Indian share markets are currently dancing to the global tunes however there may be a shift in the focus with the beginning of the earnings season.
After the initial gains, Nifty failed to rise materially post 10.30 am suggesting sector and stock rotation.
Indian share market ended higher for the fourth straight day on Tuesday led by strong buying in Housing Development Finance Corporation, HDFC Bank, ICICI Bank and Kotak Mahindra Bank. BSE Sensex ended 600 points or 1.54 per cent higher at 39,575, while the broader Nifty 50 index finished 159 points or 1.38 per cent at 11,662. Out of 30 Sensex stocks, just 6 scrips ended in negative territory with Tata Steel shares falling the most. Broader markets underperformed the equity benchmarks. S&P BSE MidCap gained 0.59 per cent, while the S&P BSE SmallCap index ended up 0.55 per cent.
HDFC top Sensex contributor: HDFC shares surged 8.35 per cent to end at Rs 1,934.45 apiece, a day after the bank said that its individual loan disbursements in the second quarter of 2020-21 reached 95 per cent of the level in the year-ago period.
Nifty Financial Services top sectoral gainer:Nifty FMCG, Nifty Metal and Nifty Pharma indices ended in red today. While the rest of the sectoral indices finished in the positive territory. Nifty Bank index gained 2.16 per cent and Nifty Financial Services was up 3.15 per cent. Nifty Auto index too was trading in the green.
Expert’s take on today’s market performance: “Indian share markets are currently dancing to the global tunes however we may see a shift in the focus with the beginning of the earnings season,” said Ajit Mishra, VP – Research, Religare Broking Ltd. Besides, the RBI has announced the new dates for the MPC meet and the outcome will be out on October 9. “We thus expect rate-sensitive pack to remain volatile in the near future,” Mishra added.
Nifty may achieve 11800: “The Nifty closed in stellar form. It also managed to cross its intermediate high of 11618 which was made on 16 September 2020. We should now achieve 11800 which is the next resistance level. The trend and sentiments are bullish and we could even achieve 12000 once we get past 11800,” said Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.