BSE Sensex and Nifty extended their record run today gaining nearly 0.3 per cent in early trade. The Sensex rose nearly 100 points at its day's high, touching 27,969. Nifty rose to 8,350 to its day's high.
But Indian markets struggled to hold on to their gains amid profit-taking after the record rally, which was Indian markets gaining for the tenth time in last eleven sessions.
Renewed buying from foreign institutional investors, announcement of reform measures and a rally in global markets have seen Nifty rally from 7,750 levels.
On Friday, the announcement of the surprise stimulus measures from Bank of Japan saw Sensex and Nifty rally nearly 2 per cent. It also triggered a rally in global markets on Friday. Besides that Indian markets saw foreign institutional investors buying nearly Rs 1,750 crore worth of domestic equities on Friday.
Gautam Shah, senior vice president at JM Financial Services, says the momentum is in favour of the bulls and Nifty could touch 8,450 in the immediate run. "The technical set-ups of the market at this point don't point out the market losing ground immediately," he adds. Mr Shah has a Nifty target of 8600 for the year-end.
At 9:42 am, the Sensex was down 21 points at 27,844 while Nifty fell 7 points to 8,314. Putting pressure on the Sensex was auto stocks which came under selling pressure after disappointing October sales from many automakers. Hero MotoCorp, M&M, Bajaj Auto and Maruti were down between 1-2 per cent.
Banking stocks also struggled on profit-taking after their recent outperformance. Kotak Mahindra Bank and ICICI Bank fell nearly 0.8 per cent.
Some buying was seen in IT stocks with TCS and Infosys up nearly 1 per cent. The market breadth was however strong with BSE midcap and smallcap stocks rising nearly 0.4 per cent.
Asian markets were mixed today with after data showed China's services sector grew at its slowest pace in nine months in October as a cooling property sector weighed on demand, a survey showed on Monday, adding to signs of fragility in the world's second-largest economy.
The official non-manufacturing Purchasing Managers' Index (PMI) fell to 53.8 in October from September's 54.0, which was the weakest reading since January, the National Bureau of Statistics said. (With Agency Inputs)
No comments:
Post a Comment