Market Commentary

Daily Markets Wrap - June 13, 2022 - HDFC Securities



Posted On : 2022-06-13 18:16:18( TIMEZONE : IST )

Daily Markets Wrap - June 13, 2022 - HDFC Securities

Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Nifty fell for the second consecutive session on June 13 led by negative global cues post the higher than expected inflation number coming out of the US on Friday. Nifty opened gap down and kept falling to make an intra day low at 1415 Hrs, post which a minor recovery was seen. At close, Nifty was down 2.64% or 427.4 points at 15774.4.

Among sectors, IT, Realty, Metals and Bank indices fell the most. BSE Smallcap and Midcap indices fell more than the Nifty reflecting broad market weakness. Advance decline ratio fell to the worst since Feb 24, 2022.

Asian stocks sank on Monday as red-hot inflation reignited worries about even more aggressive U.S. interest rate increases while new mass COVID-19 testing in China sparked concerns of more crippling lockdowns. European equities slid to the lowest level since early March as investors worried that surging inflation will fuel more aggressive monetary tightening, increasing risks of a recession.

Nifty came under selling onslaught and touched multi month lows as fears that aggressive rate tightening by Central Banks could lead to recession unnerved investors. Investors who are under invested in equities can start to deploy money in a staggered manner while those who are fully invested can sell some stocks and raise cash on rises. Nifty needs to stay above 15671 level to prevent further damage. 15336-15431 band could be a good support for Nifty from where we could witness a short term bounce.

Source : Equity Bulls

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DailyMarketsWrap Nifty Sensex HDFCSecurities