Closing Bell: Sensex, Nifty end flat amid volatility; power gains, PSU Banks drag

Taking Stock: Market ends flat amid volatility; midcap, smallcap outperform

BSE midcap and smallcap outperformed the benchmarks as both the indices touched fresh record highs in the today's trading session... Read More

Nifty swung between gains and losses on August 22 and closed almost flat despite supportive global markets. At close, Nifty was up 0.01% or 2.9 points at 19396.5. Volumes on the NSE continued to be on the lower side. Broad market indices gained 0.9-0.95% outperforming the Nifty even as the advance decline ratio remained firm at 1.79:1.

Global stocks extended their comeback rally on Tuesday. Asian stock markets snapped an eight-day losing streak on Tuesday, helped by a rebound in beaten-down Chinese shares. European stocks rose driven by a 1.8% jump in the tech sector on optimism surrounding the world's most valuable chipmaker Nvidia ahead of its quarterly results on Wednesday. Meanwhile in the US, benchmark 10-year yields climbed to 4.366% - their highest level since 2007 and up almost 40 bps month-to-date.

Nifty failed to build on the gains of the previous session and witnessed a 62 point high low range, which is the smallest since June 05, 2023. 19310-19483 could be the trading band for the Nifty in the near term.

The Nifty opened on a positive note and witnessed yet another range bound day of trade. It closed marginally in the green up ~3 points. On the daily charts we can observe that the Nifty has not been able to surpass the resistance trend line and has been successful restricting the rise. On the downside the 40-day moving average (19362) is acting as a crucial support level and absorbing all the selling pressure. Thus, the Nifty is stuck in between a range and until the Nifty trades below the 19450 – 19500 zone we can expect the selling pressure to persist. We shall continue to maintain our negative outlook on the index. On the downside we expect the Nifty to target levels of 19100. Crucial support is placed at 19250 – 19200 while Immediate hurdle is placed at 19480 – 19500.

Bank Nifty has tried to sustain above 44000 however as the day progressed it witnessed selling pressure and closed marginally in the red. The pullback towards key hourly moving averages placed in the range 44000 – 44100 is providing a stiff resistance. Unless the Bank Nifty manages to sustain above the resistance zone we can expect the selling pressure to continue. On the downside the Nifty Bank Nifty can slip towards 43500 from short term perspective.

The Indian rupee appreciated versus the US dollar, after broadly consolidating in a narrow range for the last four days. The rupee is within a whisker of a record low, but the central bank intervention in anticipation of large inflows from the primary market supporting the local unit in the near term.

In the short term, spot USDINR is expected to consolidate between 82.80 to 83.15 while the medium-term trend remains bullish as long as it trades above 82.50.

Markets ended flat with a positive bias in an extremely lacklustre trading session, as traders preferred to stay on the sidelines after the choppy trades over the past week or so. Despite the range-bound session, buying activity was seen in power and capital goods stocks, while IT stocks fail to delivery, despite a strong upsurge in the tech-heavy Nasdaq in overnight trades.

On the technical front, the market is witnessing a non-directional activity on the higher side and finding resistance near 19450, while on the lower side the index is regularly taking support near 19375. Any fresh uptrend is possible only after the dismissal of 19450, and above the same the index could rally till 19500-19525. On the flip side, dismissal of 19375 could accelerate the selling pressure and the index could slip till 19325-19300.

Markets traded range bound and ended almost unchanged amid mixed cues. After the marginal uptick, the Nifty oscillated in a narrow band and finally settled around the day’s low to close at 19396.45 levels. Meanwhile, a mixed trend on the sectoral front kept the traders busy wherein metal, FMCG and auto attracted buying while banking and IT ended subdued. Amid all, buoyancy on the broader front was the key highlight as both midcap and smallcap edged higher and gained nearly a percent each.

We see the recent rebound as a counter move within the corrective trend as Nifty has multiple hurdles to cross to change the tone. Meanwhile, a mixed trend across sectors is offering opportunities on both sides. Participants should align their trades accordingly while keeping a check on position size.

The markets started the day on a flat note and due to lack of market participation, the Index remained rangebound throughout the day and settled at 19,396.45 with gains of 2.85 points. On sector-wise performance, Metal and FMCG were the top performers; on the flip, Pharma and PSU Banks were the laggards. While Nifty50 remained rangebound, Mid and Smallcap indices outshined by ending the session with gains of 1.10% and 0.81% respectively. By forming a bearish candle, once again, Nifty50 stuck in the range of 19,300-19,470.

Despite the support of positive international markets, Indian equities struggled to maintain their upward momentum due to lingering apprehensions over ongoing global uncertainties. Sectors closely tied to the Western economy, such as IT and pharma, faced challenges, while domestic-oriented sectors, alongside mid- and small-caps, exhibited resilience and gained traction. The influence of higher bond yields and concerns about potential rate hikes in the US is prompting FIIs to withdraw funds from the domestic market, contributing to the market's volatility.

Indian rupee ended 18 paise higher at 82.93 per dollar on Tuesday against Monday's close of 83.11.

Indian benchmark indices ended on a flat note in the volatile session on August 22.

At close, the Sensex was up 3.94 points or 0.01 percent at 65,220.03, and the Nifty was up 2.90 points or 0.01 percent at 19,396.50. About 2150 shares advanced, 1390 shares declined, and 124 shares unchanged.

Adani Enterprises, HDFC Life, ITC, NTPC and Hero MotoCorp were among the top gainers on the Nifty, while losers were BPCL, Cipla, Bajaj Finserv, Eicher Motors and TCS.

Among sectors, except information technology, pharma and PSU Bank, all other indices ended in the green with capital good and power adding 1 percent each, while metal and FMCG rose 0.5 percent each.

The BSE midcap and smallcap indices rose a percent each.

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The public issue of Aeroflex Industries was subscribed 4.72 times, cumulative data available on BSE showed. It garnered applications for 10.96 crore shares against on offer 2.32 crore shares. The quota reserved for retail investors was subscribed 5.01 times, followed by 9 times for non-institutional investors and 2.05 times for shareholder quota. Qualified institutional buyers bought 1.05 times the reserved portion.

With this IPO, the Mumbai-based firm intends to raise Rs 351 crore, at the upper price band. The IPO comprises fresh issuance of shares worth Rs 162 crore, and an offer-for-sale (OFS) of 1.75 crore shares by promoter entity SAT Industries.

The initial public offering (IPO) of Pyramid Technoplast continues to get a good response from investors despite volatility in the market. The offer had got bids for 11.53 crore equity shares against the IPO size of 75.6 lakh shares, with the issue subscribed 15.26 times by the afternoon of August 22, the final day of bidding.

High networth individuals (HNIs) and retail investors bought 27.47 times and 13.13 times their allotted quotas. The portion set aside for qualified institutional buyers (QIBs) has been subscribed 3.78 times.

The polymer-based molded products maker has reserved the half the offer size for retail investors, 30 percent for QIBs and the remaining 20 percent for HNIs.