For the second day straight, domestic equity benchmarks ended the day with losses. S&P BSE Sensex ended 134 points or 0.34% lower at 38,845 points while the Nifty 50 managed to just hold on to 11,500 mark.
BSE Midcap was down 1.75% and BSE Smallcap slipped 1.45% while Sensex moved 2.6% lower.
For the second day straight, domestic equity benchmarks ended the day with losses. S&P BSE Sensex ended 134 points or 0.34% lower at 38,845 points while the Nifty 50 managed to just hold on to 11,500 mark. Pharmaceutical companies enjoyed a decent run with the Nifty Pharma index gaining 5% during the day’s trade. With this Sensex ended the week down by 0.80% and the Nifty 50 lost 0.27% during the week. India VIX opened at 20.10 levels but ended down at 19.94. BSE Midcap index surged to end the day with gains.
Pharma stocks rally: Stocks from the pharma sector were rallying on Friday. S&P BSE Healthcare index gained 3.50% and Nifty Pharma surged 5% during the day. Natco Pharma shares gained over 14% during the day while Dr Reddy’s was up over 10%. Overall the Nifty Pharma index gained over 8% during this week.
BSE Midcap gains: While the benchmark Sensex and the BSE Smallcap index slipped into the red, the BSE Midcap index ended with gains. BSE Midcap index moved 0.26% higher gains in Natco Pharma and Dvisi Labs shares. Nifty midcap indices were in the red.
Technical take: “There was a sharp fall in the markets that pushed the Nifty down by over 100 points from the day’s high. However, we were quick to regain most of the fall towards the end of the day. The markets continue to respect the 11500 level which is heartening for the bulls. The key level to be respected is 11300-11350 and if we can manage that, we should be able to achieve 11800 by the expiry next week,” said Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments.
What’s in for next week: Although chartists remain convinced that bulls will soon take equity markets higher, others say that uncertainty could continue. “Due to lack of any fresh triggers for the market, the current uncertainty is expected to continue. But any news with regards to the border tensions with China, or global events can impact the markets on the downside. As such, investors need to be cautious and watch for news-specific movements,” said Vinod Nair, Head of Research at Geojit Financial Services.