Closing Bell: Sensex up 843 points, Nifty above 24,750 as market makes a sharp recovery

Indian equity indices ended on strong note with Nifty above 24,750 on December 13. At close, the Sensex was up 843.16 points or 1.04 percent at 82,133.12, and the Nifty was up 219.60 points or 0.89 percent at 24,768.30.

We wrap up today's edition of the Moneycontrol live market blog, and will be back Monday morning with all the latest updates and alerts. Please visit https://www.moneycontrol.com/markets/global-indices for all the global market action.

Nifty witnessed wild swings today and closed in the positive up ~220 points. On the daily charts, we can observe that the Nifty has tested the 20-day moving average (24200) and witnessed a sharp upmove. The Index has formed an Inside Bar candle stick pattern on the weekly charts and thus making the extremes of the previous candle i.e. 24858 – 24009 crucial levels to watch out for the upcoming week.

We expect the pattern to break out on the upside and continue with the positive momentum towards 25125 during the upcoming week. On the downside 24420 – 24400 is the crucial support zone. As far as derivative data is concerned, 24600 CE saw a sharp short covering and Put writing was witnessed at 24500 – 24400 strikes. The Nifty Weekly PCR witnessed an improvement from 0.70 to 1.04, suggesting a Bullish sentiment. Overall, we expect positive momentum to continue.

Markets quickly bounced back from its weak opening and surged ahead in intra-day trades as moderating inflation and uptick in IIP growth numbers enthused investors to resort to value buying in banking, IT and telecom stocks.

#1 Friday’s big surge intra-day helps market turn positive for the week

#2 IT Stocks lend support to market, Nifty IT index up nearly 7 percent in 2 weeks

#3 Sensex & Nifty gain 0.4 percent each, Nifty Bank up 0.1 percent & Midcap index up 0.5 percent

#4 PSU Banks & FMCG stocks were amongst major drags this week

The final trading session of the week was a roller-coaster ride, with Nifty experiencing sharp swings in both directions before ending at 24.768.30 level nearly 1% higher. Sectoral indices mirrored this volatility, with FMCG, IT, and banking leading the gains, while metals and realty ended in the red. The broader indices also saw choppy trading but managed to close flat.

Nifty's strong close near the day’s high suggests the potential for further upside, with confirmation expected above the 24,800 level. We maintain a positive outlook on the IT and banking sectors, recommending selective picks from others. Participants should align their strategies accordingly, prioritizing risk management to navigate market volatility effectively.

The domestic market smartly recovered from the day’s low and moved out of the consolidation path led by index heavyweights. A gradual easing in food inflation and a price hike by FMCG companies, along with a recent correction in valuation, supported the sector to outperform. Currently, the market is anticipating a revival in consumer spending, driven by the festive season and year-end holidays, adding to the sentiments. Additionally, expectation of an increase in US spending is propelling the IT sector.

The equity market in India witnessed a roller-coaster session on the day of the Sensex weekly expiry. On the lower end, the Nifty found support around the neckline of the inverse head-and-shoulders pattern, completing a retest before rallying towards higher levels.

Today's low also coincides with the 38.2% retracement level of the previous rally. Going forward, the trend is likely to remain strong, with the potential to reach 25,000 and higher in the short term. On the lower end, support is placed at 24,550.

Indian rupee ended 7 paise higher at 84.79 per dollar on Friday versus Thursday's close of 84.86.

Indian equity indices ended on strong note with Nifty above 24,750 on December 13.

At close, the Sensex was up 843.16 points or 1.04 percent at 82,133.12, and the Nifty was up 219.60 points or 0.89 percent at 24,768.30. About 1741 shares advanced, 2086 shares declined, and 114 shares unchanged.

Biggest Nifty gainers were Bharti Airtel, Kotak Mahindra Bank, ITC, UltraTech Cement, HUL, while losers included Shriram Finance, IndusInd Bank, Tata Steel, Hindalco, JSW Steel.

BSE Midcap and Smallcap indices ended on flat note.

On the sectoral front, auto, bank, FMCG, telecom rose 0.5-2 percent, while realty, metal and media shed 0.5 percent each.

Brookfield India Real Estate Trust has raised Rs 3,500 crore by selling units to institutional investors through QIP issue mainly to reduce debt.

In a regulatory filing on Friday, the company said it has successfully completed a capital raise of Rs 3,500 crore through a qualified institutional placement (QIP) of units. The issue was launched on December 9.

The issue saw strong demand from long-term investors including a mix offerings from institutions, mutual funds, and life insurance companies. ”The issue marked the first REIT investments in India from the International Finance Corporation (part of the World Bank group) and Life Insurance Corporation of India,” Brookfield India REIT said. Other anchor investors included SBI Mutual Fund and ICICI Prudential Mutual Fund.

QIB – 15.66 times

NII - 3.86 times

Retail – 0.94 times

Overall – 5.62 times

QIB – 40.53 times

NII - 12.89 times

Retail – 2.07 times

Overall – 15.38 times

QIB – 61.83 times

NII - 93.64 times

Retail – 117.97 times

Overall – 80.71 times

Indian Rupee recovered from all-time lows today on decline in inflation and upbeat IIP data. India’s CPI inflation cooled off to 5.48% y-o-y in November 2024 vs 6.21% in October 2024 and in line with forecast of 5.5%. IIP grew by 3.5% y-o-y in October 2024 vs 3.1% in September 2024. Positive domestic markets also supported the Rupee. US Dollar rose on disappointing economic data from the UK and Germany.

