If Nifty stays above 7,930, the upmove may continue
We had mentioned in Friday’s closing report that Nifty, Sensex may give up some gains and Nifty has to stay above 7,930 for the gains to continue. Weak global cues dented investor sentiments at the opening and Nifty fell to 7,908 in the opening half hour but the market staged a strong recovery when the US futures moved from negative to positive and European markets opened in the green.
Healthy foreign funds inflows, announcements on financial sector reforms and hopes of a rate cut arrested the slide in a barometer index which closed flat on the back of weak global cues on Monday.
The S&P BSE Sensex, which opened at 26,107.98 points, closed at 26,192.98 points -- down 25.93 points or 0.10% from the previous day's close at 26,218.91 points.
The Sensex touched a high of 26,233.46 points and a low of 25,972.54 points in the intra-day trade.
Among the Asian markets, Japan's Nikkei dropped by 1.96%, Hong Kong's Hang Seng fell by 0.75%. However, Shanghai Composite Index closed higher by 1.91%.
Other market watchers elaborated that the global growth concerns coupled with fears of a possible US interest rate hike in the latter part of 2015 played negatively on investors’ sentiments.
The FIIs were net buyers in the cash market segment on Monday. They bought shares worth Rs154.87 crore.
The domestic institutional investors (DIIs) were also net buyers. They bought shares worth Rs415.09 crore in the capital markets segment.
The rupee also ended the day's trade on a flat note. It closed at Rs65.72 to a US dollar, up 5 paise from its previous close of Rs65.67 to a greenback.
Sector-wise, banking, capital goods and automobile managed to stay afloat. However, fast moving consumer goods (FMCG), oil and gas and consumer durables stocks declined.
The S&P BSE banking index rose by 160.26 points, capital goods index rose by 78.24 points and automobile index increased by 29.76 points.
The S&P BSE FMCG index receded by 57.52 points, oil and gas index declined by 24.01 points and consumer durables index was lower by 19 points.
Major Sensex gainers during Monday's trade were: Hindalco Industries, up 2.43% at Rs78; Axis Bank, up 2.05% at Rs527.90; Maruti Suzuki, up 2.00% at Rs4,491.85; State Bank of India (SBI), up 1.16% at Rs245.15; and Gail, up 0.99% at Rs290.50.
The major Sensex losers were: Reliance Industries, down 1.94% at Rs877.70; Mahindra and Mahindra, down 1.43% at Rs1,184.40; ITC, down 1.32% at Rs314.30; Dr Reddy's Lab, down 1.11% at Rs3,957.35; and Bharti Airtel, down 1.00% at Rs352.60.
The top gainers and top losers of major indices in the Indian stock market are given in the table below:
The closing values of major Asian indices are given in the table below:
Among European indices, DAX was at 9,927.10, up 0.1% and FTSE 100 was at 6,159.39, up 0.90%.