Sensex sheds 505 pts from summit, ends 165 pts up; PSU banks crack; IT gain

CLOSING BELL ON JULY 13, 2023: The NSE Nifty50 hit a new high of 19,567, before finishing with a modest gain of 29 points on Thursday. Broader indices ended in red.

Stock Market Highlights: The markets witnessed hectic trading activity on Thursday, with the key benchmark indices scaling record peaks led by strong gains in IT shares post TCS Q1 results. Positive global cues following dip in US retail inflation also aided the sentiment.

The key benchmark indices, however, pared gains towards the end of trading session owing to heavy selling pressure in banking stocks, mainly PSU Banks. Auto and power shares also weakened in trade.

The S&P BSE Sensex hit a new summit at 66,064, thereafter the index pared gains and dropped to a low of 65,452. The Sensex finally ended 165 points higher at 65,559.

The NSE Nifty50 scaled a record high at 19,567, but eventually signed-off the day with a modest gain of 29 points at 19,414.

The broader indices finished in the negative zone. The BSE MidCap and SmallCap indices were down over 0.5 per cent each.

Sectorally, the Nifty PSU Bank index cracked 2.5 per cent. The Media index shed 1.9 per cent, and the Oil & Gas dropped over a per cent. The IT index, however, was up 1.8 per cent.

4:17 PM

COMMENT:: Market rally led by IT shares; inflation remains a concern

"Today's domestic rally was supported by the contra bet buying of the IT stocks which was supported by stable margins, new generation business opportunities and increase in pricing power due to moderation in USD, as latest US inflation is fast approaching the Fed’s target levels. The broad market was trading positively at the all-time high level in anticipation of buoyant Q1 results and low volatility (VIX). However, a mixed start to bank earnings, coupled with ongoing concerns about domestic inflation, attracted bearish sentiment towards the latter half."

- Vinod Nair, Head of Research at Geojit Financial Services

4:16 PM

VIEW:: Nifty likely to remain sideways

"The Nifty reached a new record high of 19,567 but couldn't hold on due to selling pressure, resulting in a significant decline by the end of the day. It exhibited high volatility throughout. The daily Relative Strength Index (RSI) indicated a bearish crossover. Currently, the trend appears to be sideways in the short term. Support is expected at 19,300, while resistance is seen at 19,600."

- Rupak De, Senior Technical Analyst at LKP Securities

4:15 PM

VIEW:: Bank Nifty needs to surpass 45,000 for fresh bullish trend

"The bears continue to dominate the market, as the index was unable to surpass the level of 45,000. This indicates a bearish sentiment in the index. On the other hand, the bulls managed to hold the support level of 44,700, which suggests some buying interest at that level. However, a break below this support level may open the gates for further downside towards 44,500-44,000, which coincides with the 20-day moving average (20DMA). For the index to turn bullish, it needs to surpass the level of 45,000 on a closing basis. This would indicate a potential shift in the market sentiment towards more bullishness."

- Kunal Shah, Senior Technical Analyst at LKP Securities

4:13 PM

Q1 results impact: TCS gains 2.5%; Brokerages remain optimistic

TCS's management maintained that near term demand challenges remain and refrained from giving recovery timelines, implying a slow and gradual recovery ahead. READ MORE

4:12 PM

Anand Rathi Wealth surges 8%, hits record high on healthy Q1 performance

The management said the strong performance was fueled by the robust growth in AUM, which witnessed a 32 per cent YoY increase, reaching to Rs 43,413 crore. READ MORE

4:09 PM

Stock of this civil construction company has zoomed nearly 200% in 3 months

Shares of Patel Engineering hit the 5 per cent upper circuit for the third straight day on Thursday, and now trade at the highest level since November 2018. READ MORE

4:07 PM

Higher inflation, oil price to keep RBI on hold; cap market gains: Analysts

Signs of inflation cooling off in the US, however, is likely to provide some cushion as the expectations of a change in stance by the US Fed as regards interest rates is likely to aid sentiment. READ MORE