We expect Rupee to trade with a negative bias on strong US Dollar and elevated crude oil prices. FII outflows may also pressurise the Rupee. however, a positive domestic equities and better than expected macro-economic data may support the Rupee at lower levels. USDINR spot price is expected to trade in a range of Rs 84.65 to Rs 85.05.

The Securities and Exchange Board of India (SEBI) has emphasized its commitment to refining the framework governing retail participation in algorithmic trading.

SEBI plans to review and enhance existing guidelines to ensure a robust regulatory structure.

Additionally, the regulator clarified that brokers offering algorithmic trading services must first secure permission from the relevant exchanges, underscoring the importance of oversight and compliance in this evolving market segment.

India's passenger vehicle sales witnessed a dip in November, falling to 347,522 units from 393,238 units recorded in October, as per data from the Society of Indian Automobile Manufacturers (SIAM). The decline was observed across various segments: local car sales dropped to 97,186 units from 107,520 units, while utility vehicle sales slipped to 192,684 units from 225,934 units. Additionally, the two-wheeler segment saw a significant fall, with sales declining to 1.605 million units from 2.164 million units in October.

QIB – 7.06 times

NII - 1.89 times

Retail – 0.64 times

Overall – 2.67 times

QIB – 8.19 times

NII - 70.38 times

Retail – 101.56 times

Overall – 42.13 times

The company, through its subsidiary Estorifi Solutions, has acquired a 50 percent stake in Walnut AI Pte for $2 million.

The RP-Sanjiv Goenka Group company has announced a partnership with WebID Group, a leading digital identification provider.

The partnership will further strengthen their trust and safety offering by enhancing platform security, optimizing the online identity process, and reducing potential fraudulent or malicious actors.

National Highways Logistics Management (the SPV of National NHAI) has declared the company as the highest bidder and has accepted the company’s proposal for developing, operating, and maintaining wayside amenities on the Hyderabad–Visakhapatnam Expressway in the Khammam–Devarapalle section on a lease basis.

The estimated annualized revenue from 4 sites is Rs 300 crore from the fourth year of operations.

The company's subsidiary, Adani Renewable Energy Holding Nine, has incorporated three wholly-owned subsidiary companies: Adani Green Energy Sixty Five, Adani Green Energy Sixty Six, and Adani Green Energy Sixty Seven.

Ravi Sharma has resigned from the post of Chief Financial Officer of the company, effective December 12.

Kolte-Patil Developers announced its foray into the Navi Mumbai market with the launch of mixed-use development project ‘La Vita’ in the heart of sector 2, Vashi.

QIB – 3.04 times

NII - 7.73 times

Retail – 1.62 times

Overall – 3.34 times

QIB – 4.19 times

NII - 1.15 times

Retail – 0.57 times

Overall – 1.69 times

QIB – 1.52 times

NII - 58.39 times

Retail – 92.18 times

Overall – 33.51 times

The company has clarified that its thermal plant at Ratnagiri does not have any gas storage facility and is not involved in the recent incident of gas release as reported in the media.

The company prioritizes the safety and well-being of employees, the community, and the environment. It adheres to stringent safety protocols and continuously monitors operations to ensure they meet the highest standards.

The manufacturing operations at the MDF plant of the company’s wholly owned subsidiary Greenply Speciality Panels in Vadodara, Gujarat, have been closed effective December 11 due to the breakdown of machinery. Necessary steps are being taken to resolve the issue, and the facility is likely to resume production in the next few days.

The Sensex was down 7.63 points or 0.01 percent at 81,282.33, and the Nifty was down 23.55 points or 0.10 percent at 24,525.15. About 1139 shares advanced, 2217 shares declined, and 94 shares unchanged.

Asian equities fell Friday as a lack of details from a Chinese economic conference disappointed some traders and risk appetite weakened ahead of next week’s Federal Reserve meeting

The Reserve Bank of India has approved the appointment of Manish Jain as Executive Director of Yes Bank for a period of 3 years, effective December 11.

The Board has appointed Anish T Mathew as Chief Financial Officer of the company, effective December 13, after R K S Prasad stepped down as Chief Financial Officer of the company, effective December 12.

As part of his transition to retirement, scheduled for March 31, 2025, R K S Prasad will continue with the company in an advisory capacity, designated as the Group Financial Advisor.

Waaree Energies shares snapped a seven-day winning streak and dropped 4 percent on December 13 as investors rushed to cash in profits off the stock's recent bull run. The stock had run up over 20 percent in the last seven sessions, giving investors plenty of room to book partial profits.

At 10.51 am, shares of Waaree Energies were trading at Rs 3,193 on the NSE. Despite the fall, shares of Waaree Energies are still sitting on over 10 percent gains for the past week.

The recent upmove in the stock has been on the back of a few positive developments that strengthened sentiment around the company. This week the company bagged two back-to-back orders which helped trigger gains.

The Sensex was down 978.39 points or 1.20 percent at 80,311.57, and the Nifty was down 294.35 points or 1.20 percent at 24,254.35. About 787 shares advanced, 2504 shares declined, and 94 shares unchanged.

QIB – 0.51 times

NII - 5.40 times

Retail – 1.36 times

Overall – 1.98 times