Closing Bell: Sensex ends 140 points up, Nifty with marginal gains as Adani Group stocks drag markets

Closing Bell: Indian frontline indices S&P BSE Sensex and NSE Nifty50 traded in a narrow range on Thursday. Sensex traded within a 400-point range and ended the session at 60,806.22, up 142.43 points or 0.23 per cent while the broader market Nifty50, which traded in 140 point range, closed at 17,893.45, higher by 21.75 points or 0.12 per cent. Banking gauge Nifty Bank traded lackluster, managing a positive closing on the day of weekly expiry. It ended at 41,554.30, up by 16.65 points or 0.04 per cent.

Market breadth was equally split in favour of advances and declines. In the 50-stock Nifty50, 25 ended in the red. The top gainers were Bajaj Finserv, Hindalco Industries, HDFC Life, Asian Paints and Indusind Bank while the top losers were Adani Enterprises, Adani Ports, Hero MotoCorp, Cipla and JSW Steel.  

Source: NSE

Source: NSE

India VIX, a measure of volatility in Nifty ended at 13.04, down 4.08 per cent.

Out of 15 Nifty sectoral indices, 9 were in the red. The top losers were Nifty Metal (-1.58 per cent), Nifty Realty (-0.58 per cent) and Nifty Auto (-0.50 per cent) while the top gainers were Nifty IT (+0.70 per cent) and Nifty Media (+0.60 per cent). 

There was stock specific action in the broader markets as well. The 100-stock Nifty Mid Cap 100 closed at 30,956.65, up 12.65 points or 0.04 per cent. The top gainers were Trent, PB Fintech and Cummins India while the top losers were MRF, Gujarat State Petronet and Page Industries. 44 stocks ended up as winners, 54 as losers while 2 stocks remained unchanged. In the 100 stock Nifty Small Cap 100, 46 stocks gained while 54 declined as the iindex closed at 9,475.05, lower by 3.85 points or 0.04 per cent from the Wednesday closing. The top gainers were Campus Activewear, Route Mobile and Ease Trip Planners while the top losers were Carborundum Universal, JB Chemicals & Pharmaceuticals and Radico Khaitan.  

Metal major Hindalco Industries Limited reported a 63 per cent drop in its net profit for the quarter ended 31 December 2022. The earnings were announced during market hours.

Out of 3,613 stocks that traded on the BSE today, adances were seen in 1,700, declines in 1,767 while 146 stocks remained unchanged. 

The rupee pared initial losses and settled on a flat note at 82.54 (provisional) against the US dollar on Thursday, supported by a rebound in domestic equities. At the interbank foreign exchange market, the local unit opened at 82.59 against the American currency and touched a low of 82.66 and a high of 82.48 intra-day. It finally settled at 82.54 against the greenback, unchanged from its previous close.

The dollar index, which gauges the greenback's strength against a basket of six currencies, declined 0.36 per cent to 103.03.

"The Indian rupee depreciated against the US dollar amid fund outflows and risk-averse sentiments. However, the loss was limited following the state-run banks' dollar supply following inflows from the issuance of green bonds," said Dilip Parmar, Research Analyst, HDFC Securities. Parmar further noted that the sentiment for the local unit remains weak on the expectation of the dollar outflows from one of the big corporates for repaying debt. PTI

"Rupee continued to remain in a range of 82.50 to 82.66 as dollar index fell to 102.96 from a high of 103.57. Brent oil continued to remain in a small range at USD 85.35 per barrel. Asian currencies were slightly up against the dollar," Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors LLP said. 

"As markets remain in a range rupee looks to be in a small  range of 82.30 to 82.90 with RBI possibly selling at one end. Oil companies and FPIs seem to be on the sidelines," Bhansali said. 

Global oil benchmark Brent crude futures advanced 0.19 per cent to USD 85.25 per barrel.

In the commodities market, MCX April gold futures were trading positive and were up by Rs 113 or 0.20 from the Wednesday closing price at Rs 57,328 per 10 gram. March Silver futures were futures trading at Rs 67,727 per kg, up by Rs 94 or 0.14 per cent.

Expert Take

"The Nifty witnessed rangebound price action throughout the day and closed with marginal gains for the day. On the hourly charts we can observe that zone of 17790 –17820 where the key hourly moving averages are placed acted as a strong support zone and intraday the Nifty witnessed a sharp pullback from that support zone. On the way up the Nifty has managed to close above the 20-day moving average (17872) which is a sign of strength. The daily momentum indicator has a positive crossover which is a  buy signal. Thus, both price and momentum indicator is suggesting further upside in the Index. On the upside the zone of 17972 – 18000 is immediate hurdle zone and once it is crossed we can upside a sharp upside. Until the zone of 17970 - 18000 is  not taken out decisively we can expect the consolidation to continue. Range of consolidation from short term perspective is 17350 – 18000." -- Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas

"The frontline index on the weekly expiry day witnessed a muted opening and registered an intraday low at 17779.80 in the initial 30 mins candle. Nifty gradually inched higher as the day progressed and the buying aggression was witnessed after crossing the resistance around 17,850 levels. Nifty closed the day at 17,893.

Nifty on the daily chart has closed above its 21 EMA, which is a positive sign for the Indian markets in the short term. Technically, Nifty is gathering momentum, reviving bullish hopes for a test of near-term resistance at 18,000 levels. On the lower side, immediate support for the prices is placed at 17,650 levels. A successful closing above 18,000 will indulge a breakout in the index and which may lead the prices towards 18,200 – 18,250 levels." -- Rohan Patil, Technical Analyst, SAMCO Securities

(Disclaimer: The views/suggestions/advises expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)