Daily Markets - Jan 11, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities
(Time Zone: Arizona, USA)
Indian equity Benchmark indices ended at fresh record closing highs on Jan 11. The Nifty opened gap up and after a minor correction, closed almost at the opening highs. At close, the Nifty was up 137.50 points or 0.96% at 14,484.80. Over the past two months Nifty has risen almost 20%.
Volumes on the NSE were on the higher side compared to recent averages. Among sectors, IT, Auto. FMCG and Pharma were the main gainers while Metals and PSU Bank were the main losers.
Asian stock markets are mostly lower on Monday as investors turned cautious following news about growing calls for U.S. President Donald Trump's removal from office and continuing signs of economic damage from the pandemic. European stocks fell from over 10-month highs on Monday as investors feared a surge in coronavirus cases across the continent and mainland China (leading to even tighter restrictions) could delay an economic recovery.
Nifty has closed the day with another almost 1% gain on Jan 11. In the process Indian markets were among the best performing markets globally on Jan 11. Positive newsflow including results are pushing indices and stocks higher. A negative advance decline ratio however is a sign of caution after such a steep rise. Typically distribution happens in such times of euphoria, which gets noticed a few days later.