Market slightly stable amid volatile trading, Sensex rises 170 points

The BSE Sensex was up 169.51 points, or 0.29 per cent, at 59,500, while the Nifty 50 was up 44.60 points, or 0.25 per cent, at 17,648.95. During the session, both the indices oscillated between a gain of 0.6% and a fall of 1.1% before gaining a notch each.

Meanwhile, the nifty bank The index rose 0.10 percent to 40,387.45.

Bajaj Finance, Adani EnterprisesUltraTech Cement, Bajaj Finserv and Asian Paints were among the top Nifty gainers, while Tata Power Grid, Bajaj Auto, IndusInd Bank, LT and JSW Steel were among the biggest losers.

Twenty-six of the Nifty 50 constituents advanced while 24 declined.

“Continuing the bearish momentum from last week, Nifty narrowed the gap and moved down to cross last week’s low of 17493. On the downside, it took support near 17400 and turned bullish towards the end of the session. Recovered, resulting in a positive daily result, Nifty has managed to stay above the September-December 2022 uptrend and 61.8% retracement of the 200 DEMA, which is near 17550. This makes today’s low of 17405 an important support. On the higher side, the index may test 17800, which will now act as a resistance as per the principle of role reversal.” Gaurav Ratnaparkhi, head of technical research at Sharekhan by BNP Paribas, said

On BSE indices, power and oil and gas indices fell 5.3 per cent and 4 per cent, while capital goods and metals indices fell 1 per cent each. The Information Technology index rose 1 percent.

Adani Group The shares traded jointly with Adani Enterprises are the only shares in green. Four Adani Group stocks hit back-to-back lower circuits, while others were under pressure. The market valuation of seven listed stocks of the Adani Group saw a decline of over Rs 1,75,522 crore on Monday.

“Adani’s response had a mixed effect on the stock group and the market. The saga is likely to continue as a hanging risk in the minds of investors in the medium term. To expect a scientific assessment report by a strong independent third party or the government is bearish in the short term. Market focus will now be on the budget and Fed policy,” said Vinod Nair, head of research at Geojit Financial Services.

The rupee appreciated 9 paise to close at 81.50 (provisional) against the US dollar in limited trade on Monday tracking a weak greenback and fall in crude oil prices overseas.

Anuj Chowdhary – Sharekhan by Research Analyst BNP Paribas

“We expect the rupee to trade with a slight downside bias amid a weak tone in domestic markets and expectations that the US dollar may rise on safe haven appeal. Month-end dollar demand from importers and selling pressure from FIIs also May put downside pressure on Rupee. Traders may remain cautious ahead of India’s Union Budget and US FOMC meeting later this week. USDINR spot price is expected to trade in a range since 81 82.20,” added E.

Foreign institutional investors (FIIs) on Friday turned net sellers in the capital market as they offloaded shares. 5,977.86 crore, according to exchange data on Friday amid losses in Indian equities due to selling led by Adani Group.

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