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After registering losses for three consecutive days, benchmark indices ended firm, amid firm global cues, after weak US economic data fuelled expectations that the US Fed will further delay interest rate hike The rally in local equities was led by rate sensitive shares.
The 30-share Sensex ended up 230 points at 27,010 and the 50-share Nifty settled 71 points higher at 8,179.
The broader markets ended in sync with their larger counterparts with BSE Midcap and Smallcap indices up between 0.4%-0.8% The market breadth is positive with 1,534 advances and 1,191 declines
On the currency front, the Indian rupee has appreciated 28 paise to Rs 64.75 against the American currency.
MARKET OUTLOOK
According to Mudit Goyal, Technical Analyst, SMC Global Securities, “Nifty has witnessed a decent upside from yearly low and surpassed 8200 in single upswing. From past few sessions, nifty is continued to face hurdle around 8200 levels, which is the 61.8% Fibonacci retracement level of biggest downswing of 2015, from 8620 to 7540 levels.”
He further said, “Apart from this, 100EMA and 200EMA also lies around 8200 levels, which is also acting as a resistance zone. Now days, It is consolidating in the range of 8080-8220 levels with positive bias. Therefore, any breakout of same can stretch rally upto 8380-8400 levels in near term.”
GLOBAL MARKETS
World stocks are on an ascent as the Fed rate hike prospects in the near future seems to be fading since the US retail sales data was weak.
After snapping two day losses, Asian markets finished higher on Thursday. Japan’s Nikkei ended with 1.1% gains while Hang Seng and Shanghai Composite ended over 2%.
The trend was maintained by the European markets as well. The major European equities opened higher and are trading between 1-1.5% gains thus ducking a three day trend.
SECTORS & STOCKS
Out of 12 sectors, 11 finished in the positive zone BSE Auto index led the rally as it finished 2.3% up. BSE IT index was the sole loser with 0.1% losses.
Tata Motors finished as the highest gainer with 8% gains after the company-owned Jaguar Land Rover (JLR) sold 47,634 units globally in September, up 3% compared to the same month last year.
Metal stocks ended on a positive note post surge in global commodity prices. Tata Steel, Coal India, JSWSteel, NMDC all gained between 1-3%. However, Hindalco finished 1% lower.
Lupin gained nearly 2% after it signed a marketing agreement with drug maker Boehringer Ingelheim to sell the latter's anti-diabetes drug linaglipitin under its own brand name.
M&M ended with 1% losses after surging higher in morning trades. The auto major is planning to launch five more vehicles in the automotive segment in the current financial year, as it expects industry sales to pick up during October-December, a top company official said on Wednesday.
TCS ended with 0.5% losses post its September quarter results. TCS is in talks with nine of the 11 payments bank licence holders to offer operational solutions, according to a highly placed source at the company.
Hindustan Unilever extended its losses as it finished 1% lower. The FMCG major said price cuts for key products including soaps and detergents dragged down its profit in the second quarter, missing market estimates despite improved sales. However, its peer ITC was up 1.6%.
Consumer durables rallied on the back of festival season. Bajaj Electronics, Titan, Rajesh Exports, PC Jewellers all ended up between 1-2.6%
Among other notable shares, shares of Adani Enterprises surged over 14%. Adani Power was up 4.8%
The Australian government on Thursday gave its environmental clearance to the Adani Group's embattled Carmichael coal mine.
Australia's environment minister Greg Hunt was reported as saying that he has cleared the project based on "additional information provided by Adani and environmental groups".
