a strong earnings season. Europe's vaccination rollout has been heavily delayed and the bloc is struggling with a third wave of the virus.

The IHS Markit eurozone purchasing managers index (PMI) composite output index rose to a nine-month high of 53.7, with the flash eurozone manufacturing output PMI at a record high and the services PMI at an eight-month high.

Nifty has fallen for the third consecutive week. On daily charts it has risen one day and fallen the other over the past three days. Despite the weakness seen today the advance decline ratio was positive and the Nifty did not go towards the recent lows. Hopes of an early resolution of Covid issue and encouraging corporate results are keeping the markets afloat. 14150-14526 is the band for the near term for the Nifty.

Source : Equity Bulls

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