Indian market sentiments boosted after RBI policy, Nifty closed at 11200 levels

 

Indian market opened in a strong note amid mixed cues from the Asain markets. The market sentiments got boosted after the RBI policy outcome and were trading volatile throughout the day. In the end, the benchmark indices closed in a flat note.

The market sentiments remain positive with the Department for Promotion of Industry and Internal Trade’s (DPIIT) statement that it will rope in a consulting agency to scrutinize tenders of government procuring entities for compliance with public procurement regulations that aim at promoting ‘Made in India products.

The Indian market sentiments got boosted after the Reserve Bank of India (RBI) policy outcome. RBI decided to keep the repo rate unchanged at 4% and reverse repo rate at 3.75%. The decision was taken due to the high inflation rate and a grim economic outlook. The RBI governor Saktikanta Das has also announced Rs10,000 crore in additional liquidity to be provided by NABADR and NHB. The governor also announced the restructuring of MSMEs’ debt.

On the global front, Asian markets were closed in the mixed today despite the positive cues from the US market overnight. The European markets are trading in the red today. The US Dow future and Nasdaq futures are trading flat. 

 

Indian Market-Sensex, Nifty and Bank Nifty on spot levels

 

At close, Nifty gained 98.50 points or 0.89% and at 11200.15 while Sensex was up by 362.12 points or 0.97% and at 38025.45. The Bank Nifty was highly volatile today due to the RBI policy outcome and later closed in a positive note. The Bank Nifty also gained 132.65 points or 0.62% and closed at 21642.60 levels.

The Nifty midcap and smallcap 100 indices closed in the green. The midcap index gained 179.45 points or 1.14% and closed at 15905.15. The smallcap index gained 18.85 points or 0.36% and closed at 5208.30 levels.

The top five gainers in the Nifty50 index for the day are Infosys, Bajaj Finance, Gail, HCL Tech, and UPL. On the losing side, the top five losers for the day are Shree cement, Eicher Motors, Adani  Ports, M&M, and Bharti Airtel. The most active stocks in the Nifty50 index for the day were Reliance, Bajaj Finance, and HDFC Bank.

The top gainers in the Nifty midcap index are Prestige Estate, Tata Cons. and the losers are Bata India and Natco Pharma. In Nifty smallcap the top gainers for the day are Swan Energy and Aegies Logistics and the losers are Omaxe and Vakrangee.

On a sectoral basis, Metals & Minings, IT & Software, Real Estate, Insurance, and Banking & Finance closed in the green. The sectors that closed in the red are Electricals, Infrastructure, Manufacturing, Aviation, and Capital Goods. 

 

Stocks in news today

DLF has reported a net loss in Q1FY21 at Rs 71.5Cr as against a profit of Rs 413.9 cr on a YoY basis. The company’s revenue was down 58.8% at Rs 548.6 crore as compared to Rs 1331.2 crore. The share price of DLF closed flat at Rs 142.65 per share

The Hindustan zinc gained 6% on Thursday after the global research firm Citi has maintained buy call on the stock and raised the target to Rs 240 from Rs 205 per share. The share price of Hindustan Zinc gained 7.43% and closed at Rs 235 per share

The Birlasoft gained 14% and touched 52 weeks high of Rs 149.50 a day after the company posted a 35% rise in consolidated net profit for Q1FY21 results. The share price of Birlasoft gained 14.67% and closed at Rs 143.45 per share. 

The IDBI has entered a share purchase agreement (SPA) with Ageas Insurance International NV and the Federal Bank wherein IDBI Bank has agreed to sell up to a 27% stake in its joint venture arm IDBI Federal Life Insurance Company. As per the report of moneycontrol.com. The share price of IDBI Bank gained 0.90% and closed at 39.30 per share.

 

Conclusions

Indian market closed in positive after a volatile trading session. The market gained after the RBI policy was announced but could not hold at higher levels. The Nifty closed at 11200 levels and in the coming days, we may see Nifty touching 11350 again. 

Traders can follow our Nifty and Bank Nifty prediction in futures and daily live market updates.

 

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