MarketBuzz
1311: The Marketbuzz Podcast: Sensex, Nifty set for gap-up start as global markets rebound
Good morning and welcome to CMBC TV18's Market Bus Podcast. I am Harness Fattakia. Well, this top-sea Tervi volatile roller coaster of a week has finally reached its conclusion and the final trading day promises to be nothing less than what this week has already been. The struggle for the bulls is real and that struggle is to take the Nifty past that 24-350 mark. For four days of the week so far, the Nifty has tested briefly cross but has failed to sustain above those levels of 24-350. And yesterday was no different either as after a sort of hawkish RBI policy and the weekly expiry meant that the Nifty managed to reverse nearly 200 points from the highs of the day and even closed in the negative. But it respected levels at the downside though, closing just a shade above that 24,100 mark. So that range of 24,100 to 24-350 becomes very crucial for the Nifty. That may change today though considering the positive handover we have had from Wall Street. The S&P 500 had its best day since November of 2022 while the Dow Jones gained nearly 700 points. Asian markets have also opened higher. The gift Nifty is also pointing to a 200-point gap up but that question remains. Even if we have that 200-point gap up, can the bulls sustain that? And if they do, can they take the Nifty past that 24-350 mark? Now the Nifty fell nearly 200 points yesterday and that could have been far worse had it not been for an underperforming HTFC bank putting its hand up and keeping the losses in check. Now the index heavyweight ended up percent higher on a day the other struggle and not to only keep the Nifty losses in check but also ensure that the Nifty bank ends in the green. The Nifty bank can be a key catalyst to take the Nifty past that 24-350 mark. For the week so far, both the Nifty and the Nifty bank are down two and a half percent each and would look to cover up as much ground as possible in today's session and clawback those losses. A couple of sectors other than these that you need to keep an eye out for. One is IT and after six weeks of an up move, the IT index is down three percent last week and another three percent this week and has been one of the biggest contributors to the recent Nifty correction. It will be interesting to see if the index rebounds after the NASDAQ rally we have seen overnight. The other one though is the PSU index, the Nifty PSE index and many stock specific PSUs are in focus post their quarterly results. They keep an eye out for railway PSUs in particular because after RVNL results which were reported during market as yesterday they were a disappointment the stock fell five percent and it took other railway stocks along with it as well. Ircon's results were nothing too pleasing either, they were a mixed bag, the revenue also saw a drop on a year on your basis so these stocks will remain the key and mind you these stocks have run up very significantly and have corrected anywhere between 20 to 25 percent from their respective record highs. The defense PSUs will also be in focus because Bharat Dynamics is reporting results today. Coaching SIPYAD's numbers were good and the stock will react to that having corrected nearly 30 percent from its record high levels. It's also a big day for Ola Electric as the shares will list on the bosses today. The IPO was subscribed four times and the issue price is 76 rupees a share. The AMFI data will also be reported later today and it will be interesting to see whether retail flows have continued in the market and if they have then to which section of the market they have come to. Now in other specific stocks, LIC's numbers were a miss on expectations on most fronts. The stock has risen 37 percent in the last three months and currently trades at 0.7 times H1 FY27 price to embedded value. But mind you it has very little float in the market, we need to be careful on that front. Biocon's results were aided by a higher other income component but the biologics business did well growing 11 percent year on year and offsetting the pricing pressure seen in the genetics business. The company is also anticipating a strong second half of FY25. There will also be earnings reactions from stocks like Oil India, Soba, Konkor, Eisher Motors and many other broader market names whose results were reported last evening. Block deal is likely to take place in Nexus Select REIT where the Blackstone sponsored group is likely to sell around 22 percent of its total REIT units outstanding through these block deals which are valued at over 4400 crore rupees. The plenty of other stocks to keep an eye out for today and all of that can be viewed on CNBCTV18.com. We end on a happy note. The Indian men's hockey team won bronze in the Paris Olympics yesterday after beating Spain in what was a fitting farewell to their long standing custodian PR Sreejesh who has bid farewell to the game after decades of guarding the goal post. India's most certain medal hope Nira Chopra did not disappoint either but this time he won silver after Tokyo's gold while Pakistan's Ashar Nadim set a new Olympic record on route to the gold medal in that event. That's all for today. Thank you for tuning in. We wish you a happy trading day and a happy weekend. Stay tuned to CNBCTV18 and CNBCTV18.com for the sharpest market insights. the market is now on the right side of the world.