Mahurat Trading: Sensex Drops 194 Points; Nifty Ends Below 10,150
Indian shares swung between gains and losses in an hour-long session
Diwali Mahurat Trading Show
Closing Bell
Indian shares dropped in a ceremonial and shortened trading session to mark Diwali, the festival of lights.
The benchmark S&P BSE Sensex fell 0.6 percent to 32,389, losing ground for a third straight day. The NSE Nifty 50 Index retreated 0.6 percent to 10,146, declining for a second day after it closed at a record.
ICICI Bank Ltd., the nation’s third-biggest private lender by market value, dropped 2 percent, the most on both the key gauges. The S&P BSE MidCap Index fell 0.2 percent and the S&P BSE SmallCap Index dropped around 0.1 percent.
Seventeen out of 19 sector gauges compiled by BSE Ltd. declined led by the S&P BSE BankEx’s 1.27 percent slump. On the other hand, S&P BSE Telecom Index was the top sectoral gainer, up 1.46 percent.
Let’s end the blog on a positive note.
The Sensex has risen in seven of the past ten years on the Muhurat trading day and dropped in eight of the following sessions. So, since the market closed lower today, there may be a bounce back in store on Monday?
Happy Diwali!
Stocks Moving On News
- Jyoti Structures rose 4.7 percent as it said it will sub-contract a project in west Africa to Transrail Lighting
- Mahindra Lifespace rose 4 percent after it said it will form JV with HDFC Capital Affordable Real Estate Fund-1 for affordable housing projects
Don’t Read Too Much Into Muhurat Trading
Independent market analyst Ajay Bagga said the SGX Nifty had indicated weakness early on. “There is no need to read too much into this session,” he told BloombergQuint.
Be that as it may, the Nifty is down 0.8 percent and likewise for the Sensex.
Betting on auto suppliers, two-wheelers, commercial vehicles, he said adding start looking freshly at IT and pharma, Bagga said.
“Do Your Own Research!”
That’s the sound advice coming in from stock market veteran Kisan R Choksey while reiterating his avoid on derivatives. “The knowledge of industry is very necessary.”
IGL, Mahanagar Gas likely to benefit on government expenditure, he said.
Nifty Bank Worst Sectoral Gauge
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Opening Bell
Indian shares swung between gains and losses in an hour-long session, when traders and investors make ceremonial purchases marking the Diwali festival.
The S&P BSE Sensex declined 0.18 percent to 32,527 after opening 0.2 percent higher. The NSE Nifty 50 dropped 0.26 percent to 10,184. The market breadth, however, was encouraging with buyers outnumbering the sellers by at least 6:1.
Ten of the 19 sector gauges complied by the BSE Ltd. rose led by S&P BSE Telecom Index’s 0.7 percent rise. Meanwhile S&P BSE Finance dropped the most.
Market Alert: Sensex, Nifty Climb In Pre-Mahurat Trading
Both the Sensex and the Nifty climbed marginally higher in pre-Mahurat trading.
More Zigzag Than Straight Line
Well-known market voice Pashupati Advani, founder at Global Foray expects to see more zig-zag movement for the stock market. “The FIIs have gone away. If they return, it will be in the large caps,” he said.
Advani said he is pessimistic on I.T. and banks. “We need to look for companies with decent management during Muhurat trading.”
The Stocks To Buy For Samvat 2074
BloombergQuint spoke to three market experts – Hemang Jani, Dilip Bhat, and Sudeep Bandhopadhya – on the stocks they are betting on for Samvat 2074.
So, don’t miss out! Click HERE for the complete list.
Blind Spot?
It is becoming harder to identify stocks based on FY18-19 earnings, says Rahul Arora of Nirmal Bang. “The foreign fund selling is telling us something which we are not seeing,” he told BloombergQuint in an interview.
Earnings at NSE Nifty 50 Index constituents have trailed consensus forecasts for most of this decade, data compiled by Bloomberg show.
Arora said the market will be watching the Gujarat elections closely.
Positive On
- Housing
- Wirlpool
- V-Mart
- Mannapuram
- Ujjivan Financial
- Colgate
- Gillette
All That Glitters!
Gold has always had a special bond with Indian investors.
However, did you know if you’d bought bullion last Diwali, you’d gained nothing, with prices remaining flat. Investing in a bank fixed deposit—considered as safe as gold—would have earned 7.5-8.5 percent returns. That’s an opportunity lost for a gold buyer.
So, should you buy gold this Diwali? Watch the show to find out!
Stocks To Watch
- Reliance Industries: Jio's 84-day plan hiked to Rs 459; data doubled in the Rs 149 scheme
- Tata Teleservices: Board approves fund raising up to Rs 20,000 crore via various options
- Gujarat State Petronet: Executes pact for FSRU project based LNG port
- Mahindra Lifespaces, HDFC Capital to develop affordable housing projects
- VA Tech Wabag: Says power of Board of Directors restored
- Pioneer Embroideries: To issue 1.96 lakh shares at Rs 51 per share to non-promoters on preferential basis
- Jyoti Structures: Lenders approve sub-contracting of West Africa project
- Zee Media Corporation: Circuit filter revised to 20 percent
Here's What The Stars Have To Say About Samvat 2074
Good Evening And Happy Diwali!
Welcome to our special Mahurat trading coverage. Indian shares will open for only an hour-long session on Thursday, when traders and investors make ceremonial purchases marking the Diwali festival.
The benchmark NSE Nifty 50 closed 0.2 percent lower, falling from a record. while the S&P BSE Sensex dropped 0.1 percent. Axis Bank slumped 9.5 percent, extending its worst performance among private India lenders this year.
Domestic institutional investors were the unlikely heroes of Samvat 2073. While foreign investments were mostly subdued at Rs 5,900 crore odd, domestic funds pumped in a record Rs 98,093 crore according to NSDL data.
The NSE Nifty 50 index rose nearly 18 percent and the S&P BSE Sensex climbed 16.4 percent in the last 12 months. The reason for the incessant flows, of course, was the unprecedented note ban implemented by the Narendra Modi government, with an aim to crack down on black money.