Gold – Stock Market Highlights: Sensex sheds 440 points, Nifty settles below 15,000 on broad based selling
Ajit Mishra, VP – Research, Religare Broking
It’s not surprising to see that the way markets are reacting to the global cues, in absence of any major trigger from the domestic front. Going ahead, we feel global cues would continue to dictate the market trend in the near term. Besides, on the domestic front, key macro data like CPI, WPI and IIP would be on investors’ radar. We reiterate our view to limit naked leveraged trades until we see some clarity emerging over the next directional move.
Deepak Jasani, Head of Retail Research, HDFC Securities
The broader market came under a lot of selling pressure on March 05 as unnerved by the shaken equity markets globally, short term investors rushed to take profits in mid and smallcap stocks that have risen quite well over the past few weeks. Nifty ended the week in the positive after two weeks of losses and recovered some of the lost ground even on Friday. However, investors in Indian equities will look at the trend of bond yields abroad to assume higher risk and in the meanwhile, the markets could consolidate/correct. 14,208-14,491 is the next support band, while 15,150-15,266 remains a crucial resistance.
#MarketThisWeek | Except PSU Bank, All Sectoral Indices Give Positive Returns This Week
UltraTech, Grasim, Adani Ports & Kotak mah Bank Top Nifty Gainers This Week
Only 6 Nifty Stocks (Bharti, IndusInd, SBI, Hindalco, CIL, HDFC Bank) Close Lower This Week pic.twitter.com/l8C85iy9JB
— CNBC-TV18 (@CNBCTV18Live) March 5, 2021
#MarketAtClose | Titan Closes Higher While Manappuram & Muthoot Slip On Falling Gold
FACT, CSB, Emami, Blue Dart Amongst Top Midcap Gainers
Apollo Tyres, PTC Fin, Max Ventures, BoB, Nalco Top Midcap Losers pic.twitter.com/EZkpp2PPGu
— CNBC-TV18 (@CNBCTV18Live) March 5, 2021
#MarketAtClose | US Yield Rise Spooks Global Mkts; Frontline Indices Close 1-2% Lower
Sensex Manages To Hold 50,000, Closes 441 Points Lower At 50,405#Nifty Gives Up 15,000, Ends With A Cut Of 143 Pts At 14,938
Midcap Index Falls 530 Pts To 24,078 & Nifty Bk 574 Pts To 35,228 pic.twitter.com/KOaFiXdEOK
— CNBC-TV18 (@CNBCTV18Live) March 5, 2021
Rahul Gupta, Head Of Research- Currency, Emkay Global Financial Services
The forex market is very volatile, and the short-term trading range has shifted to 72.50-73.50. The speculation that reopening of economies, along with additional fiscal stimulus will increase inflation and the Fed will have to begin tapering at the earliest is activating the dollar bulls. In our view, traders are prematurely betting for Fed rate hike and an actual discussion will begin in late 2021. But until then, the global cautious tone will limit the fall in spot on account of a slew of IPOs lined up in coming months. Now, the immediate focus is on tonight’s US NFP data, only a dismal figure may spark concerns for America’s ability to recover and weigh on dollar. So for next week, we expect the spot to trade within 72.50-73.50 with a sideways bias.
Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities
On the weekly basis, despite the market closed in the positive territory the market mood was sluggish. A substantial jump in the long term treasury yields and upward activity in the dollar index towards 92, resulted in weakness across the globe. The Nifty/Sensex closed below the crucial supports of 14,950 and 50,500 on a daily basis. The bank nifty has narrowed down the trading range and closed at an unchanged level on a weekly basis. The dollar index has formed a series of higher high and higher low that could be the cause of concern as it controls or curtail inflows for emerging markets.
On a daily basis, the market has formed the long-legged Doji formation, which is an indication of indecisiveness. However, in the short term until the market is not breaking 15280 levels our bias should be on the downside. In the coming week, we could see, Nifty/Sensex touching minimum 14,750/50,000 or 14,550/49,300 levels. On the higher side, 15,150/51,200 and 15,280/51,600 would be major hurdles. The focus should be on FMCG and Auto companies
Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments
The markets have had yet another day in the red. However, it has not broken the medium-term support range of 14,700-14,800. If we break that, we could travel south to levels closer to 14,400-14,500. If we bounce from these levels, we would need to get past the 15,300 levels to move to higher targets of 15,500-15,600. Until then the Nifty is going to be range-bound and choppy.
