Nifty, Sensex snap 4-day losing run on the back of rally in private lenders

The 30-share pack Sensex rose 145.43 points or 0.24 per cent to close at 60,967.05. Its broader peer NSE Nifty advanced 10.5 points or 0.06 per cent to 18,125.40. Broader markets continue to bleed.

Markets opened weak on Monday, however, strong support from banking stocks helped to balance the bearish pressure and lifted the indices to trade on a flat note, said Vinod Nair, Head of Research at Geojit Financial Services.

“Improved asset quality and business growth based on key Q2 earnings aided the banking sector to improve the outlook leading to outperformance. Global markets were steady in anticipation of robust quarter earnings in the backdrop of inflation fears and possible tightening of monetary policy in the next policies,” he added.


Market at Glance

• ICICI Bank rose 12 per cent after a strong performance in the Q2FY22.
• IRCTC tanked 13 per cent, shedding over 35 per cent in the last five sessions.
• India VIX, a barometer of volatility and fear, ended with marginal gains.
• Q2 impact: MCX gave up 7 per cent after disappointing numbers.
• Shoppers Stop extends gain, jumps over 13 per cent during the session.

Factors driving markets

Good news: A good set of numbers from ICICI Bank supported the market sentiments. Traders are now eyeing numbers of Axis Bank, which is scheduled to report its earnings on Tuesday.

Bad news: Selling pressure continued on the broader front as traders are booking profits in midcaps and smallcaps, citing higher valuations. Even the muted Q2 earnings, led by lower margins and higher cost are adding pressure on the broader peers.

Nifty Bank scaled a new peak, surging over 2 per cent. Realty stocks topped among losers, followed by Auto, IT and FMCG shares.

Among the bluechip names, ICICI Bank was the top gainer, rising 11.52 per cent. Axis Bank, ONGC, Tech Mahindra, JSW Steel, State Bank of India, Dr Reddy’s Labs, Cipla, Hindalco, M&M and Hindustan Unilever were other gainers.

BPCL and Bajaj Finserv were the top losers in the Nifty pack, falling more than 3 per cent each. SBI Life, Bajaj Auto, Tata Motors, Wipro, HCL Tech, Hero Motocorp, Maruti Suzuki, Asian Paints, Eicher Motors, Britannia, Shree Cement, Nestle India, IndusInd Bank were others that ended in the red.

Broader market continued to underperform their headline peers. NSE midcap 150 and Smallcap 100 indices tanked 2 per cent each. The Nifty 500 index also settled lower.

MRPL, Balaji Amines, Oil India, KEC, PVR, Ques Corp, Solar Industries, Poonawalla Fincorp were top gainers from mid and smallcap indices, climbing in the range of 5-9 per cent.

RVNl, IEX, KEI Industries, Zensar Technologies, Rites, Marcotech Developers, Sunteck Realty, MCX, Century Textiles, KPIT Technologies, IndiaMART InterMESH and Graphite India were among the major losers from the broader space falling in the range of 7-10 per cent.

European markets were trading higher. London-based FTSE was up 0.74 per cent while Paris and Frankfurt advanced 0.80 per cent and 0.84 per cent, respectively. In Asia, Thailand and China ended in the red. Rest of the markets registered gains.

Major European markets were trading higher. London-based FTSE was up 0.55 per cent while Paris and DAX advanced 0.23 per cent and 0.33 per cent, respectively. In Asia, Japan and Indonesia ended in the red. Rest of the markets registered gains.