Nifty hits new closing peak of 15,583; adds 6.5% in May; Sensex up 515 pts

RIL, up over 3 per cent on the National Stock Exchange (NSE), single-handed lifted the frontline Nifty50 index to record peak of 15,606 in the intra-day session today

5:38 PM

MARKET CLOSING COMMENT :: Nifty clocks best monthly gain since Feb

Indian benchmark equity indices continued their uptrend on May 31 with Nifty hitting fresh record high ahead of the Q4 GDP data due for release this evening. Nifty opened lower and made an intra day low at 0930 Hrs. From there, it started to rise making higher tops higher bottoms and ended the day almost at the intra day high.  At close, the Nifty was up 147.10 points or 0.95% at 15582.80.

 

Volumes on the NSE were a tad below the recent averages. Among sectors, Metals, Realty, Power, Oil & Gas, Banks, Telecom and FMCG rose the most, while Auto and IT ended in the negative.

 

Nifty rose for the seventh consecutive session reaching and closing at fresh record highs. It has closed the month of May with a 6.5% gain almost matching the February gains. The contribution to this rise was broad-based on May 31. Overall advance decline ratio was also mildly positive. 15635 is the next resistance for the Nifty while 15470 is the support.  

Views by: Deepak Jasani, head of retail research at HDFC Securities

5:19 PM

TECH VIEW :: Sumeet Bagadia, Executive Director at Choice Broking

On the technical front, the Index continues to trade in higher high and higher low formation for the 7th day consecutively which suggests further upside movement in the counter. Moreover, the index has been trading above all the moving average in daily time frame, which points out strength in the counter. In addition, an indicator MACD & Stochastic witnessed positive crossover, which suggests a bull-run for upcoming sessions. At present, the nifty seems to have resistance at 15650 levels while immediate support shifted to around 15370 levels.

5:08 PM

TECH VIEW :: Nagaraj Shetti, Technical Research Analyst at HDFC Securities

The uptrend in the market has started to strengthen at the new highs and also at the upside breakout of previous swing high. The present upside momentum is likely to continue for the short term and any intraday weakness could be a buying opportunity. The next upside levels to be watched around 14800 in the next 3-4 sessions. Immediate support is placed at 15450 levels.

4:56 PM

Trading Strategy :: Book profit on long positions if market moves towards 15600-15700 levels

Today, the market unexpectedly closed much better. Initially, the market went down to Friday's lowest level, however, it was only for a short time and the market bounced back soon. This shows that the market is under the control of the bulls.

The 15600 level is the crucial resistance level for the market, however, earlier resistance of 15430 and 15350 levels would act as major support for the market. A close below the level of 15600 would keep the market range bound between 15600 and 15350 levels. One should book profit on long positions if the market moves towards 15600/15700 levels. Buying is advisable only at major supports like 15430/15400 levels

Views by: Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities

4:47 PM

TECH VIEW :: Any dip is a buying opportunity as long as Nifty holds 15,500

With fresh breakouts, fresh highs and fresh closing highs,  the Nifty index closed at 15,575 levels and formed a bullish candle on daily chart. The index decisively closed above 15,500 zone which gives strength to the overall structure. Now, any dip in the market will open buying opportunity as long as we are sustaining above 15,500 zone, which is also its immediate and strong support on the downside followed by 15.400 zone.The next immediate hurdle are 15,600-15,700 

Views by: Rohit Singre, Senior Technical Analyst at LKP Securities

4:31 PM

Trade set-up for Tuesday

Markets will react to the GDP data in early trade on Tuesday i.e. June 1. Besides, participants would keep a close watch on auto sales figures. Meanwhile, the last leg of earnings season is also expected to induce stock-specific volatility. Some states have announced relaxation in restrictions and we expect further easing in the coming weeks. Amid all this, we reiterate our bullish yet cautious stance on markets and suggest aligning the positions according to the prevailing uptrend.

Views by: Ajit Mishra, VP - Research at Religare Broking  

4:20 PM

MARKET INSIGHT :: What's driving the markets?

Amidst mixed global trends, Indian equities registered gains ahead of Q4 GDP data which has a mixed forecast. But it is expected to be better for FY22 and increased optimism from declining covid cases is helping the market. The rise in heavyweights supported the rally and sectors like metal, private banks and energy witnessed maximum gains in anticipation of better economic growth.

Views by: Vinod Nair, Head of Research at Geojit Financial Services

4:10 PM

MARKET RECAP :: S Ranganathan, Head of Research at LKP Securities

With European markets closing at record highs last Friday, we had a strong opening today and the Bulls stepped up the accelerator during trade led by the Oil & Gas sector as heavyweight Reliance stole the show helping Indices notch up a percentage gain. Corporate Profits to GDP ratio at a decade high last fiscal lent steam to the rally. The broader markets exhibited buoyancy with segments like NBFC's, Metal Stocks & Pathology Labs witnessing investor interest

4:06 PM

Volatility Alert

India VIX ends at 16.8 levels, down 3%

4:05 PM

Broader market :: S&P BSE SmallCap adds 0.5%

4:05 PM

Broader market :: BSE MidCap index gains 0.45%

4:04 PM

Sector Watch :: All constituents of the BSE Metal index ends in green

>> Index up 2.25% by close

4:02 PM

Sector Watch :: BSE Energy index ends 2.5% higher

3:58 PM

STOCK OF THE DAY :: M&M ends over 4% down on weaker demand outlook

>> Shares slipped 7 per cent to Rs 790 in intra-day trade after the management said the tractor industry is expected to grow in low single-digits during the financial year 2021-22 (FY22), with the company focused on gaining market share.

