Share Market Highlights: Sensex ends at 49,661, Nifty above 14,800; SBI, ICICI Bank among top gainers

Share Market News Today | Sensex, Nifty, Share Prices Highlights: Domestic benchmark indices began the day’s trade flat, but helped by the RBI’s MPC, Sensex and Nifty surged higher and closed with gains.

Domestic equity markets ended in the green on Wednesday, helped by the Reserve Bank of India’s first MPC meet of the current fiscal year.

“The restart of the long-term repo operations is going to anchor overnight rates, reduce the arbitrage in the on-shore offshore rates, and slowly create ground for the eventual narrowing of the repo corridor.

Although Nifty 50 is up 137 points or 0.93%, it has still failed to regain 14,900 — a crucial resistance zone according to technical analysts.

All Sectoral indices on the NSE were sitting with gains ahead of the closing bell.

Sensex is up 500 points sitting above 49,700 while the 50-stock NSE Nifty was holding above 14,800 with minutes left till the closing bell.

On BSW the BSE Midcap index was up 0.82%, just behind the 0.90% jump recorded by Sensex.

“While a status quo in terms of policy rates was factored in, the big positive has come in terms of the transparency of the OMO calendar through the G-sec acquisition programme , which is likely to support and stabilize long term yields.

Titan share price jumped on Wednesday to hit a high of Rs 1,561 per share after the company informed stock exchanged that it continued to witness strong growth in the previous quarter.

The move to introduce G-SAP – secondary market GSec acquisition program is a masterstroke by the RBI.

Nifty is inching closer to 14,900 — a crucial resistance level for the index.

“We reckon even as yields may inch up gradually and orderly, the curve will likely flatten ahead.

While their attempts to flatten the yield curve and enable sufficient liquidity through bond purchases in the system have worked in the economy’s favour so far, it will have to be seen how prompt the RBI remains if the condition worsens given the renewed lockdowns in a few states in India.

State Bank of India, Power Grid, Bharti Airtel, and Dr Reddy’s were the top gainers at this hour on Sensex.

Nevertheless, we expect 10year yields to inch higher, possibly trade in the range of 6.2-6.25% in the near term, as there are concerns over stubborn core inflation, resurgent COVID infections, renewed localized lockdowns and relatively higher sovereign yields in US,” said Amar Ambani Senior President & Research Head YES Securities.

A shot in the arm was given the antidote to the bond markets in the form of an announcement of an explicit OMO – GSEC purchase calendar, which should put to rest the mounted apprehensions of demand-supply mismatch in the bond markets.

Therefore, having policy rates unchanged will not only address the economic growth concerns but also contain the inflationary pressures,” said Kaushlendra Singh Sengar Founder & CEO at INVEST19.

Overall, the RBI remains growth supportive and steadfast in keeping yields under check,” said Suvodeep Rakshit, Vice President & Senior Economist at Kotak Institutional Equities.

The Reserve Bank of India would now allow RTGS and NEFT connectivity with non-bank payment system operators, paving way for UPI interoperability, and potentially benefiting users of payment wallets such as Paytm, PhonePe, and others.

The Nifty is testing our patience but it will be worth the wait once one side of the range is taken out,” said Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments.

Barbeque Nation is the eighteenth stock to list on the bourses this year and the first to debut in the new financial year.

Fortunately, this is happening as reflected in the mutual fund AUM numbers which have risen 19% in the March quarter,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

There is evidence of normalisation of economic activities in India, chief economist of the International Monetary Fund has said.

While 5% of the total population has received the first dose, 0.8% have received both doses of the Covid-19 vaccine.

He added that traders should refrain from building a fresh buying position until we witness a correction to the 14,450 level or a breakout above 14,900.

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