Stock Market Highlights 24 Aug 2022: Indices extend gain, end higher amid volatility, Nifty ends above 17,600 - How it happened!
Stock Market Highlights 24th August 2022: In another volatile session, the market ended with marginal gains amid weak global cues on Wednesday.
(By Ravi kant Kumar)
Stock Market Highlights 24th August 2022: In another volatile session, the market ended with marginal gains amid weak global cues on Wednesday. The benchmarks juggled between gains and losses before closing the day with a gain of 0.9-0.15%.
The broader Nifty 50 closed near 17,600, while the Sensex ended above 59,000 as 30-share index saw a jump of more than 50 points. The broader Nifty50 gained 27.45 (0.16%) to end at 17,604.95 and the Sensex closed at 59,085.43, with a gain of 54.13 points (0.09%).
Reacting to today's closing, Gaurav Ratnaparkhi, Head of Technical Research, Sharekhan by BNP Paribas, said after the first leg of the decline from 18000, the Nifty had taken support near the 20 DMA on August 23. Thereon the index is attempting a minor degree bounce, he said.
"The price action in the last couple of sessions shows an overlapping structure. Also, the index has now reached near the junction of the 40 hour exponential moving average & the hourly upper Bollinger Band. This setup suggests that the next leg down is around the corner. On the downside, 17350-17300 will be the initial target area, below which 17000 will be the overall short term target. On the other hand, 17650-17700 is the key barrier that is expected to keep the bounce in check," he added.
Meanwhile, small cap and mid cap stocks saw buying interest in the broader market as Nifty Midcap and smallcap indices ended higher by approximately 0.6% and 0.8% respectively.
On the sectoral front, Banking, Realty and Media indices were the top gainers, while IT and Pharma were top laggards.
Apollo Hospitals, IndusInd Bank and NTPC were the top gainers on the benchmarks while Tata Steel, BPCL, TCS and Titan dragged the market the most.
"Bulls and bears continued to battle it out in the domestic market as weak global cues persisted, keeping the market under pressure. The US economy contracted amid muted demand conditions with the service sector witnessing a sharp decline. Markets in Europe experienced a protracted sell-off as a result of investor's concern over the oil crisis and the uncertain growth outlook," said Vinod Nair, Head of Research at Geojit Financial Services, on today's session.
Latest Updates
Ambuj Cement share price jumps around 7%, hits 52-week high
Shares of cement and cement products maker Ambuj Cement rose more almost seven per cent in BSE intraday trade on Monday. Ambuj Cement share price traded at new 52-week high of Rs 555.75 per share.
Bank Nifty an outperformer
"The Bank Nifty index was the clear outperformer in today's trading session and has surpassed the immediate hurdle of 39,000. The index remains in a buy-on-dip mode with immediate support at the 38,500 level where a strong base has been formed. The next hurdle on the upside is placed at 39,200 and once taken out will see further short covering towards the 40,000 level on the upside." Kunal Shah, Senior Technical Analyst at LKP SecuritiesNifty Outlook
"The index remained choppy during the day as the Nifty moved within bands of 17500 and 17600. The daily RSI is in bearish crossover. However, it has sustained above the important near term moving average during the day. The trend for the short term looks sideward. On the higher end, resistance is visible at 17700; whereas on the lower end, support is visible at 17500/17400."- Rupak De, Senior Technical Analyst at LKP Securities
Crude: What triggered spike in price
WTI Crude oil (October) CMP $94.8
Crude oil October futures breached $95 to trade at two weeks high during European morning hours. The prices rose 3.4% on Tuesday amid warning from OPEC oil minister to act to balance the market. Supply issue surfaced from Kazakhstan due to damaged moorings, which could possibly disrupt supplies for a month. API forecast a larger draw of 5.6 million barrels of US commercial reserves which has also been pushing prices higher today. SPR reserves in US looms lowest since 1985 and the distillates stocks are now 23% below the 5year average for this time of year. Macro-economic factors indicate slowdown in crude oil demand from three of the major consuming zones of China, US and Eurozone amid contraction in manufacturing and industrial activities. The composite PMI in Eurozone have slide to 26 months low. As for the day we see crude oil prices continue to carry the bullish momentum and larger drop in EIA weekly inventories will push prices to test the resistance of $98 while support remain around $90.-
Mohammed Imran, Research Analyst at Sharekhan by BNP Paribas
Rupee outlook: INR likely to trade negative on risk aversion in global markets
USDINR (CMP Rs 79.78 spot): Indian rupee appreciated by 0.11% today on weak US Dollar and FII inflows. However, surge in crude oil prices and mixed to negative domestic equity markets capped sharp gains. US Dollar declined on disappointing economic data from US. Services PMI declined unexpectedly to 44.1 in August from 47.3 in July while manufacturing PMI declined to 51.3 from 52.2. New home sales declined by 12.6% to 511,000 in July from 585,000 in June.
