Strong rise in Sensex, Nifty during the trading hours of Diwali Muhurta
Indian equity benchmarks showed strong gains, hitting a one-month high during Muhurta trading hours on Monday to mark the start of Hindu Samvat year 2079.
Investors place bets on the exchange system available between 6.15 pm to 7.15 pm, following their predictions about which stocks will be profitable and auspicious. Many traders believe that profits made during “Muhurta”, which is Hindi for “auspicious”, promise wealth and prosperity in the coming year.
The 30-share BSE Sensex index ended 524.51 points or 0.88 per cent higher at 59,831.66, and the broader NSE Nifty-50 index rose 162.15 points or 0.92 per cent to end the first session of the Hindu Samvat. Year 2079 at 17,738.45 hrs.
Nestle India, ICICI Bank, L&T, SBI, HDFC, HDFC Bank and Dr Reddy’s were among the gainers on the Sensex, rising up to 2.92 per cent. Only two stocks, Hindustan Unilever and Kotak Mahindra Bank, closed in the negative, falling up to 3.05 per cent each.
Brokers said once investors started accessing their new books during the first session of Samvat 2079, buying activity picked up.
Sasken, which opened up around 15 per cent, Borosil Renewables, which gained over 5 per cent, and Tejas Networks, which rose nearly 6 per cent, were some of the BSE stocks that saw the highest activity during the hour.
Nestle India, HDFC Bank, Berger Paint and Grasim were the top performers on the BSE Largecap index, rising 56.50 points. IDBI, Federal Bank, JSW Energy and Natco Pharma were the most active stocks on the BSE Midcap index.
The most active stocks on Nifty were Tata Motors, ICICI Bank, Asian Paints, Axis Bank and Tata Steel. Nifty Bank performed brilliantly with a gain of 525 points.
“Even though Samvat 2078 ended with marginally negative returns, the most striking feature of the past year was India’s distinctive performance. The MSCI World Index and the MSCI Emerging Markets Index declined 23 per cent and 33 per cent, respectively, with the Nifty leading the way. Performed extremely well. Only marginal reduction of 3 per cent,” VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services told PTI.
“This outperformance in a year after the war in Europe and rising inflation and interest rates in the developed world reflects India’s resilience,” he said.
Bollywood actor Ajay Devgan rings the first bell of Muhurta. Girish Joshi, Head of Listing Business, BSE, Sameer Patil, Chief Trust Officer and Nayan Mehta, Chief Financial Officer were also present on the occasion.
Indian stock markets remained closed for trading on the occasion of Diwali on Monday instead of their regularly scheduled trading hours.
both Indian equities The benchmark had risen on Friday to post gains for the sixth consecutive session.Defying the sell-off of broader global risk assets.
in global markets, UK bonds surge after Rishi Sunak becomes UK’s new prime minister After Penny Mordaunt withdrew from the race on Monday.
Investors expect Mr. Sunak to restore credibility to economic policy making and help calm the country’s volatile markets.
Global equities were mixed on Monday, with advanced markets rising and emerging market stocks falling, mostly due to significant selling in China.
Chinese blue-chip stocks are down nearly 3 per cent. By comparison, Hong Kong shares fell 6.4 percent, the most in a day since the financial crisis, following Xi Jinping’s record-breaking third term as president and the election of a top executive body with his supporters .
Xiaojia Xie, Chief China Economist at Credit Agricole CIB, told Bloomberg: “On concerns of a shift toward more state control versus a market-driven approach under the new leadership team, market sentiment could remain cautious on China in the near future. ” , “The way out of zero-Covid is not clear yet.”
Chinese economic data that was delayed last week and published on Monday showed a mixed improvement.With retail sales weakening despite rising unemployment and accelerating growth.
On Monday, news that the Federal Reserve was debating lowering interest rates and perhaps announcing a step back at its November meeting helped substantially spur a stock recovery that began late on Friday on Wall Street. .
According to Fed policymakers Mary Daly of the San Francisco Fed and James Bullard of the St. Louis Fed, the pace of tightening will be the main topic of discussion for any policy decisions made at the November meeting.
“What this means for the markets is that rates and the FX market may now be more sensitive to incoming economic data and any evidence of financial market stress,” Derek Halpenny, head of research at MUFG, told Reuters.
The STOXX 600 climbed on the day European indices advanced beyond a week dominated by earnings.
US futures rose as investors await an upcoming round of earnings from some of the world’s largest corporations. Treasury yields fell, but the dollar rose.
Investors’ attention this week will be divided between the direction of US interest rates and the profits of mega-cap technology companies, one of the main drivers of the S&P 500’s profit growth.
This week, the focus will be on the earnings of the five biggest tech companies by revenue — Apple, Microsoft, Alphabet, Amazon and Meta Platforms, which are expected to post the worst decline in profitability in three years, according to data from Bloomberg. Was doing. ,
“It’s clear that demand is slowing down, but so far we’ve seen pockets of technology like software, cloud computing,” said Laura Cooper, senior investment strategist at BlackRock International on Bloomberg TV.
“We’ll be watching for any signs of a crackdown that could put a dent in some of these earnings expectations.”