Nifty ends at new closing peak of 15,690, Sensex at 52,232; Titan soars 7%

Titan clocked a massive rally of 7 per cent to end the day as top gainer, followed by ONGC, Kotak Bank, Bajaj Finance, Axis Bank, HDFC Bank, and L&T

MARKET LIVE: Sensex jumps 350 points, Nifty tops 15,650; VIX cools off 10%

Stock market updates: Benchmark indices exhibited a healthy trading session on Thursday as firm global cues, a consistent fall in daily Covid-19 cases, and a stronger rupee kept market mood upbeat. The benchmark S&P BSE Sensex stayed within a band of 331 points while the Nifty see-sawed between 15,705 and 15,611 levels.

The gains came even as activity in India's dominant services industry contracted in May for the first time in eight months. The Nikkei/IHS Markit Services PMI fell to a nine-month low of 46.4 in May from 54.0 in April, sliding below the 50-level that separates growth from contraction, for the first time in eight months. READ MORE

The BSE barometer settled at a fresh closing peak of 52,232 levels, up 383 points or 0.74 per cent with the index breadth firmly tilting towards gainers. Only 9 of the 30 constituents ended the day in the red including IndusInd Bank, Bajaj Auto, M&M, Dr Reddy's Labs, and HCL Tech.

On the upside, Titan clocked a massive rally of 7 per cent to end the day as top gainer, followed by ONGC, Kotak Bank, Bajaj Finance, Axis Bank, HDFC Bank, and L&T.

On the NSE, the 50-share index added 114 points, or 0.73 per cent, to settle the day near record peak levels of 15,705 at 15,690.

Investors pulled out funds from the Pharma stocks as the index ended as the sole loser in a firm market, down 0.26 per cent. On the upside, the Nifty Realty index jumped 4 per cent, where Oberoi Realty, Phoenix and Prestige Estates surged between 6 per cent and 10 per cent on the BSE while Indiabulls Real Estate, Sunteck Realty, Sobha, DLF and Godrej Properties gained in the range of 2 per cent to 5 per cent.

The broader markets, meanwhile, outperformed the headline indices and hit new record highs for second consecutive day. The BSE MidCap and SmallCap indices ended 1 per cent higher each after hitting a record peak of 22,395 and 24,138 levels, respectively.

Global cues

Asian shares were a touch below a recent three-month top on Thursday with China a tad weaker as investors weighed inflation concerns ahead of key US economic data while oil prices rose to near one and a half year highs.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent, Japan's Nikkei added 0.4 per cent, and Australian shares climbed to all-time highs.

In Europe, shares were mildly lower as US stock futures indicated a flat-to-negative start on Wall Street later today. The pan-European STOXX 600 index was down 0.2 per cent, and the UK's FTSE 100 eased 0.7 per cent.

(With inputs from Reuters)

5:53 PM

MARKET CLOSING COMMENT :: Deepak Jasani, Head of Retail Research at HDFC Securities

Nifty once again closed at a fresh record high on June 03 after opening with a gap-up. Sectoral rotation is back in focus. On Friday, week end considerations could result in some profit taking at these or higher levels. Outcome of RBI’s credit policy meet can impact Banking and other sectors though expectations are subdued therefrom. Advance decline ratio continues to be very positive. 15771-15598 could be the band for the Nifty in the near term.

5:43 PM

TECH VIEW :: Nagaraj Shetti, Technical Research Analyst at HDFC Securities

The short term trend of Nifty continues to be positive and one may expect further upside in the coming session. Though, Nifty placed at all time highs, there is no indication of any reversal pattern unfolding at the swing highs. The next upside levels to be watched around 15800-15900 levels in the next few sessions. Immediate support is placed at 15575.

5:33 PM

MARKET STRATEGY :: Here're the stocks that need to be tracked on Friday

While the Nifty is moving towards 16,000, it has set a new record closing high. Today, Titan, ONGC and L&T helped bring the Nifty to end at higher levels. The Nifty has once again formed a bullish continuation today. Tomorrow is credit policy and the outcome of the RBI announcement could dictate the trend. For the Nifty, 15550/15600 are the support levels, however, the resistance is close to 15750/15800. The 15770/15780 levels could be a big hurdle. Investors shouldn't act aggressively in a rising market, and hence should buy on dips or stay stock specific. The focus should be on FMCG and Auto stocks

Views by: Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities

5:20 PM

TECH VIEW :: Nifty may reach 15,800 if it holds 15,600

The index witnessed one more positive breakout as it managed to close the day on fresh highs of 15,690. Now, as the Nifty index has shifted its support to 15,650-15,600 zone, sustainence of the said levels may result in a rally towards 15,800. One can also use every dip as a buying opportunity around said levels. On the immediate basis, 15,450 will be trend changing level as any onbreak below this level may see aggressive profit booking in index

Views by: Rohit Singre, Senior Technical Analyst at LKP Securities

5:01 PM

TRADING STRATEGY AMID SOARING MARKETS

The kind of price action we have been witnessing since few days, the commentary would sound a bit repetitive because there is nothing different to talk about. As we have been mentioning, every 100 points upside level should be treated as immediate resistance and now this level comes at 15800. On the flipside, 15600 would be seen as intraday support and any sustainable move below this point would trigger some mild corrective move towards 15525 – 15450. Only a handful of index heavyweights are giving some notable moves, otherwise the real action still continues in the broader end of the spectrum. Stock from the cash segment are literally roaring and hence it’s advisable to stick to this approach.

We reiterate, when market moves in such typical manner, it’s better not to get complacent and one should take one step at a time. Also, it would be a prudent strategy to avoid aggressive leveraged bets (especially overnight) because any in between hiccup may spoil your short term trading journey

Views by: Sameet Chavan, Chief Analyst-Technical and Derivatives at Angel Broking

4:43 PM

MARKET OUTLOOK :: Indices may remain volatile amid RBI policy outcome, trade cautiously on Thursday

Markets resumed the uptrend after the minor pause and gained over half a percent, tracking firm global cues. The benchmark opened the gap up and traded range bound thereafter however movement on the stock-specific front kept the participants busy. Amongst the sectors, all the indices ended in green wherein Consumer Durables, Realty and Capital Goods were the top gainers. The broader markets continued its outperformance and ended higher by a percent each. On the benchmark front, Nifty finally settled at 15,690 levels; up by 0.7%.

All eyes would be RBI monetary policy tomorrow i.e. June 4 wherein the majority expect status quo on key rates. However, their commentary on growth and inflation would be closely watched by the participants. We may see volatile swings during the day so traders should plan their trades accordingly.

Views by: Ajit Mishra, VP - Research, Religare Broking

4:29 PM

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

Domestic markets witnessed a range bound rally with strong buying interest seen in realty and consumer durables with small and mid cap stocks outperforming. The global market was cautious with the US and European markets trading in red ahead of the release of key economic US data. In the wake of increasing inflationary pressure, the domestic market is awaiting tomorrow’s RBI MPC announcement which is expected to maintain its accommodative stance

4:14 PM

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

Markets remained firmly in the grip of Bulls ahead of the RBI Policy and amid expectations of vaccinations being ramped up anf capex programs likely improving credit growth. Even as the Street is expecting the RBI to continue with its accommodative stance while keeping a watchful eye on Inflation led by rising commodity prices, we saw heightened activity in big names involved in building Infrastructure and in select high quality Midcaps

3:59 PM