Here are the highlights of the market this week:
– Market Snaps 2-week Losing Streak; Sensex & Nifty Gain Nearly 3% Each This Week
– Nifty Bank Rises Over 1% & Midcap Index Over 3%; Media & IT Top Gaining Indices
– Except PSU Bank, All Sectoral Indices Give Positive Returns This Week
– UltraTech, Grasim, Adani Ports & Kotak mah Bank Top Nifty Gainers This Week
– Only 6 Nifty Stocks (Bharti, IndusInd, SBI, Hindalco, CIL, HDFC Bank) Close Lower This Week
Market At Close
– US Yield Rise Spooks Global Markets; Frontline Indices Close 1-2% Lower
– Sensex Manages To Hold 50,000, Closes 441 Points Lower At 50,405
– Nifty Gives Up 15,000, Ends With A Cut Of 143 Points At 14,938
– Midcap Index Falls 530 Pts To 24,078 & Nifty Bank 574 Pts To 35,228
– All Sectoral Indices Close Lower While Volatility Index Rises Nearly 6%
– Financials & Metals Amongst Top Losers; Nifty Metal & PSU Bank Fall 3-4%
– 38 Nifty Stocks Close In The Red; IndusInd, Wipro, Tata Motors Top Losers
– Wipro Slides 4% As Brokerages See Synergy Concerns On Capco’s Acqn
– Tata Chairman’s Comment Of No Tesla Deal & Lower JLR Sales Drag Tata Motors
– PSU Companies Rise In A Weak Trading Session; ONGC & GAIL Top Nifty Gainers
– Titan Closes Higher While Manappuram & Muthoot Slip On Falling Gold
– FACT, CSB, Emami, Blue Dart Amongst Top Midcap Gainers
– Apollo Tyres, PTC Fin, Max Ventures, BoB, Nalco Top Midcap Losers
Closing Bell | Indian equity market ended lower Friday amid weak global cues as rising bond yields spooked investors. The Sensex ended 440.76 points, or 0.87 percent lower at 50,405.32, while the Nifty settled at 14,938.10, down 142.65 points, or 0.95 percent. All the sectoral indices ended in the red with banks, financials and metal indices leading the losses. Broader markets also succumbed to selling pressure.
On the Nifty50, IndusInd Bank, UPL, Tata Motors, Wipro and Hindalco Industries were the top losers, while ONGC, GAIL India, Maruti Suzuki, Kotak Mahindra Bank and Hero MotoCorp were the top gainers.
Expect Q4 pig iron spreads to be upwards of Rs 12,000: Tata Metaliks
Tata Metaliks is buzzing post a SteelMint report that the company has hiked foundry grade pig iron prices by Rs 800 per tonne. Sandeep Kumar, MD of the company, said there was a temporary fall in prices, but have recovered in the last one month. “The pig iron prices have moved up once again in February. In January they had reached a peak of about Rs 42,000 or there about and then fell by almost Rs 4,000 or so. However, they have come back very rapidly to scale back the same levels which is 41,000-42,000. So, we have recovered quite a bit in the last one month,” he said in an interview to CNBC-TV18. He said restocking of pig iron and softening of iron ore prices have also led to increase in prices. Read here.
Nish Bhatt, Founder & CEO, Millwood Kane International
The fall in gold prices in the domestic market is in line with the international market prices post comments of the US Fed Chairman on inflation and bond yield. Commex GoldGoldGold
We expect gold prices to remain sideways in the short-term as vaccination drive across the globe picks up the pace which will lead to full normalcy in economic activities. The expectation of a rise in inflation due to excess liquidity globally may help gold prices in the medium to long-term.
Abhishek Chinchalkar, CMT Charterholder and Head of Education, FYERS
Nifty has shown indecisiveness over the last few sessions, as the index has formed a sequence of lower lows and higher highs, a sign of tussle between bulls and bears. With the earnings season behind and nothing much lined up on the data front domestically, Indian markets this week have taken cues from their global peers.
The cross-market developments indicate that domestic markets could witness volatility in the short-term. Hence, one needs to implement a cautious stance going forward. Technically, 15,000 is an immediate level to watch out for, which was defended quite well yesterday by the bulls. If Nifty fails to reclaim this level, the sell-off could extend towards 14,850/14,780
Market Watch: Hemen Kapadia, KRChoksey Securities
– Buy Asian Paints at Rs 2,410 with a stop loss of Rs 2,365 and a target of Rs 2,500.
– Buy Hindustan Unilever Ltd (HUL) at Rs 2,200 with a stop loss of Rs 2,165 and a target of Rs 2,290.
– Buy United Spirits at Rs 555 with a stop loss of Rs 540 and a target of Rs 585.
