Informist, Thursday, Aug 11, 2022
By Vaibhavi
NEW DELHI – Domestic equities witnessed strong momentum today, following data that hinted at softening US consumer inflation for July, lifting benchmark indices higher. However, despite the gains, benchmark indices lagged the sharp upmove in their global peers.
US retail inflation rose 8.5% on year in July as against expectations of an 8.7% rise. The softer-than-expected US inflation data sparked hopes among investors that the Federal Reserve might take a less aggressive route in its rate hikes going forward.
US inflation numbers are higher than the Fed's comfort level of 2%, but the fact is that inflation has started inching downwards, giving great comfort to investors, said Sunil Damania, chief investment officer, MarketsMojo.
Moreover, with the way crude prices are declining, inflation could further ease by the time the data comes in next month, Damania said.
Today, the positive sentiment lifted global markets higher. Most markets across Asia closed with around 2% gains. On Wednesday, key share indices in the US ended 2-3% higher.
The Nifty 50, which opened sharply higher today due to upbeat global cues, surpassed 17700 points for the first time since Apr 11. However, selling pressure at higher levels quickly pulled the index off its highs and below 17700 points.
Despite struggling to decisively surpass 17700 points through the session today, the positive momentum for Nifty 50 indicates that the index is likely to test 17800 points in the near term, said Viraj Vyas, technical and derivatives analyst at Ashika Institutional Research.
Nifty 50 settled 0.7% higher at 17659 points after climbing to a high of 17719.30 points during the day. The 30-stock Sensex closed with 0.9% gains at 59332.60 points after hitting a high of 59484.99 points.
Information technology and financial stocks were the prominent gainers in today's session.
Shares of large-cap information technology majors added 1-2%, tracking gains in global peers which rose following a fall in yield on the 10-year US Treasury note. The Nifty IT index ended nearly 2% higher.
Banks and other financial services companies were also major movers as Axis Bank, Housing Development Finance Corp, State Bank of India, IndusInd Bank, and Bajaj Finance gained 1.5-2.7%.
On stock-specific front, TCPL Packaging, Uflex, Suzlon Energy and Mazgon Dock Shipbuilders surged 4-7% following robust set of earnings for Apr-Jun.
On the other hand, shares of Delhivery and Natco Pharma extended their losses from the previous session as their growth outlook turned bleak, following disappointing Apr-Jun results on Wednesday. The stocks ended 6% and 5% lower, respectively, and were the worst hit among Nifty 500 companies.
The sentiment was buoyant within the broader market, with all small- and mid-cap indices on the National Stock Exchange ending 0.6-1.2% higher.
* Among Nifty 50 stocks, 29 rose and 21 fell
* Among Sensex stocks, 19 rose and 11 fell
* On the BSE, 1,843 stocks rose, 1,548 fell, and 144 were unchanged
* Nifty FMCG: Down 0.8%; Nifty IT: Up 1.8%; Nifty PSU Bank: Up 2.4%
BSE National Stock Exchange
Sensex: 59332.60 points, up 515.31 pts (0.9%) Nifty 50: 17659, up 124.25 pts (0.7%)
S&P BSE Sensitive Index Nifty 50
Lifetime High: 62245.43 (Oct 19, 2021) : Lifetime High: 18604.45 (Oct 19, 2021)
Record Close High: 61765.59 (Oct 18, 2021) : Record Close High: 18477.05 (Oct 18, 2021)
2022 1st day close: 59183.22 (Jan 3) : 2022 1st day close: 17625.70 (Jan 3)
2022 Closing High: 61308.91 (Jan 17) : 2022 Closing High: 18308.10 (Jan 17)
2022 Closing Low: 51360.42 (Jun 17) : 2022 Closing Low: 15293.50 (Jun 17)
2022 High (intraday): 61385.48 (Jan 17) : 2022 High (intraday): 18321.55 (Jan 17)
2022 Low (intraday): 50921.22 (Jun 17) : 2022 Low (intraday): 15183.40 (Jun 17)
2021 Closing High: 61305.95 (Oct 14) : 2021 Closing High: 18338.55 (Oct 14)
2021 Closing Low: 46285.77 (Jan 29) : 2021 Closing Low: 13634.60 (Jan 29)
2021 High (intraday): 61353.25 (Oct 14) : 2021 High (intraday): 18350.75 (Oct 14)
2021 Low (intraday): 46160.46 (Jan 29) : 2021 Low (intraday): 13596.75 (Jan 29)-
2020 Closing High: 47751.33 (Dec 31) : 2020 Closing High: 13981.95 (Dec 30)
2020 Closing Low: 25981.24 (Mar 23) : 2020 Closing Low: 7610.25 (Mar 23)
2020 High (intraday): 47896.97 (Dec 31) : 2020 High (intraday): 14024.85 (Dec 31)
2020 Low (intraday): 25638.90 (Mar 24) : 2020 Low (intraday): 7511.10 (Mar 24)
2019 High (intraday): 41809.96 (Dec 20) : 2019 High (intraday): 12293.90 (Dec 20)
2019 Low (intraday): 35287.16 (Feb 19) : 2019 Low (intraday): 10583.65 (Jan 29)
2018 High (intraday): 38938.91(Aug 28)) : 2018 High(intraday): 11760.20 (Aug 28)
2018 Low (intraday): 32483.8 (Mar 23) : 2018 Low (intraday): 9951.9 (Mar 23)
2017 High (intraday): 34005.37 (Dec 26) : 2017 High(intraday): 10515.10 (Dec 26)
End
Edited by Namrata Rao
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