RIL, banks lift indices for 3rd day; Sensex gains 1,148 pts, ends above 51K

Stock market updates: Improved economic situation, stability in bond yields globally, and 'buy on dips' strategy worked in the favour of the bulls, pushing benchmark indices over 2 per cent higher on Wednesday.

Barring auto, all the key sectoral indices were trading between 1.5 per cent and 3.3 per cent higher on the National Stock Exchange (NSE) highlighting strength in the market. The Nifty PSU Bank and Metal indices gained over 3 per cent each on the NSE while the Nifty Bank, Financial Services, Private Bank, Realty, and IT indices were up between 1.8 per cent and 2.8 per cent. 

The frontline Nifty50 index made a dash for 15,300-mark in the intra-day trade, and hit a high of 15,273. The index cooled-off marginally and settled at 15,246  levels, up 326 points or 2.19 per cent. 

On the BSE, the S&P BSE Sensex touched a high of 51,540 during the day but retreated to end at 51,445 levels, up 1,148 points or 2.28 per cent.

Blue-chip stocks such as Reliance Industries, HDFC, Infosys, ICICI Bank, HDFC Bank, and Axis Bank gave the index 800-points lift today. These stocks advanced in the range of 3 per cent to 5 per cent. Additionally, Bajaj Finance, Bajaj Finserv, SBI, IndusInd Bank, and Dr Reddy's Labs, all up between 2 per cent and 5 per cent, were the other top gainers.

Auto stocks such as Bajaj Auto, Maruti Suzuki, and M&M declined up to 1.35 per cent on the back of profit-booking and were the only top drags on the Sensex. Hero MotoCorp, BPCL, and Titan, down 1.5 per cent, 0.5 per cent, and 0.05 per cent, were the additional losers on the Nifty index.

In the broader market, the S&P BSE MidCap and SmallCap indices closed 1.4 per cent and 1.2 per cent higher, respectively.

Global markets

Asian shares edged higher on Wednesday as investors shrugged off concerns that stocks may have rallied too far too fast in the past year. 

MSCI’s broadest index of Asia-Pacific shares outside Japan was up 1.12 per cent. Australian shares were up 0.82 per cent, while Japan’s Nikkei stock index rose 0.45 per cent. Shares in China gained 1.27 per cent. E-mini S&P futures were up 0.36 per cent.

The pan-European STOXX 600 index rose 0.7 per cent, while the German DAX gained 0.9 per cent, France’s CAC 40 was up 0.8 per cent and UK’s FTSE 100 added 1 per cent.

(With inputs from Reuters)

4:39 PM

MARKET OUTLOOK :: Indices are recovering from a corrective pattern, stay cautious, says Shrikant Chouhan

It was the busiest day for the market. The broad support of all sectors in the market clearly shows that it will not be difficult for the Nifty / Sensex to cross the previous high of 15432/52517. All other indices except Nifty Auto closed in positive territory. Today, the market has taken a strong lead and closed at the highest point of the day, with support for Tuesday’s continuity formation.

Technically, the Nifty / Sensex is recovering from a corrective pattern and traders need to be cautious, until the Nifty 50 index comfortably cross 15435. The Nifty / Sensex may remain range-bound between the levels of 15370/51800 to 15100/51000 on the closing day of the weekly period of options contracts. The Nifty / Sensex may move to the level of 16000/54200 in the next few days or weeks on the decisive dismissal of the level of 15435/52520.

Alert: Shrikant Chauhan is  Executive VP, Equity Technical Research at Kotak Securities

4:34 PM

MARKET CLOSING COMMENT :: Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities

Nifty continues to remains in a medium term uptrend. We believe any meaningful correction is an opportunity to buy for 16000 and higher. Immediate range is seen at 15000-15500. Auto and Banking stocks look attractive at current levels; IT stocks also expected to trade with positive bias.

