In spite of a firm and positive opening, the market failed to consolidate on the early gains and ended almost flat. The benchmark indices remained stuck in a narrow trading zone throughout the day as market participants preferred to stay on the sidelines ahead of the RBI fourth-quarter monetary policy review tomorrow and Futures & Options expiry later this week. Even positive cues from Asian and European markets failed to lift the Indian stock market.
The benchmark BSE Sensex ended only marginally lower by 0.18 points to end the day’s trading at 20,103.35 points. It opened at 20129. It had earlier touched a day's high of 20172.45 and a day's low of 20062.79. The broader NSE Nifty also closed marginally lower by 1.20 points to close at 6,073.45. It opened at 6082. The Nifty touched a day’s high of 6088.40 and a low of 6061.40.
Of the 30-BSE index components, 15 stocks closed with gains while 15 ended with losses. Shares of Wipro, TCS, ICICI Bank, Hero MotoCorp, Coal India, Dr Reddys Lab, HDFC, Bajaj Auto, Tata Motors, Hindalco, ITC, Mahindra & Mahindra were among gainers in Sensex and Nifty. While RIL, Infosys, NTPC, ONGC, L&T, Sun Pharma, Bharti Airtel, BHEL, Jindal Steel, SBI were among losers in Sensex and Nifty.
The BSE Mid Cap index closed flat, while the BSE Small Cap index closed marginally higher. Among the 13 sectoral indices, six sectors closed with loss while remaining seven sectors closed with gains. Top gainers were, BSE Realty up by 1.84%, BSE Auto up by 1.03%, BSE Bankex up by 0.68%. Top losers were, BSE Oil&Gas down by 1.14%, BSE CD down by 0.91% and BSE CG down by 0.65%.
The market breadth stood in favor of advances. Of the 2972 stocks traded on the BSE, 1213 (40.81%) rose, 992 (33.38%) fell and 767 (25.81%) stocks remained unchanged.
Private sector banks were in the limelight today. ICICI Bank led the gains, ending 1.5 % higher, gaining 4.6 percent in 2013. Shares in Axis Bank Ltd gained 1.9 % on expectations that its up to $1 billion share sale. Yes Bank Ltd shares rose 3.8 percent after Nomura upgraded the stock to "buy" from "neutral", saying the 146 new branch licenses it was granted by the RBI should help improve returns on assets. Real estate developer DLF rose 2.7 percent while Unitech Ltd also ended 2.3 percent higher on hopes a potential rate cut would help sales in the sector. Among other gainers, Maruti Suzuki India gained 0.5 percent after UBS upgraded its ratings to "buy" from "neutral." Oil and gas stocks declined on profit-taking, with ONGC falling 1.8 percent, having gained 27.3 percent in January. Reliance Industries fell 1.6 percent after gaining 8.65 percent in January.
The market is in line with a 25 basis point rate cut by the RBI tomorrow. Anything better than this will certainly see the market scaling new heights. However, if RBI continues to disappoint market by keeping the rates untouched, then the market will definitely go on a tail-spin. But most analysts believe that the RBI will announce a 25 basis point rate cut.
Most Asian markets ended with gains on Monday. However, the Nikkei index in Japan ended with losses from near 3 year highs on account of profit booking. The index declined by 0.94%. Among the top gainers were, the Shanghai Composite index in China rose by 2.41%, the Taiwan index rose by 0.55%, the Hang Seng index in Hong Kong gained by 0.4% and the Straits Times added 0.2%. Markets in the Europe were mixed. The FTSE index in UK was up by 0.29%, the CAC index in France was marginally up by 0.06% and the DAX index in Germany were trading marginally lower by 0.26%. Markets in the U.S are trading marginally lower at present.
Meanwhile reports from Goldman Sachs on Monday points to continued buying spree among foreign institutional investors (FII) in Indian shares. The report says that FII’s have bought $3 billion in the first 23 days of the month, marking a record high for that time period. Also reports of up gradation of various Indian companies in the rating by foreign funds points to the strong positive under current in the market.
