Profit booking in the last hour led to benchmark indices losing most of the morning gains on January 9. Nervousness ahead of the earnings season kickoff and weakness in the Asian market kept investors on their toes.
The Sensex closed 30.99 points, or 0.04 percent, higher at 71,386.21, while the Nifty gained 31.85 points, or 0.15 percent, to end the day at 21,544.85. Among sectors, banking stocks saw selling while realty and auto stocks were in demand
The market breadth was broadly in favour of gainers. About 2,243 shares advanced, 1,602 declined and 99 remained unchanged.
"Positive sentiments in the Indian IT sector fuelled by a US tech rally and demand on emerging technologies, overshadowed the anticipated muted Q3 results of the sector. Auto & realty continued to remain favourites on account of strong demand,” said Vinod Nair, Head of Research, Geojit Financial Services.
“Market optimism about potential softening of US inflation is driving expectations of near-term rate cuts, bolstering overall sentiment. But in-between profit booking is emerging due to mixed cues from Asian markets as well high valuation concerns."
Broader market indices also managed to eke out some gains. Nifty SMallcap 100 added 0.44 percent while Nifty Midcap 100 rose 0.16 percent. Nifty 500, the broadest index on NSE, jumped 0.22 percent.
Stocks & Sectors
Sectoral matrix was mixed. Nifty Realty that rose 2.52 percent was the biggest gainer. Nifty Healthcare that added 1 percent and Nifty Auto that also advanced about a percent were other top gainers. Nifty Media was the biggest loser down 3.32 percent, thanks to heavy selling in Zee Entertainment. Nifty Bank and Nifty Financial Services were others that closed with cuts.
| Index | Prices | Change | Change% |
|---|---|---|---|
| Sensex | 80,710.76 | -7.25 | -0.01% |
| Nifty 50 | 24,741.00 | 6.70 | +0.03% |
| Nifty Bank | 54,114.55 | 39.10 | +0.07% |
| Biggest Gainer | Prices | Change | Change% |
|---|---|---|---|
| Eicher Motors | 6,580.50 | 155.50 | +2.42% |
| Biggest Loser | Prices | Change | Change% |
|---|---|---|---|
| ITC | 407.35 | -8.55 | -2.06% |
| Best Sector | Prices | Change | Change% |
|---|---|---|---|
| Nifty Auto | 26320.60 | 325.75 | +1.25% |
| Worst Sector | Prices | Change | Change% |
|---|---|---|---|
| Nifty IT | 34635.80 | -507.30 | -1.44% |
In the Nifty 50 pack, Hero MottoCorp was the biggest gainer, rising 2.88 percent. Adani Ports, SBI Life Insurance, Adani Enterprises and Apollo Hospitals were other big gainers of the day, rising more than 2 percent each.
Britannia Industries was the biggest loser, down 1.22 percent. Bajaj Finserv, Nestle India and HDFC Life Insurance ended with losses.
OUTLOOK for Jan 10
Ajit Mishra, SVP - Technical Research, Religare Broking
The rebound attempt in Nifty shows that bulls are not in mood to loosen their grip easily and supportive global cues could prompt next leg of up move. Meanwhile, participants should limit trades and prefer hedged bets.
Prashanth Tapse, Senior VP (Research), Mehta Equities
Markets gyrated sharply in volatile trades as key indices erased most of their early gains to end marginally higher amid selective buying in auto, realty, metals and oil & gas stocks, whereas banking stocks fell the most. A sharp jump in crude oil prices and fresh uptick in US bond yields have made investors jittery, which dampened the sentiment.
Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities
The Bank Nifty index is currently facing a strong hurdle at the 48000 mark, where a significant buildup in open interest is observed on the call side. The immediate support for the index is positioned at the 47000-46900 levels. A breach below this support zone is likely to trigger aggressive selling pressure, potentially leading to further downside momentum.
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