Market Update | Indian benchmark equity indices, Sensex and Nifty were trading over 1 percent lower Friday afternoon on broad-based selling across all sectors. Banks, financials and metal sectors dragged the most. Broader markets also succumbed to selling pressure. IndusInd Bank, SBI, ICICI Bank were the top Snesex losers.
Oil soars to near 14-month high as OPEC+ extends output cuts into April
Oil prices jumped more than $1 a barrel on Friday, hitting their highest levels in nearly 14 months, after OPEC and its allies agreed not to increase supply in April as they await a more substantial recovery in demand amid the coronavirus pandemic.
Brent crude futures for May rose to as high as $68 a barrel on Friday, a level not seen since Jan. 8, 2020. The contract was up $1.09, or 1.6%, to $67.83 a barrel at 0730 GMT, and was on track for a near 3% gain in the week. US West Texas Intermediate (WTI) crude futures climbed 93 cents, or 1.5%, to $64.76 per barrel after hitting a high of $64.94 earlier in the session.
Both contracts surged more than 4% on Thursday after the Organization of the Petroleum Exporting Countries and allies, together called OPEC+, extended oil output curbs into April, granting small exemptions to Russia and Kazakhstan.
PVR opens a new 6-screen property in Mysuru
Multiplex major PVR on Friday announced the launch of a new six-screen property in Mysuru, Karnataka. ”PVR Cinemas with this launch strengthens its presence in Karnataka with 109 screens in 16 properties and 292 screens across 47 properties in South. Located in the heart of India’s silk city, the new PVR Cinemas spreads across an area of 32,240 sq feet and can accommodate a total of 1,078 audiences,” the company said in a statement. Read more here.
Hitesh Jain, Lead Analyst – Institutional Equities, Yes Securities
On gold price trajectory, we still remain bullish considering the unprecedented government stimulus, bloated Central bank balance sheets and burgeoning sovereign debt. This is tantamount to debasement of currencies like the greenback. A structural decline in USD against the basket of currencies will also underpin the value of an alternative currency like Gold
BEML Board approves appointment of Deloitte Haskins as consultant for advising, undertaking and implementing Demerger of Non-core assets of the Company pic.twitter.com/emh08Vms1e — CNBC-TV18 (@CNBCTV18Live) March 5, 2021 Honeywell Automation expects strong order flows and capex expenditure to rise Honeywell Automation, a provider of integrated automation and software solution, is optimistic about the upcoming year, said Ashish Gaikwad, managing director (MD) of the company, on Friday. Speaking in an interview with CNBC-TV18, he said that the company expects strong order flow going ahead. “FY22 is looking quite optimistic to us and clients are more committed towards digital transformation now. Therefore, we are looking at a lot of optimism in our pipeline. We typically target about 1.5-2 times the GDP growth as far as our order bookings are concerned,” he said. Read more. Wep Solutions | The company said has fixed the record date for the purpose of determining the shareholders who will be eligible to apply in the Rights Issue as March 12, 2021. Auto Ind makes recommendations to Govt in respect to #PLI scheme. In its proposals, industry seeks incentivising MNCs to establish their mother plants & sourcing hubs and domestic cos to develop global scale. It also asks for long-term regulatory roadmap to encourage localisation pic.twitter.com/Y0iRmC8c9T — CNBC-TV18 (@CNBCTV18Live) March 5, 2021 BSE Ltd | BSE Investments Limited (BSEIL), a wholly-owned subsidiary of BSE entered into a Joint Venture agreement with Frontier Agriculture Platforms Private Limited to drive innovation in agriculture markets. As part of this joint venture, FAPL has picked 40 percent equity stake in BSE E-Agricultural Markets Ltd (BEAM). Gland Pharma in talks to manufacture COVID-19
The Gland Pharma stock is up over 75 percent from its issue price of Rs 1,500 in November 2020. A recent management meet takeaways indicate that the company is in talks with partners for contract manufacturing of COVID-19 vaccines. Srinivas Sadu, MD at Gland Pharma, shared his views. “We thought we will come with the announcement earlier than this but still the talks are underway, the collaboration has bit more extended than what we have envisaged initially. We will let you know once we sign off the dotted line but it is looking good and the volumes could be larger than what we had thought off initially,” he said.
“Company still feels there will be a demand at the end of this year as well but in parallel, we are also discussing to finish this earlier than that,” he added. Read more.
Coal India | The company’s board has approved an interim dividend of Rs 5 per share.
Gold – Stock Market Highlights: Sensex sheds 440 points, Nifty settles below 15,000 on broad based selling