We expect the Rupee to trade on a negative note on risk aversion in global markets and expectations of recovery in US Dollar. Safe haven appeal on weak global markets and surge in US Treasury yields supported Dollar. However, FII inflows may support the Rupee at lower levels. Market participants may also remain cautious ahead of Fed Chair Jerome Powell’s speech at the Jackson Hole Symposium later this week. Markets may also take cues from durable goods orders and pending home sales data which is expected to be weaker than the previous reading. USDINR spot price is expected to trade in a range of Rs 79.20 to Rs 80.50 in the next couple of sessions.
Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas
The markets with trading flat with marginal cuts. Nifty at 17,570 and Sensex above 59000. Tata Steel top loser on Sensex, Divi's Lab on Nifty50
BSE volume toppers
Bharti Airtel was the leading volume topper with total traded quantity of 9,84,333 shares worth Rs 72.32 crore. Axis Bank (5,84,778 shares) and ICICI Bank (4,27,231) shares were next in line.
Dreamfolks Services IPO Fully subscribed!
The initial public offering of Dreamfolks services IPO was fully subscribed within hours of opening of issue on Day 1. The subscription was led by retail investors, who subscribed the issue over five times against their allotted quota. Full Report
SBI, BPCL, Bharti Airtel drag market
Dancing between gains and losses, the Nifty50 slipped below 17,600 to 17,554.80. Benchmark Sensex too fell by more than 100 points to 58,921. State Bank of India, BPCL, Bharti Airtel and Divi's laboratories were top four drags on the benchmarks
Escalation of geopolitical tensions biggest risk to India's growth outlook: RBI MPC member Jayanth Varma
The biggest risk to India's growth outlook is an escalation of geopolitical tensions, especially if these tensions spread to the Asian region, RBI Monetary Policy Committee (MPC) member Jayanth R Varma said on Wednesday. Varma, in an interview to PTI, said that inflation and inflationary expectations appear to be moderating and high inflation will certainly not become the 'norm' in the country. Full Report
IRCTC data monetisation: Parliamentary panel summons company officials over passengers' data concerns
The Parliamentary Committee on Information Technology has summoned the Indian Railway Catering and Tourism Corporation (IRCTC). The panel has asked the company officials to brief it about the data monetisation plan. The briefing will take place on Friday, August 26, at 5:15 pm. The development comes amidst concerns over the security and privacy of passengers' data as the company plans to raise additional revenue of Rs 1000 crore from the monetisation of data assets. Full Report
Indian EV market to hit annual sales of 17 million units by 2030: Report
India's electric vehicle market is expected to expand at a compounded annual growth rate of 49 per cent between 2021-2030, with the segment's volumes set to cross annual sales of 17 million by 2030, a new report said on Tuesday.
This projected growth is expected to be driven by factors such as rising fuel prices, entry of new players, advancement in EV technology, continued subsidy support from both the central and state governments as well as anticipated implementation of emission standards, India Energy Storage Alliance (IESA) said in its report.
SpiceJet plans to add 7 Boeing planes; looking for funds from external parties
SpiceJet is looking for investments from external parties, including airlines, and also plans to add seven more Boeing planes to its fleet, the carrier's chief Ajay Singh said on Tuesday.
In recent times, SpiceJet has faced turbulence -- especially with many of its flights suffering technical snags -- and subsequently, the airline has faced actions from aviation regulator DGCA.
Kalyan Jewellers, Indigo Paints and Mphasis: Buy, Sell or Hold—What should investors do in these counters?
Amid volatility, certain stocks came in focus on Tuesday. These stocks were Kalyan Jewellers, Indigo Paints and Mphasis. Kalyan Jewellers gained six per cent to Rs 82.80 per share on the BSE in Wednesday's intraday trade. Likewise, Indigo Paints traded flat at Rs 1665 and Mphasis declined one and half per cent to Rs 2235 per share on the BSE.
Nifty above 17,600
The benchmarks recovered after opening flat with the indices turning green. Nifty50 was seen trading above 17,600, while the Sensex jumped 100 points to trade above 59,100
Top Stock Market events today, August 24
AGM today: AVT Natural Products Coforge Eicher Motors Endurance
Technologies Fiem Industries ISGEC Heavy Engineering Jammu &
Kashmir Bank J.B.Chemicals & Pharmaceuticals KPIT Technologies MAS
Financial Services Mahanagar Gas Nahar Spinning Mills
Meghmani Finechem: To meet investors and analysts on Aug. 24.
