Seven out of 10 Adani stocks end in the green; indices rise amid positive global cues, RBI stance | The Financial Express

Seven out of 10 Adani stocks end in the green; indices rise amid positive global cues, RBI stance

Volumes on the NSE did not rise in proportion. Most of the sectoral indices were in the green.

adani stocks, adani shares, adani group, sensex, market, share market
Adani Total Gas hit a down limit of 5%. ACC and Ambuja Cements were down marginally.

The benchmark indices rose for the third consecutive session after the RBI delivered a smaller rate hike in line with market expectations. The investor sentiment was also lifted by largely positive global cues after remarks by Fed chair Jerome Powell on Tuesday. The Sensex rose 0.6% to close at 60,663 points while the Nifty settled at 17,871 points, higher by 0.8%.

“The RBI has taken a more optimistic view on domestic growth by increasing the GDP forecast while cautiously keeping CPI inflation at 5.3% for FY24. Meanwhile, global markets traded with hopes as investors digested Powell’s speech, which said disinflation had begun but pointed towards the possibility of further rate hikes in response to a stronger job market,” said Vinod Nair, head of research at Geojit Financial Services.

Volumes on the NSE did not rise in proportion. Most of the sectoral indices were in the green. The Bank Nifty witnessed a range bound trading session. The index faces stiff resistance at 42,000 where the highest open interest is built up on the call side, said analysts. The auto and realty indices gained marginally.

“Since there were no surprise in the RBI’s MPC meet and the 25-bps rate hike was in line with expectations, investors resorted to buying in IT, banking and other select frontliners. Also, strong US market cues in overnight trades boosted the market sentiment. However, intra-day volatility may continue due to uncertainty in global markets and worries that central banks in key economies may maintain hawkish stance going ahead, which could trigger strong bouts of sideways movement,” said Shrikant Chouhan, head of equity research (retail), Kotak Securities.

Seven out of 10 Adani group stocks ended in the positive, improving the sentiment, with flagship Adani Enterprises gaining 23% to close at Rs 2,220. The stock has rebounded more than 100% from a 52-week low hit on  February 3.

Adani Power (5%), Adani Wilmar (5%), Adani Transmission (5%), NDTV (5%), Adani Ports & SEZ (9%) were the other gainers. Adani Total Gas hit a down limit of 5%. ACC and Ambuja Cements were down marginally.  

FPIs net sold shares worth Rs 736 crore on Wednesday, while domestic institutional investors bought shares worth Rs 941 crore, provisional data on the BSE showed. In the year to date, FPIs have sold shares worth over $2 billion.

Most global markets were up on Wednesday after Powell struck a less hawkish tone than feared during a recent speech. European markets touched a nine-month high.

Technically, the Nifty has formed a bullish candle on daily charts which is broadly positive. However, 17,950 could be the next profit-booking zone for the bulls. “As long as the index is trading above 17,750, the uptrend wave will continue. Above the same, the market could move up to 18,150. On the flip side, below 17,750, the uptrend will be vulnerable,” said Chouhan.

Get live Share Market updates and latest India News and business news on Financial Express. Download Financial Express App for latest business news.

First published on: 09-02-2023 at 03:00 IST