Thus Indian stock market is all set to open on a anxious note tomorrow and unless the RBI disappoints, market is set to move up.
The benchmark BSE Sensex ended only marginally lower by 0.18 points to end the day’s trading at 20,103.35 points. It opened at 20129. It had earlier touched a day's high of 20172.45 and a day's low of 20062.79. The broader NSE Nifty also closed marginally lower by 1.20 points to close at 6,073.45. It opened at 6082. The Nifty touched a day’s high of 6088.40 and a low of 6061.40.
Of the 30-BSE index components, 15 stocks closed with gains while 15 ended with losses. Shares of Wipro, TCS, ICICI Bank, Hero MotoCorp, Coal India, Dr Reddys Lab, HDFC, Bajaj Auto, Tata Motors, Hindalco, ITC, Mahindra & Mahindra were among gainers in Sensex and Nifty. While RIL, Infosys, NTPC, ONGC, L&T, Sun Pharma, Bharti Airtel, BHEL, Jindal Steel, SBI were among losers in Sensex and Nifty.
The BSE Mid Cap index closed flat, while the BSE Small Cap index closed marginally higher. Among the 13 sectoral indices, six sectors closed with loss while remaining seven sectors closed with gains. Top gainers were, BSE Realty up by 1.84%, BSE Auto up by 1.03%, BSE Bankex up by 0.68%. Top losers were, BSE Oil&Gas down by 1.14%, BSE CD down by 0.91% and BSE CG down by 0.65%.
The market breadth stood in favor of advances. Of the 2972 stocks traded on the BSE, 1213 (40.81%) rose, 992 (33.38%) fell and 767 (25.81%) stocks remained unchanged.
Private sector banks were in the limelight today. ICICI Bank led the gains, ending 1.5 % higher, gaining 4.6 percent in 2013. Shares in Axis Bank Ltd gained 1.9 % on expectations that its up to $1 billion share sale. Yes Bank Ltd shares rose 3.8 percent after Nomura upgraded the stock to "buy" from "neutral", saying the 146 new branch licenses it was granted by the RBI should help improve returns on assets. Real estate developer DLF rose 2.7 percent while Unitech Ltd also ended 2.3 percent higher on hopes a potential rate cut would help sales in the sector. Among other gainers, Maruti Suzuki India gained 0.5 percent after UBS upgraded its ratings to "buy" from "neutral." Oil and gas stocks declined on profit-taking, with ONGC falling 1.8 percent, having gained 27.3 percent in January. Reliance Industries fell 1.6 percent after gaining 8.65 percent in January.
Outlook for tomorrow’s market
The market is in line with a 25 basis point rate cut by the RBI tomorrow. Anything better than this will certainly see the market scaling new heights. However, if RBI continues to disappoint market by keeping the rates untouched, then the market will definitely go on a tail-spin. But most analysts believe that the RBI will announce a 25 basis point rate cut.
Most Asian markets ended with gains on Monday. However, the Nikkei index in Japan ended with losses from near 3 year highs on account of profit booking. The index declined by 0.94%. Among the top gainers were, the Shanghai Composite index in China rose by 2.41%, the Taiwan index rose by 0.55%, the Hang Seng index in Hong Kong gained by 0.4% and the Straits Times added 0.2%. Markets in the Europe were mixed. The FTSE index in UK was up by 0.29%, the CAC index in France was marginally up by 0.06% and the DAX index in Germany were trading marginally lower by 0.26%. Markets in the U.S are trading marginally lower at present.
Meanwhile reports from Goldman Sachs on Monday points to continued buying spree among foreign institutional investors (FII) in Indian shares. The report says that FII’s have bought $3 billion in the first 23 days of the month, marking a record high for that time period. Also reports of up gradation of various Indian companies in the rating by foreign funds points to the strong positive under current in the market.
Thus Indian stock market is all set to open on a anxious note tomorrow and unless the RBI disappoints, market is set to move up.
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