Intraday,
After heavy losses in last five consecutive sessions, the market took breather on Friday (the first session of February series) supported by short covering in banks and metals stocks. The Sensex rose 15.60 points to close at 20,513.85, and the Nifty advanced 15.80 points to 6,089.50, but the broader markets remarkably outperformed benchmarks.
The BSE Midcap Index was up 1.56 percent and Smallcap gained 1.32 percent as both were beaten down quite badly in last few sessions. Advancing shares outnumbered declining ones by a ratio of 1510 to 1046 on the BSE. It was a lacklustre session for the market today after it discounted all the major (negative) events happened in last five sessions that dragged the Sensex nearly 900 points. Events were currency crisis in Turkey-Argentina, repo rate hike by RBI, fiscal stimulus cut by Federal Reserve and China PMI at six-month low. Experts feel the market may fall further, may even break 6000-level on the Nifty as the fundamental problems have not resolved yet. Unless and until the banking sector gets improved, fundamental problems of the country may not get solved, experts added.
“Till the time the banking sector doesn’t recover, I don’t see too much of hope for the market,” Meharaboon Irani, Principal and Head-Private Client Group Business at Nirmal Bang Securities said. “FM said he is going to manage the figures, but it is going to be at the cost of growth. At the end of it all this is going to affect the banking sector in a big way and till the time the banking sector doesn’t recover I don’t see too much of hope for the market. I don’t see anything happening to bank stocks for the next two quarters atleast; banks are in serious threat right now,” Irani elaborated.
Meanwhile, given the overall chart structure and momentum oscillators, Shardul Kulkarni of Angel Broking sees the Nifty sliding to lower to 5950 over the next couple of trading sessions.
For the week and the month, the Sensex and Nifty crashed over 3 percent.
PSU banks saw buying interest today after PNB reported improvement in its asset quality in Q3FY14, though profit dropped 42 percent year-on-year. The stock gained 5.8 percent. Asset quality performance of Union Bank of India , Canara Bank and Oriental Bank of Commerce was weak while Syndicate Bank showed stable performance. These stocks gained between 2.5-6.5 percent.
Country’s largest lender State Bank of India rose 0.5 percent and its rival ICICI Bank climbed 1.4 percent while HDFC Bank fell 0.5 percent. Marico trimmed gains in late trade to 0.4 percent from over 2 percent despite strong profitability due to better operational performance in Q3. Shares of M&M, Bharti Airtel , Tata Steel and Tata Power were up more than 2.4 percent whereas HDFC and Tata Motors topped the selling list, falling 2.5-3 percent.
Hero Motocorp lost 1.5 percent as it disappointed with Q3 earnings. Meanwhile, foreign institutional investors have sold Rs 652.97 crore worth of shares while domestic institutional investors bought Rs 327.01 crore in equities today, as per provisional data available on exchange. The rupee fell 12 paise to 62.68 against the US dollar.
Read more at: http://www.moneycontrol.com/news/local-markets/sensex-snaps-5-day-losing-streak-midcap-smallcap-outshine_1035380.html?topnews=1&utm_source=ref_article
Sensex midcap, smallcap outshine
After heavy losses in last five consecutive sessions, the market took breather on Friday (the first session of February series) supported by short covering in banks and metals stocks. The Sensex rose 15.60 points to close at 20,513.85, and the Nifty advanced 15.80 points to 6,089.50, but the broader markets remarkably outperformed benchmarks. The BSE Midcap Index was up 1.56 percent and Smallcap gained 1.32 percent as both were beaten down quite badly in last few sessions. Advancing shares outnumbered declining ones by a ratio of 1510 to 1046 on the BSE. It was a lacklustre session for the market today after it discounted all the major (negative) events happened in last five sessions that dragged the Sensex nearly 900 points. Events were currency crisis in Turkey-Argentina, repo rate hike by RBI, fiscal stimulus cut by Federal Reserve and China PMI at six-month low. Experts feel the market may fall further, may even break 6000-level on the Nifty as the fundamental problems have not resolved yet. Unless and until the banking sector gets improved, fundamental problems of the country may not get solved, experts added.
“Till the time the banking sector doesn’t recover, I don’t see too much of hope for the market,” Meharaboon Irani, Principal and Head-Private Client Group Business at Nirmal Bang Securities said. “FM said he is going to manage the figures, but it is going to be at the cost of growth. At the end of it all this is going to affect the banking sector in a big way and till the time the banking sector doesn’t recover I don’t see too much of hope for the market. I don’t see anything happening to bank stocks for the next two quarters atleast; banks are in serious threat right now,” Irani elaborated.
Meanwhile, given the overall chart structure and momentum oscillators, Shardul Kulkarni of Angel Broking sees the Nifty sliding to lower to 5950 over the next couple of trading sessions.
For the week and the month, the Sensex and Nifty crashed over 3 percent.
PSU banks saw buying interest today after PNB reported improvement in its asset quality in Q3FY14, though profit dropped 42 percent year-on-year. The stock gained 5.8 percent. Asset quality performance of Union Bank of India , Canara Bank and Oriental Bank of Commerce was weak while Syndicate Bank showed stable performance. These stocks gained between 2.5-6.5 percent.
Country’s largest lender State Bank of India rose 0.5 percent and its rival ICICI Bank climbed 1.4 percent while HDFC Bank fell 0.5 percent. Marico trimmed gains in late trade to 0.4 percent from over 2 percent despite strong profitability due to better operational performance in Q3. Shares of M&M, Bharti Airtel , Tata Steel and Tata Power were up more than 2.4 percent whereas HDFC and Tata Motors topped the selling list, falling 2.5-3 percent.
Hero Motocorp lost 1.5 percent as it disappointed with Q3 earnings. Meanwhile, foreign institutional investors have sold Rs 652.97 crore worth of shares while domestic institutional investors bought Rs 327.01 crore in equities today, as per provisional data available on exchange. The rupee fell 12 paise to 62.68 against the US dollar.
Read more at: http://www.moneycontrol.com/news/local-markets/sensex-snaps-5-day-losing-streak-midcap-smallcap-outshine_1035380.html?topnews=1&utm_source=ref_article
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