Benchmark indices Sensex and Nifty continued to trade in green on April 22 afternoon as investors bought across sectors. The cheer was visible in broader markets as well, with BSE Midcap and BSE Smallcap indices outperforming frontline indices.
Around noon, the Sensex was up 410.82 points, or 0.56 percent, at 73,499.15, and the Nifty was up 148 points, or 0.67 percent, at 22,295. The market breadth was in favor of gainers as around - 2,410 shares advanced, 834 shares declined, and 120 shares were unchanged.
Given the bullish sentiment, fear gauge India VIX eased by over 3 percent to trade around 12.98.
Sectoral trend
All sectors were trading in green. Nifty PSU Bank, Nifty Pharma, and Nifty Realty indices led the charge as they gained over a percent on April 22 afternoon. This strength was followed by Nifty Auto and Nifty Metal indices as well.
Fundamental View
VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services believes that the biggest positive for the market in the near term is that the feared escalation in the Israel-Iran tension is unlikely to happen. The decline in Brent crude from $90 to $87 is a confirmation of this expected de-escalation, he said.
However, the market may be weighed by the high US bond yields (the 10-year yield has spiked to 4.65 percent which can trigger further selling by FIIs. "At this time, investors can slowly accumulate high-quality large-caps like HDFC Bank which has reported good Q4 results with improving margins," Vijayakumar suggested.
Technical view
Vaishali Parekh, Vice President - Technical at Prabhudas Lilladher, expects some volatility to persist in overall markets and said that Nifty's decisive breach past 22,350 can establish conviction in the coming days. "The support for the week is seen at 22,000 levels for Nifty, while resistance is seen at 22,350," she said.
KEY NIFTY GAINERS
BPCL, EICHER MOTORS, TATA CONSUMER
Key Nifty losers
NTPC, HDFC Bank, JSW Steel
Top Sensex leaders
Wipro, Bajaj Finance, L&T
Top Sensex laggards
NTPC, HDFC Bank, JSW Steel
Stock moves
Wipro: Shares of Wipro rose over 2 percent to top Sensex charts at Rs 463 per share on April 22 afternoon after the company's net profit rose 5 percent on quarter to Rs 2,835 crore in January-March, beating Street estimates of Rs 2,748 crore. Revenue also came above expectations even though it remained largely flattish on quarter at Rs 22,208.3 crore.
Gujarat State Petronet: The stock was locked in a 20 percent lower circuit at Rs 302.15 on April 22 after the Petroleum and Natural Gas Regulatory Board (PNGRB) slashed tariffs for the company's high-pressure (HP) network by a whopping 47 percent.
Aditya Birla Fashion & Retail: The stock gained nearly 1 percent on April 22, after the company announced that its board had approved the vertical demerger of Madura Fashion and Lifestyle Business (MFL) from Aditya Birla Lifestyle Brands.
HDFC Bank: Profit booking in India's biggest lender emerged on April 22 after it reported a healthy March quarter. HDFC Bank's deposits grew by 7.5 percent quarter-on-quarter (QoQ) in Q4FY24, while margins expanded by 4 basis points (bps).
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