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    Dalal Street rebounds sharply on buying in beaten-down bank stocks

    Synopsis

    “Today the market will be completely dominated by the movements in Adani stocks. The statement from Adani Enterprises that the FPO is on schedule and that there is no change in the price band is hugely important. This can be interpreted as a reflection of the confidence of the management in the success of the FPO,” V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said.

    Sensex rebounds sharply on buying in beaten-down bank stocksAgencies
    Domestic benchmark indices soon after a gap-down start staged a smart rebound in Monday's morning session amid buying in beaten-down banking stocks and select NBFCs.

    The BSE Sensex traded at 59,590, up 259 points or 0.44% around 9.40 am while its NSE counterpart Nifty50 gained 95 points or 0.54% to trade at 17,699.

    In the 50-pack index, 30 constituents were in the green, 19 in the red and one was unchanged. Adani Enterprises and Adani Ports rebounded sharply, up 9-10% after clarification by the company on the Hindenburg Research report. Bajaj Finance, meanwhile, rose 3% after the NBFC's Q3 profit rose 40% year-on-year.

    On the other hand, SBI Life, HUL, PowerGrid, Bharti Airtel and Bajaj Auto were the top losers, down up to 2%.

    Sectorally, Nifty Oil & Gas declined 3.45% and Nifty Private Bank fell 0.71%. While Nifty Metal and Nifty PSU Bank opened higher. In the broader market, Nifty Smallcap50 rose 0.10% and Nifty Midcap50 opened flat.

    Expert View
    “Today the market will be completely dominated by the movements in Adani stocks. The statement from Adani Enterprises that the FPO is on schedule and that there is no change in the price band is hugely important. This can be interpreted as a reflection of the confidence of the management in the success of the FPO,” V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said.

    Deepak Jasani, Head of Retail Research at HDFC Securities said, “Previous support of 17761 is expected to turn into a short-term resistance. Above 17761, resistance for Nifty is seen at 18000. Below 17493, Nifty could extend its fall towards the next support of 17350.”

    Global Markets
    Asian stocks were mixed Monday as traders struggled to maintain momentum from last week's rally, though Shanghai advanced as mainland Chinese markets reopened after a week-long Lunar New Year break.

    Japan's Nikkei 225 fell 0.05% to 27,368. China's Shanghai Composite rose 0.72% to 3,288, while Hong Kong's Hang Seng declined 0.1.18% to 22,421.

    Wall Street rose on Friday, marking the end of a rocky week in which economic data and corporate earnings guidance hinted at softening demand but also economic resiliency ahead of the US Federal Open Market Committee (FOMC) this week.

    Currency Watch
    The Indian rupee fell by 0.14% to 81.63 against the US dollar in early trade. The dollar index, which tracks the movement of the greenback against a basket of six major world currencies, declined 0.08% to 101.84 level.

    Crude Price
    Oil prices rose on increased demand expectations as China emerges from years of strict Covid controls. Brent crude futures were up 0.2%, at $86.60 a barrel, while U.S. West Texas Intermediate (WTI) crude futures gained 0.2%, to $79.87 a barrel.

    (With inputs from agencies)

    (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)



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    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
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