Tech Mahindra: To meet investors and analysts on Aug. 26.
UltraTech Cement: To meet investors and analysts on Aug. 24.
Shilpa Medicare: To meet investors and analysts on Aug. 24.
Persistent Systems: To meet investors and analysts on Aug. 24.
Aptus Value Housing Fin: To meet investors and analysts on Aug. 24.
PI Industries: To meet investors and analysts on Aug. 24 and Aug. 26.
Marksans Pharma: To meet investors and analysts on Aug. 24.
Jindal Stainless: To meet investors and analysts on Aug 24 & Aug 25.
Aarti Drugs: To meet investors and analysts on Aug. 24.
BEML to fix the record date for 1:1 issue of shares by BEML Land Assets
Bharat Gears to consider proposal for free shares issue
Infibeam Avenues to consider raising of funds & other businessDreamfolks Services IPO subscription Day 1
Meanwhile, retail portion of the IPO was fully subscribed within minutes of opening, while overall subscription stood at 0.21 times at 10.18, according to NSE data
Nifty below 17,500, Sensex tanks 200 points
Nifty slipped below 17,500, while the Sensex declined around 200 points to trade near 58,800 in a highly volatile market
Nifty Realty surges over 1%
The majority of sectoral indices traded in the red in early trade, however, Nifty Realty, Media and Healthcare rose between 0.1% to1.1% in early trade
Smallcap, midcap stocks see buying interest
In the broader market, nifty midcap trade flat with positive bias, while smallcap index rose higher by 0.6% in morning trade.
USD INR outlook:
Rupee fell 2 paise to 79.85 against US dollar in early trade on Wednesday. Anand James - Chief Market Strategist at Geojit Financial Services said USD INR investors should look for 80-80.3 moves as long as above 79.83. Alternatively, slippages past 79.70 could call for 79.5, he added
.Nifty top gainers and losers
Among stocks, ONGC, IndusInd Bank, Reliance Apollo Hospitals, M&M were top gainers, while Bharti Airtel, Asian Paints, Adani Ports, Eicher Motors and Grasim were top losers
Nifty outlook:
Close below 17578 yesterday stopped a piercing bull candle being fully formed. As such this is a rejection trade, but since we have already visited the 17300ssuggested as the first objective for downsides, we enter the day on a neutral stance. Push above 17578, will encourage us to buy again, while slippage past 17509 will ring in caution. Anand James - Chief Market Strategist at Geojit Financial Services.
BEML Board Meeting on 1:1 shares
BEML Board of Directors will meet to fix the record date for eligible shareholders for the 1:1 share issue post-BEML Land Assets Demerger
India's crude oil production falls 3.7%
India's crude oil production stood at 2453.19 thousand metric tonnes (TMT) in July 2022, which is 3.76 per cent lower than the production of July 2021 and 5.57 per cent down when compared with the target for the month, according to the official data released on Tuesday.
Sensex, Nifty at pre-open
In line with SGX Nifty, the Sensex dropped over 200 points, while Nifty50 was trading near 17,400
FM Nirmala Sitharaman Nagaland visit
Union Finance Minister Nirmala Sitharaman, who is on a three-day visit to Nagaland, will participate in various programmes, including the state government’s first conclave on corporate social responsibility and investment
She will interact with media persons at 10.40 AM, Rhododendron Hall, Police Officers Mess, Chumoukedima, Dimapur, Nagaland, today.
Future & Options ban update:
Stocks out Of Ban: Tata Chemicals
Stoks already In Ban: NiL
New stocks In Ban: NilAsian market in red
All major Asian indices were seen trading in the red in early trade on Wednesday. Japan's Nikkei declined 0.45%, Hang Seng Index at the Hong Kong Exchange dropped 0.93% and Chinese Shanghai Composite 0.50%
FIIs data
Foreign portfolio investors (FPIs) remained net buyers for Rs 563 crore in the Indian markets while Domestic Institutional Investors (DIIs) were net sellers to the tune of Rs 215.2 crore, provisional data showed on the NSE.
Dreamfolks Services IPO opens today
The initial public offering of Dreamfolks Services, India's largest airport service aggregator platform, is set to open for subscription today. It is completely an offer for sale of Rs 560 crore with a price band of ₹308-₹326 per share.
US market falls for 3rd straight session
The US market closed in the red for the third straight session. The Wall Street indices Dow Jones ended lower by 154 points, Nasdaq ended flat with negative bias and S&P 500 dropped more than 9 points.
SGX Nifty, Asian market opening trends
SGX Nifty, which hints at opening trend for the Indian market, traded lower by more than 50 points on the Singaporean exchange, while other major Asian market indices were too trading flat to negative largely on Wednesday morning.
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