How are the Markets Looking ?
The Indian budget for the fiscal year 2023-24 has been announced, and as expected, it is a relatively quiet budget with no major announcements or changes. In terms of taxation, there have been no significant changes. The government has focused on better fiscal deficit management and has shown a commitment to renewable energy projects. These measures reflect the government’s efforts to maintain stability and promote sustainable development.
In the stock market, the Nifty has remained quiet, while staying in the zone of major resistance at present. If the Nifty is able to cross this resistance level, it can gain 500-600 points. However, for now, the market is cautious and awaiting further developments.
Nifty Heatmap
The overall market performance has been mixed, with sectors like steel, cement, infra and FMCG facing challenges, while IT stocks surprisingly remain stable after Nasdaq’s fall last night. PSU banks have been performing well. Several specific stocks have shown positive performance. Maruti has seen a surge in anticipation of its upcoming numbers, which turned out to be brilliant. Other stocks, such as Eicher Motors, power grid, and Cipla, have also exhibited upward trends. Overall, the results coming out from various companies have been at par or even better than expected, with no major disappointments.
Sectoral Overview
PSU banks have emerged as the top-performing sector. On the other hand, sectors such as metals, real estate, pharma, and commodities have been losing ground.
Mid & Small Cap Performance
Mid-cap stocks have opened at a new high with a gap up and have been steadily moving upwards, nearing their all-time highs. Small-cap stocks have also closed at an all-time high, undeterred by the weaknesses observed in the large-cap space.
Nifty Bank Overview
The Nifty bank did not lead the market down, relatively flat and is slightly ahead of the previous day’s closing, primarily driven by the performance of PSU banks.
Highlights
PSU banks have emerged as the top-performing sector, with a 3.1% increase during the trading session.In the past week, PSU banks have shown a remarkable recovery, with a 9% increase. Over the last twelve months, PSU banks have soared by 71%. Public sector enterprise stocks have also performed well, with a gain of 102%. The real estate sector, too, has experienced a surge of 108%.
Look out for Paytm Case Study . . . .
Tomorrow’s Market Nugget will feature a case study on Paytm, a notable stock worth discussing. The Paytm case study will provide valuable lessons and insights on the importance of following price trends. While big investors have moved out, there are still many retail investors stuck in the stock. This case study will shed light on the lessons learned and the potential pitfalls of investing in such stocks.
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