Nifty50 Hits Psychological 20,000 Mark, Bank Nifty Nears 46,000
The Nifty50 index hit a new closing high of 19,996.30 on September 11, 2023, after crossing the psychological 20,000 mark in intraday trade. The index was supported by all sectors, with financials and metals leading the gains.
The Bank Nifty index also continued its uptrend, closing at 45,571, after breaking above the 45,500 resistance level.
Technical analysts said that the Nifty50 is now in a strong uptrend and is likely to continue to rise in the near term. They see the next target for the index at 20,450 levels.
The broader markets also performed well, with the Nifty Midcap and Smallcap 100 indices rising more than 1 percent each.
The India VIX, the fear index, jumped by 5.26 percent to 11.35 levels, indicating that investors are becoming more cautious.
Here are some of the factors that supported the market:
- The G20 Summit, which concluded on September 10, 2023, boosted investor sentiment. The summit was seen as a success, as it resulted in a consensus on a number of important issues, such as the global economic recovery and climate change.
- The positive economic data released in recent weeks, such as the strong GDP growth in the first quarter of the current financial year. The GDP growth data showed that the Indian economy is recovering strongly from the pandemic.
- The continued buying by foreign investors. Foreign investors have been net buyers of Indian equities in recent months, and they are expected to continue to support the market in the near term.
Here are some of the factors that could weigh on the market:
- The rising inflation and interest rates. Inflation has been rising in India in recent months, and this could put pressure on the market. Interest rates are also expected to rise in the near term, which could also weigh on the market.
- The ongoing war in Ukraine. The war in Ukraine is a major risk factor for the global economy, and it could also weigh on the Indian market.
Overall, the market is expected to remain positive in the near term, but investors should remain cautious of the risks.
In addition to the factors mentioned above, the following factors could also affect the market in the near term:
- The outcome of the upcoming monetary policy meeting of the Reserve Bank of India (RBI). The RBI is expected to raise interest rates in the meeting, which could weigh on the market.
- The release of key economic data, such as the IIP and CPI inflation numbers. Strong economic data could boost the market, while weak data could weigh on it.
- Global cues, such as the performance of the US markets and the direction of crude oil prices. Strong global markets could boost the Indian market, while weak global markets could weigh on it.
Investors should monitor these factors and adjust their investment strategies accordingly.
- 22 Sep
Technical Analysis Report for Nifty and Three Buy Calls
The Nifty index has been on a strong uptrend in the past three weeks, but it has recently retraced some of those gains. It is now expected to oscillate within the 19,605 to 19,878 range over the next few sessions. Three stocks that look good for buying over the next 2-3 weeks are Havells India, KSB, and Gujarat Ambuja Exports. All three stocks have strong bullish momentum and are trading above their key moving averages.
- 22 Sep
Maruti Suzuki Stock Gains on Bullish Stance from Global Brokerages
Maruti Suzuki stock gains on bullish stance from global brokerages Shares of Maruti Suzuki India surged on Friday after global brokerages Citi and Morgan Stanley maintained bullish stance on the counter. Both brokerages cited the company's improving product mix and attractive valuation as key reasons for their optimism. In addition, Maruti Suzuki reported strong sales performance in August 2023, with total domestic sales jumping 14 percent year-on-year and sale of utility vehicles jumping 118 percent year-on-year. Overall, the bullish stance from global brokerages and the company's strong sales performance are providing a boost to Maruti Suzuki stock.
- 22 Sep
PNB Gilts Hits Upper Circuit on Inclusion of Indian Bonds in JPMorgan Index
Shares of PNB Gilts hit upper circuit on September 22, 2023, following news that India's inclusion in JPMorgan's bond index is seen driving billions of dollars of inflows. The index provider will add Indian bonds to its widely-tracked emerging market index starting June 28, 2024. PNB Gilts is a primary dealer in government securities and other fixed-income instruments. The inclusion of Indian bonds in JPMorgan's index is expected to attract significant foreign inflows, which is likely to benefit PNB Gilts and other primary dealers in government securities.
- 22 Sep
Indian Bond Markets to Remain Stable in Near Term After JPMorgan Inclusion
Indian bond markets are expected to remain stable in the near term after JPMorgan's inclusion of India in its widely tracked emerging market debt index, according to BlackRock's head of Asia Pacific fixed income, Neeraj Seth. Seth expects inflows of around $20 billion to $25 billion into India after the maximum weight threshold is achieved on the GBI-EM index. Given the size of the global government bond market, this is relatively small and is unlikely to have a significant impact on volatility.
- 22 Sep
Indian market drops on September 22 despite inclusion of Indian bonds in JP Morgan index
Indian benchmark indices Sensex and Nifty fell for the fourth consecutive day on September 22, despite the inclusion of Indian bonds in the JP Morgan Government Bond Index-Emerging Markets (GBI-EM) global index suite from June 2024. The market is expected to remain volatile in the near term, with key support at 19,600 for Nifty.