Optimism to linger on D-Street!
Nifty closed above its psychological level of 11,000 in the last trading session for the first time since March 06, 2020. On valuation front, markets are trading at historical high PE of 28.86. However, due to strong global cues and buoyancy related to vaccine, the valuation factor has taken a back seat. Further, bulls are likely to charge up for yet another gap-up opening on Tuesday.
Early trends in SGX Nifty is indicating Nifty to open around 11,115 levels. At 7:50 AM, SGX Nifty was trading higher by 93.50 points.
As the recent earning announcements from the index major have positively surprised the market, market participants are getting excited for the earnings season. Further, this aided in boosting the confidence on D-Street. on earnings front, today would be an action-packed day for market participants, as host of well-known stocks including Bajaj Twins, Axis Bank, Hindustan Unilever, HDFC Life and SBI Life are slated to report their quarterly earnings.
Amid positive news flow related to coronavirus vaccine driving the risk on environment, Asian indices are witnessing a sea of green on Tuesday. Hong Kong’s Hang Seng has surged the most as it traded with a striking distance from its crucial psychological level of 25,500. This was followed by Japan’s Nikkei 225 and China’s Shanghai Composite that added 0.63 per cent and 0.31 per cent, respectively.
Asian Markets
|
Asia Opening
|
Price
|
Change
|
% Change
|
|
Nikkei 225
|
22,860.82
|
143.34
|
0.63
|
|
Hang Seng
|
25,499.00
|
441.03
|
1.76
|
|
Shanghai
|
3,324.45
|
10.30
|
0.31
|
|
SGX Nifty
|
11,115.00
|
93.50
|
0.85
|
Domestic indices started the week on a cheerful note, despite weak global cues. This was aided by better than expected earnings from index majors like Britannia Industries and HDFC Bank. Nifty and Sensex hopped over 1 per cent on Monday with Nifty ascending above 11,000 level. The broader market ended in-line with the frontline gauges. Nifty Mid-cap and Nifty Small-cap gained 0.96 per cent and 1.15 per cent, respectively. On the sectoral front, except for Nifty Pharma, all other indices ended in green. Nifty IT and Nifty Financial Services registered themselves as top gainers.
The US stocks ended the session with gains, in an overnight trade. Dow Jones just managed to keep is head above the neutral line and ended flat. Whereas, the other two major US stock market indices registered substantial rallies. Tech-heavy Nasdaq soared into an unexplored trajectory by registering a new closing high. Such a strong rally was witnessed as market participants were seen betting on heavyweight tech stocks. Amazon added nearly 8 per cent, witnessing the best day ever since December 2018. Post vaccine trials showing promising early results and reports emerging with regards to possibility of another round of stimulus package, energised the overall mood on Wall Street. Even the majority of the European markets ended the session on a positive note, amid narrative of encouraging sign of coronavirus vaccine.
US Markets
|
US Closed
|
Price
|
Change
|
% Change
|
|
Dow
|
26,680.87
|
8.92
|
0.03
|
|
S&P 500
|
3,251.84
|
27.11
|
0.84
|
|
Nasdaq
|
10,767.09
|
263.90
|
2.51
|
|
GlobalDow
|
2,973.85
|
4.55
|
0.15
|
Europe Markets
|
Europe Closed
|
Price
|
Change
|
% Change
|
|
FTSE 100
|
6261.52
|
-28.78
|
-0.46
|
|
DAX
|
13,046.92
|
127.31
|
0.99
|
|
CAC 40
|
5,093.18
|
23.76
|
0.47
|
|
FTSE MIB
|
20,621.48
|
202.09
|
0.99
|
|
IBEX 35
|
7,478.00
|
37.60
|
0.51
|
|
Stoxx 600
|
375.51
|
2.80
|
0.75
|
Commodity
|
Commodity
|
Price
|
Change
|
% Change
|
|
Gold
|
1,818.60
|
1.20
|
0.07
|
|
Oil
|
40.87
|
0.06
|
0.15
|