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Taking Stock | Market ends flat amid volatility; oil & gas, metals gain, banks drag

Among sectors, the Nifty metal index rose 1.6 percent, auto added 1.2 percent and the energy index jumped 1 percent but the Nifty Bank ended 0.5 percent lower

June 28, 2022 / 05:03 PM IST

Indian shares ended flat after a highly volatile session on June 28, with the 30-pack Sensex closing 16.17 points, or 0.03 percent, higher at 53,177.45 and the Nifty was up 18.20 points, or 0.11 percent, at 15,850.20.

The market started a weak note on negative global cues but made some headway mid-session to end flat helped by buying in auto, metal and oil & gas stocks.

"While the confluence of factors like war, oil and currency strength of India tempted FIIs to book profits on the back of premium valuations relative to its peers, the narrative could likely change if any of the above factors were to alter going forward," said S Ranganathan, Head of Research at LKP Securities.

As the rupee hit a fresh low, selective buying interest was seen in exporting companies as smart investors bargain hunted putting global macro worries behind, he said.

It was a range-bound trading session as the GST Council meeting got underway. Autos displayed strength yet again on the back of new launches ahead of monthly numbers, Ranganathan added.

Close

ONGC, Hindalco Industries, M&M, Coal India and HDFC Life were among the top Nifty gainers. Titan Company, Asian Paints, Bajaj Finserv, Divis Labs and Adani Ports were among the biggest losers on the index.

Among sectors, the Nifty metal index rose 1.6 percent, Nifty Auto added 1.2 percent and the Nifty energy index jumped 1 percent. The Nifty Bank index, however, shed 0.5 percent.

Stock and sectors

On the sectoral front, BSE auto, metal and oil & gas indices rose 1-2 percent, while some selling was seen in financial names.

The BSE midcap and smallcap indices were in line with the benchmarks, ending with marginal gains.

A long build-up was seen in ONGC, Hindalco Industries and Vedanta, while a short build-up was seen in Chambal Fertilisers, Indian Energy Exchange and Astral.

Among individual stocks, a volume spike of more than 100 percent was seen in Indiabulls Housing Finance, RBL Bank and Muthoot Finance.

On the BSE, Phoenix Mills, Mahindra & Mahindra and Kohinoor Foods touched their 52-week highs. On the other hand, Wockhardt, Muthoot Finance, Star Health and Allied Insurance Company, IDBI Bank and Chambal Fertilisers & Chemicals sank to their 52-week low.

Outlook for June 29

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities

After an early morning sell off, the Nifty took support near 15,700 and bounced back sharply towards later in the day. It also formed a small bullish candle on daily charts.

We are of the view that as long as the index trades above 15,750, the uptrend is intact and the index can move to 15,950-16,000 levels.

A fresh round of selling is possible if the index slips below 15,750 and can even retest 15,700-15,650.

Rupak De, Senior Technical Analyst, LKP Securities

The Nifty remained volatile before closing with a green candle formation. On the lower end, 15,650-15,700 will be the support for the near term.

The momentum indicator Relative Strength Index (RSI) is in a bullish crossover and is rising. The trend looks positive as long as the index sustains above 15,650. On the higher end, 15,900-16,000 may continue to act as resistance.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

 
Rakesh Patil
first published: Jun 28, 2022 05:03 pm
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