Where is the market headed?
The week began on Tuesday, September 9th, with no major global news except the shocking event of Nepal’s Parliament being set on fire. This highlights once again the level of unpredictability and uncertainty across the world.
On the India–US front, there has been no improvement in their ongoing dispute. The impact of this was clearly visible in IT stocks, which were already under pressure. However, Infosys came forward with a buyback announcement, lifting not only IT stocks but also the overall market mood. While such actions like buybacks, special dividends, bonuses, or splits may look positive, they usually signal that management has no fresh ideas to deploy their money effectively. This means the bounce in IT could just be short-lived.
The larger issue still remains the US’s firm stand on tariffs and restrictions on services. Prime Minister Modi has also spoken about India creating its own social media, which suggests a growing divide between the two countries.
Market Overview
In terms of market performance, Nifty gained just 0.39%.
Nifty Next 50
Nifty Junior moved up 0.14%.
Nifty Mid and Small Cap
Midcaps rose 0.2% & small caps rose 0.26%.
Bank Nifty
Bank Nifty barely moved up 0.05%.
GOLD
Gold, on the other hand, has been on a ballistic rise since August 22, with dealers reporting an unusual premium of nearly 3%, something not seen in decades.
Advance Decline Ratio
Heat Maps
Within stocks, Infosys was the big mover dragging other IT names like TCS, HCL, Wipro, and Tech Mahindra along with it. A few other names like Adani Ports and Dr. Reddy’s gained, while stocks like NTPC, UltraTech, Bajaj Auto, and Trent fell.
In Nifty Next50, movers included Bajaj Holding, Adani Power, and Siemens, while Indigo, DLF, and Lodha slipped.
Mover Of The Day
Infosys was the big mover, rising about 5% on its buyback plan.
Ujjivan Small Finance Bank also stood out, jumping more than 7% after announcing a QIP of ₹2000 crores.
Sectoral Overview
Sector-wise, IT led with a 2.76% rise, supported by Infosys. Pharma, FMCG, and services also saw gains, showing that defensive sectors are holding ground. Beyond the market, a lot of debate is going on about asset classes.
Sector of the Day
Nifty IT Index
Tweets Of the Day
Many influencers discouraged real estate investments in recent years, but those who stayed invested have seen solid gains. Similarly, gold was dismissed for years by market advisors, but its performance has proven otherwise. The key message is that one should not rely only on equities. Asset allocation across gold, real estate, and equities is essential, especially during times of uncertainty.