3:54 PM

STOCK OF THE DAY :: Reliance Ind jumps 3% on heavy volume

>> Over 2 million shares changed hands on the counter on the BSE today

>> A large trade of 1.65 lakh shares occured on the BSE at Rs 2,158 apiece at 1:23 PM

3:50 PM

NSE Snapshot :: Top Nifty50 gainers of the day

3:48 PM

Index contributors :: RIL, ICICI, HDFC Bank lift Sensex

3:46 PM

Sectoral trends on the NSE

Top gainer: Metal index zooms 2%

Top loser: Media, PSU Bank index decline up to 1%

3:42 PM

Sensex Heatmap at Close :: RIL zooms 9% in 2 days; M&M cracks

3:35 PM

CLOSING BELL

RIL, up nearly 3 per cent on the National Stock Exchange (NSE), single-handed lifted the frontline Nifty50 index to record peak of 15,606 in the intra-day session today while other index contributors rallied between 0.5 per cent and 3 per cent. 

 

By close, the Nifty index quoted at 15,583 levels, up 147 points or 0.95 per cent. About 39 of the 50 constituents on the index settled the day in the green while 11 constitunts settled in the red including M&M (down 4.4 per cent), Adani Ports, L&T, Sun Pharma, and Indian Oil Corporation.

 

Meanwhile, on the BSE, the Sensex index zoomed 590 points in intra-day session and hit a high of 52,013. It, however, pared minor gains and closed at 51,937, up 515 points or 1 per cent.

3:26 PM

Volatility Alert

Volatility index, India VIX, cools off 3% to 16.9 levels.

3:13 PM

NEWS ALERT :: OECD raises growth forecasts on vaccine rollouts, US stimulus, reports Reuters

The global economic outlook is improving as vaccine rollouts allow businesses to resume operations and as the United States pumps trillions of dollars into the world's largest economy, the OECD said on Monday, nudging its forecasts higher.

3:02 PM

Heatmap: S&P BSE Sensex gainers and losers at this hour

2:55 PM

Second Covid-19 wave impact manageable for most of India Inc: Fitch

The impact of the second Covid-19 wave on rated Indian firms is expected to be manageable, as most companies’ credit profiles are supported by their strong market positions, adequate balance sheets, liquidity and diversified operations, Fitch Ratings says. They have the flexibility to adjust costs and key business drivers, until operations recover with the easing of restrictions. READ MORE

2:45 PM

COMMODITY VIEW :: GOLD

Gold prices traded higher, hovering around the key $1,900-level after U.S. consumer prices were reported better than expected in April hence supporting the metal as an inflation hedge. U.S. consumer prices surged in April, with a measure of underlying inflation blowing past the Federal Reserve's 2% target. The White House last week sent Congress a $6 trillion budget plan which would focus on infrastructure, education and combating climate change. This is budget plan is considered with an objective to support the economy although, it also increases the markets worry regarding the increasing debt. In this data heavy week, market participants today will focus on GDP data on domestic front. Focus will also be on the manufacturing and Service PMI data from major economies and U.S. non-farm payroll data scheduled this later week.  Broader range on COMEX could be between $1898- 1925 and on the domestic front prices could hover in the range of Rs 49,100- 49,630.

-- Navneet Damani, VP – Commodities Research, Motilal Oswal Financial Services

2:36 PM

MARKET UPDATE:: RIL, ICICI Bank, and HDFC Bank top contributors to Sensex's 500-point rally today

2:31 PM

This RK Damani, Rakesh Jhunjhunwala-owned stock has gained 56% in 3 days

Shares of Prozone Intu Properties were locked in the 10 per cent upper circuit band for the second straight day, at Rs 31.75 apiece, on the BSE on Monday with only buyers rushing to the counter. In the past three days, the stock has zoomed 56 per cent from a level of Rs 20.40 seen on Wednesday, May 26 and was trading at its highest level since May 2019. In the past one month, the stock has rallied 84 per cent as compared to a 6 per cent rise in the S&P BSE Sensex. READ MORE

2:18 PM

MARKET CHECK :: Sensex at day's high

2:09 PM

MARKET INSIGHT :: Nifty at record peak but stay cautious

Benchmark indices hit record highs in today’s trading session with Nifty touching all-time high of 15,573 intraday, led by Reliance, which has broken out of the consolidation zone, and since it has a major weightage in Nifty, its positive movement is bound to be good news for the markets. Banking & IT stocks have also supported the current rally, including the likes of SBI, ICICI Bank, Axis Bank, TCS & Infosys, to name a few. Even the derivatives data continues to be extremely bullish, which further adds to the up move. And all this on the day, when Asian markets remain weak. Receding lockdown fears and hope of better economic recovery in coming quarters, is supportive. However, as markets are at record levels, they generally tend to be extremely volatile, so caution should not be abandoned.


Views by: Aamar Deo Singh, Head Advisory at Angel Broking

1:59 PM

European markets check

(Source: Reuters)