4:25 PM

MARKET CLOSING COMMENT :: Ajit Mishra, VP - Research, Religare Broking

Markets extended surge for the third consecutive session and gained over 2%. The benchmark started the day on a positive note despite mixed global cues and gradually inched higher as the day progressed. Consequently, the Nifty ended with healthy gains of 2.2% near day’s high at 15,246 levels. The broader markets too ended in positive in the range of 1.3-1.5%.
 

Participants are taking comfort from the domestic factors such as decent macro data, earnings upgrades and steady progress of vaccine drive. Importantly, Nifty has reversed the last week’s decline and indications are pointing towards a further surge ahead. We remain cautiously optimistic on the markets and suggest focusing more on the selection of trades.

4:20 PM

TECH VIEW :: Ashis Biswas, Head of Technical Research, CapitalVia Global Research

The market witnessed to extend the gain further after the decisive breakout of Nifty 50 Index level of 14850. the market is likely to hold the momentum and reach the level of 15280-15300.14970-15000 level is expected to act as a support zone from the short-term perspective. the momentum is observed indicators like RSI, MACD to stay positive and the upside movement is likely to continue

4:15 PM

NIFTY OUTLOOK :: Nifty may hit 15,400 levels soon, says Rohit Singre, Senior Technical Analyst at LKP Sec

One more positive session and index closed a day with supreme gains of more than two per cent at 15240 zone and formed a bullish candle for the third consecutive day. Bullish harami candle pattern showed a fantastic impact so far, going forward 15150 will act as strong support followed by 15100 zone if managed to hold above-said levels we may see current move to extend further towards 15300-15400 zone in near term

4:10 PM

MARKET CLOSING COMMENT :: Vinod Nair, Head of Research at Geojit Financial Services

Markets across the globe were filled with optimism as the focus shifted from concerns over high valuation to a stronger economic recovery and earnings growth. The Indian market was on a rising streak echoing the global sentiment. The nifty bank which had a rough week so far took a breather and led the rally while consolidation was seen on auto stocks.

 

4:06 PM

MARKET RECAP :: S Ranganathan, Head of Research at LKP Securities

A stellar rally across BFSI & Metals powered Indices higher today by 2.3% with the market breadth improving dramatically in afternoon Ttade. Investors cherry-picked into AMC's, HFC's and the day also witnessed keen interest in Sugar stocks which recorded handsome gains

4:03 PM

Market stats :: BSE m-cap tops Rs 210-trillion mark

4:00 PM

SECTOR OF THE DAY :: Sugar stocks sweeten the mood on D Street

3:59 PM

SECTOR OF THE DAY :: Chemical stocks jump amid fresh breakouts

3:56 PM

STOCK OF THE DAY :: Ircon International ends 7% down

>> Shares of IRCON International Ltd, on Wednesday, fell 7.4 per cent to Rs 90.55 on the BSE after the company announced offer for sale (OFS) for up to 16 per cent government stake at a floor price of Rs 88 per share, which opened today for non-retail investors and will open for retail investors tomorrow. The floor price of Rs 88 is at a 10 per cent discount over IRCON's closing price of Rs 97.85 on Tuesday.

3:53 PM

STOCK OF THE DAY :: Adani Enterprises enters the Rs 1-trillion m-cap club

>> Adani Enterprises joined the elite club of companies with Rs 1-trillion market capitalization (market-cap) on the BSE, after its share price hit a new high of Rs 945, rallying 5 per cent in intra-day trade on Wednesday. With the market-cap of Rs 1.01 trillion, at 3:30 PM, Adani Enterprises stood at number 39th position in the overall market-cap ranking, the BSE data shows.

3:49 PM

STOCK OF THE DAY :: Bajaj Finserv ends as the top gainer on the Sensex

3:47 PM

STOCK OF THE DAY :: RIL ends above Rs 2,200-mark

>> Reliance Jio has emerged the highest bidder in the 4G telecom spectrum auction, which concluded on Tuesday in just six rounds, beating incumbents Bharti Airtel and Vodafone Idea by a wide margin.

3:45 PM

Index contributors :: RIL, banks, Infosys give Sensex nearly 800-pts lift