Market Trades On Selective Buying; Nifty, Sensex In Green
In the Nifty 50 index, merely 25 stocks advance in the positive territory and 24 stocks end in the red territory, while Wipro ends flat
The Indian stock market displayed a range-bound trade in the Tuesday trading session. The upcoming US Fed policy is scheduled to determine market mood. However, due to selective buying benchmark indices closed to all-time highs.
The National Stock Exchange (NSE) Nifty 50 index was 0.14 per cent higher at 25,418, while the S&P Bombay Stock Exchange (BSE) Sensex also settled 90 points or 0.11 per cent higher at 83,079 levels on the closing bell.
Nifty Moves
In the Nifty 50 index, merely 25 stocks advanced in the positive territory and 24 stocks ended in the red territory, while Wipro ended flat. Among the winners, Hero Motocorp topped the index with a more than 3 per cent gain followed by a 2.24 per cent gain in Bajaj Auto. Bharti Airtel, NTPC and Mahindra & Mahindra ended more than 1 per cent higher. Among the laggards, Tata Motors plummeted 1.36 per cent, while Eicher Motors lost 1 per cent. Adani Ports, Coal India and Tata Steel also lost nearly 1 per cent.
Analyst Note
“Range-bound session continued for a second straight session ahead of key US Fed policy meeting decision on Wednesday. Also, investor participation was thin on account of Ananta Chaturdashi, and hence buying was seen in select frontline stocks. Besides rate cut hopes, the Fed chief's comment on the US economy and inflation will be key things to look for as it will give some indication of the future rate cut prospects,” said Prashanth Tapse, Senior VP (Research), Mehta Equities.
“The Indian market exhibited a subtle positive momentum, driven by the anticipation of a rate cut cycle by the US Fed. Although a 25 basis points cut is largely factored in, the market remains attuned to the Fed’s comments on the health of the economy and the future trajectory of rate cuts. Further, robust institutional flows continued to bolster the domestic market,” said Vinod Nair, Head of Research, Geojit Financial Services.
Sectoral Movement
In terms of sectoral performance, Nifty Bank and Financial Services ended with negligible gain, while PSU Banks also lost half a per cent. Metal and Pharma lost 0.42 per cent and 0.28 per cent respectively. Whereas there were buying in Auto, Realty, IT and FMCG.
The more domestically focussed indices, Mid-cap shredded 0.13 per cent, whereas Small-cap dipped 0.37 per cent higher.
