Daily Markets Wrap - Oct 6, 2022 - HDFC Securities

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

Nifty rose for the second consecutive session on Oct 06, helped by positive global cues. Nifty opened gap up and remained in a narrow range before closing near intra day low. At close, Nifty was up 0.33% or 57.5 points at 17331.8.

Among sectors, Realty, Metals and Capital Goods indices rose the most while FMCG and Telecom indices fell the most. Broad market indices i.e. Smallcap and Midcap indices outperformed the Nifty rising 1.13-1.30% even as the advance decline ratio was positive at 2.43:1.

Asian stock markets extended recent gains on Thursday amid growing expectations of an economic rebound in China, with focus now turning to upcoming U.S. payrolls data to determine the path of monetary policy.European stocks traded flat on Thursday despite renewed concerns about inflation and a possible recession and as global markets attempted to recover from recent volatility.

Eurozone retails sales fell 0.3 percent month-on-month in August and by 2.0 percent on an annualized basis, Eurostat said.

A gauge of India's services sector signalled growth for the fourteenth consecutive month, but highlighted the "weakest rate of expansion" since March. The India Services Business Activity Index, compiled by IHS Markit, stood at 54.3 in September against 57.2 in August. The Composite PMI Output Index stood at 55.1 against 58.2 the month before, also pointing to the weakest rate of expansion since March, but above its long-run average.

Nifty has risen in a small range trade forming a bullish island reversal. It needs to stay above 17287 for the next few days for the pattern to be validated. On upmoves it could face resistance at the 17484-17497 band while 17287 could offer support.

Source : Equity Bulls

Keywords

DailyMarketsWrap HDFCSecurities Sensex Nifty