Markets rockets into higher orbit like Chandrayaan - 3

View on Market Performance - Mr. Devarsh Vakil - Deputy Head Retail Research, HDFC Securities

Benchmark indices the Sensex and the Nifty settled at their fresh record closing highs on Friday on gains led by shares of IT majors. Infy, TCS, HCL Tech and Tech Mahindra together contributed more than 100 points to Nifty rally today. The Nifty IT added 1.45% to 30056. This index has risen by 3.22% in past two sessions.

Positive global cues, amid expectations that the US Federal Reserve may pause rate hikes after July, also gave a fillip to domestic market sentiments.

U.S. stock indexes ended higher and recorded their fourth straight day of gains yesterday, with the S&P 500 clearing the 4,500 mark for the first time since April 2022, led by technology stocks, after data showed June producer-price inflation fell further, bolstering the chances that the Federal Reserve is near the end of its campaign of interest-rate hikes.

For the week, Nifty was up by 1.2% and it is third weekly rise on the trot. BankNifty which underperformed for the entire week registered a sharp recovery in last 45 minutes of the trade.

Nifty Smallcap Index recouped almost all the losses registered in previous session by soaring 1.42% today. Advancing shares outnumbered the declining shares as advance decline ratio stood at 1.85 on BSE, highest since 06-April 2023. NSE Cash market volumes were lower as compared to last ten-day average. All the sectoral Indices closed in the green. Amongst them, Nifty IT, Media and Metal gained the most.

For the short-term, support for the Nifty has shifted to 19500. As far as resistance is concerned Nifty could extend current rally towards 19800.

Source : Equity Bulls

Keywords

MarketPerformance HDFCSecurities Nifty Sensex