MarketBuzz
1318: The Marketbuzz Podcast: Will the pressure on Defence stocks continue as Sensex, Nifty consolidate?
Good morning and welcome to CNBC TV18's Market Bus podcast, I'm Harms Pattakya. Now, considering the move that we saw last Friday, it has been relatively quiet for the first two days for our own markets. But despite this calm, there have been gains even if they were modest and then if he has traded in 100 to 150-point range over the last two trading sessions, but the bigger part is that it has continued to grind higher instead of grinding lower. Now from the lows of the 14th of August, which was just below the mark of 24/100, the nifty today stands on the doors of 24/700, just 300-point shy of reclaiming that mark of 25,000. Now, the index did cross 24/700 yesterday, but came ever slow slightly off those levels and ended just a shade below that in what was its fourth straight day of gains. Now, both the nifty and the nifty bank have similar chart patterns in today and the nifty bank cooled off in the final few minutes of the trading session and that was also because of the financial services expiry yesterday and that took the nifty with it as well, slightly from the highs of the day. But to take nothing away from the nifty bank, it added another 430 odd points to its tally yesterday, even crossed 51,000 briefly on the upside and closed above that mark of 50,800, which is just above that 20-day exponential moving average, which has been a resistance ban in recent times. Now, with the Wall Street handover being slightly on the negative side, it will be interesting to see how the Indian markets move today, particularly IT names, which also came off the highs yesterday, but not before the IT index added a seventh day of gains for itself. It would have been one of a kind record for the S&P 500, had it ended higher yesterday, that would have been the ninth straight day of gains for the index, a streak that was last seen 20 years ago back in 2004, but it was not to be Asian markets have also opened with modest losses this morning within the range of around half a percent. The gift nifty is also indicating a start with a negative bias, but a subdued start is what is anticipated for our own markets, looking like the consolidation is likely to continue today as well. But also keep in mind that today is the nifty bank expiry, we will have that in focus towards the second half of the trading session. But not all was hunky dory in the market though yesterday, as pressure was seen in a lot of high-flying sectors, defense was one in particular, and shares of mascot dog garden reach fell up to 9% yesterday, extending their losses for the third day in a row. Now with this, mascot dog is down nearly 30% from its peak, while garden reach is down nearly 40%. Now a note by ICICI securities last week had projected a near 80% downside in these two names over margins and execution concerns. Now a detailed story on their valuation picture post this correction will soon be up on CNBCTV18.com. Do give that a read. Some more stocks that should be on your list today, signed DLM is one of them where the promoters have given an approval to sell 14.5% stake through block deals, the promoter of course being signed. Another block deal is in the offing, this time in PNB housing, where general Atlantic may sell up to a 5.1% stake in a deal that is valued at over 1000 crore rupees. Now some more promoters takes in a GT&D India's promoters are also looking to sell a minority stake in the company, but they reiterated that they remain committed to being majority shareholders, and this is just an expression of intent and nothing of this sort is binding as of now. Genius power should also be on your radar, it has won its second order in the last one week, and these are three orders that the company has won which are well over 3600 crore rupees. Well electric will be in focus as two of its key scooters have received PLI certification from the government, and the company has said that this will also contribute to improving the profitability of the company and remember the shares made a high of around 157 yesterday came off as much as 12% from the highs and ended lower by 6% in yesterday's trading session. Plenty of other stocks are also on the radar, and they can be read on cnbctv18.com. Outside of the markets, the Supreme Court has agreed to consider Bijou's plea regarding the revival of the insolvency proceedings against the company on the 22nd of August. Now this comes after Bijou's raised concerns that the court's recent stay order on a settlement with the BCCI is being misinterpreted as a revival of the insolvency process. And to end on a happy note, for the second year running, RBI Governor Shakti Gantadas has been voted as a plus in the Global Finance Central Bankers report card in 2024. We extend our heartiest congratulations to the governor. That's all for today, we wish you a happy and safe trading day. For more, stay tuned to cnbctv18 and cnbctv18.com .