The Indian market indices, taking mixed global cues, opened at fresh record levels on Friday, the BSE Sensex was up 217.58 points, or up 0.38 per cent at 58,070.12 for the first time and the broader market Nifty was up 61.80 points or 0.36 per cent at 17,296. About 1315 shares have advanced, 348 shares declined, and 98 shares are unchanged. At 0929 hours IST, On NSE, Eicher Motor, Titan , ONGC, Kotak Bank, Reliance were among the top gainers. On the flip side, HDFC LIfe, Cipla, HCL Tech, Hindustan Unilever were among the laggards. On BSE, Balaji Amines, Alembic Ltd were among the top losers and Pilani Industries, Exide Industries were the top gainers. Barring Nifty FMCG, Nifty IT, Nifty Media, all other were trading in the green. Nifty Bank was up 0.50 per cent. In the banking pack, Kotak Mahindra Bank with rise of 1.78 per cent, Bank of India with 1.76 per cent were the top gainers. BSE MidCap rose by 0.40 per cent while BSE SmallCap rose by 0.47 per cent.
“We know from experience that markets can surprise – both on the upside and downside. Greed and fear can cause overreaction on the upside and downside. From the valuation perspective, now we are in the over-valued zone; but excesses can sustain in a ferocious bull market like the present one. So the only option before long-term investors is to remain invested and occasionally book some profits and move money to safe fixed-income assets. It is possible that by the end of this financial year Nifty maybe around the present level or lower than that,”Dr. V K Vijayakumar, chief investment strategist at Geojit Financial Services said.
At 7.10 hours IST, the Nifty futures on the Singapore Stock Exchange were trading at 17,259, up 0.50 points, or 0.00 per cent signaling a flat start for Indian markets. The US Benchmark indices, S&P 500 index and Nasdaq recorded gains. Taking mixed cues from the US and and Asian markets, the Indian market opened with gains. After double digit GDP, rapid vaccination and US Fed Powell’s speech indicating tapering will happen slowly, the sentiment on Dalal Street was upbeat. But Asian markets this week behaved in a cautious manner seeking clarity on US employment data that is about to come by the end of this week.
“Benchmark Indices are expected to open on a flat note as suggested by trends on SGX Nifty. US Indices closed with modest gains yesterday with S&P 500 and NASDAQ closing at another fresh record high. NFP data (releasing today) will be an important one to watch. French, German and UK Indices also closed marginally higher yesterday. Asian stocks were trading mixed today with Nikkei trading +0.91per cent up while Hang Seng trading -0.40 per cent down in the early Friday trade. On the technical front, 17300 may act as immediate resistance for Nifty 50 followed by 17,400 while 16,900 remains a crucial support for Nifty 50,” Mohit Nigam, head – PMS, Hem Securities said.Today, Asian equity markets behaved in mixed manner. Hong Kong stocks edged slightly lower at the start of business on Friday morning as profit-takers moved in following four successive gains, with attention now turning to the release of US jobs data later in the day. The Hang Seng Index dipped 0.26 percent, or 67.76 points, to 26,022.67. The Shanghai Composite added 0.16 percent, or 5.70 points, to 3,602.74. Tokyo stocks open higher on Friday as investors took heart from US rallies with investors looking ahead to US job data due later in the day. The benchmark Nikkei 225 index was up 0.25 percent or 70.23 points at 28,613.74 in early trade, while the broader Topix index edged up 0.27 per cent or 5.39 points to 1,988.96.“US equities extended gains after weekly jobless benefit claims data dropped to 3.4 lakh. The upbeat jobless claim data came ahead of crucial non-farm payroll data for August, which will be published tonight. Notably, ADP’s private sector employment addition (published on Wednesday) was not up to the mark and missed consensus estimate with wide margin. This also underscores the room US economy still has to grow in terms of employment. In other economic data, US factory orders rose 0.4% MoM in July ahead of consensus estimate of 0.3%. ,” Binod Modi, head strategy at Reliance Securities said.