Banks, Metals, Capital Goods lift Sensex 213 pts; Adani Group shares slip

CLOSING BELL ON AUGUST 23, 2023: The NSE Nifty 50 ended with a gain of 48 points; Shares related to Chandrayaan-3 mission were also in demand on Wednesday.

SI Reporter New Delhi

BSE

Stock Market Highlights: Frontline indices logged steady gains on Wednesday backed by renewed buying interest in banking stocks. Metals and Capital Goods stocks too climbed higher, while shares related to Chandrayaan-3 mission and defence also gained traction.

The S&P BSE Sensex rebounded from a low of 65,109, and rallied to a high of 65,505 – an intra-day gain of 396 points. The BSE benchmark eventually ended 213 points higher at 65,433.

The NSE Nifty 50 touched a high of 19,472, and settled with a gain of 48 points at 19,444.

SBI and ICICI Bank, up 1.5 per cent each, were the top gainers among the Sensex 30 shares. Tata Steel, Maruti, Kotak Bank, Bajaj Finance, Power Grid and Nestle also finished with smart gains.

Shares of aerospace companies, including L&T, MTAR Technologies, and Paras Defence, that have supplied components for Chandrayaan-3, were buzzing in trade on Wednesday as India prepared to land its spacecraft at moon's south pole. READ MORE

On the flip side, Jio Financial Services was locked at the 5 per cent lower circuit for the third straight trading session today. That apart, Sun Pharma, Bharti Airtel, Tata Motors, Tech Mahindra and ITC were the other prominent losers.

The broader indices once again outperformed the benchmark. The BSE MidCap index was up 0.4 per cent, and the SmallCap index added 0.6 per cent. The breadth too was fairly positive with nearly 2,100 shares advancing as against 1,530-odd declining stocks on the BSE.

Among sectoral indices, the BSE Bankex, Metal and Capital Goods closed with a gain of over 1 per cent each. On the flip side, the Power index was down 1 per cent.

Shares of Adani Group witnessed selling pressure on Wednesday. Adani Enterprises, Power and Adani Transmission shed around 6 – 8 per cent. Adani Ports, Adani Green, Ambuja Cement, NDTV and Adani Total Gas were down 2 – 4 per cent.

Primary Market Update

Aeroflex Industries IPO was subscribed 18.3 times as of 03:30 PM on Day 2 of the offer period. Retail portion was subscribed 15.8 times. QIBs 7.9 times and HNIs 38.3 times.

4:01 PM

Tech View :: 'Wednesday's rally in Nifty Bank to fizzle out'

Nifty50
On the daily charts, we can observe that the Nifty is trading exactly around the falling resistance trend line. Considering the number of touchpoints on this trend line increases the importance of this trend line, and should be closely watched out for. On the upside, there is multiple resistance in the form of the 20-day moving average (19,529) which shall restrict the up move. The daily momentum indicator has a negative crossover, and this rise could fizzle out. Overall, we shall continue to maintain our negative outlook on the index though a pullback is likely over the next few trading sessions. Crucial support is placed at 19,370 – 19,350 while Immediate hurdle is placed at 19,520 – 19,550.

Bank Nifty

Bank Nifty has witnessed a sharp pullback. On account of the rise, it is now very close to the 44,600 – 44,700 where resistance in the form of the 20 and 40-day moving averages are placed which are likely to restrict a further sharp up-move. Bank Nifty is in a pullback mode which is also supported by the positive crossover on the daily momentum indicator.

Views by: Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas

3:59 PM

COMMENT :: What all happened in the markets today?

Global markets have restrained from making significant moves as they await the outcome of the central bankers' gathering at Jackson Hole scheduled for Friday. With the earnings season nearing its end, the heightened possibility of another rate hike in the US, along with the resultant increase in bond yields, are expected to keep the global market’s volatility high. On the domestic front, sentiments remained positive, backed by strong demand in the banking sector, though IT and pharma limited the gains.

Views by: Vinod Nair, Head of Research at Geojit Financial Services

3:58 PM

Tech View :: 'A break above 19,500 will trigger rally in Nifty'

The Nifty continues to trade within the broader range of 19,300 and 19,500. On the daily timeframe, the headline Nifty index has been fluctuating between the boundaries set by the 21-day Exponential Moving Average (EMA) at 19,471 and the 50-day EMA at 19,281.

Looking ahead, the Nifty is likely to maintain this range bound movement as long as it remains within these established thresholds. A significant breakthrough above the 19,500-mark could potentially trigger a rally towards higher levels.

Views by: Rupak De, Senior Technical analyst at LKP Securities

3:55 PM

Currency check :: Rupee ends higher at 82.69/$ vs Tuesday's close of 82.94/$

3:53 PM

Broader market indices swim in sea of green; SmallCap index rise 0.6%

3:51 PM

Brightcom Group stays locked at 5% lower circuit despite issuing clarification to exchanges

>> Market regulator Securities and Exchange Board of India (Sebi) has discovered lapses in utilisation of proceeds raised from preferential issues.

>> Suren Kumar Reddy (CMD and promoter), and Chief Financial Officer Narayan Raju was restrained by Sebi from holding any directorial positions in the company until further notice.

>> Company says it is evaluating potential action courses to address this situation effectively, and is in consultation with legal experts