Markets Daily - Nov 20, 2020 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities
(Time Zone: Arizona, USA)
Indian equity benchmark indices managed to end higher for the third straight week. At close on Nov 20, Nifty 50 index ended 0.6% higher at 12,843. In the process, Indian market outperformed all Asian markets except Singapore.
Volumes on the NSE were higher than recent averages. Among sectors, IT, FMCG and PSU Bank indices were the main gainers. On the other hand Media and Pharma ended up as laggards. Midcap and smallcap indices ended with higher gains.
Global equity markets stalled on Friday as news that the U.S. Treasury was ending emergency loans program dealt a blow to economic recovery hopes just as California announced curfews to try and fight surging coronavirus infections. The surge in the number of coronavirus cases across the globe threatens the global economic recovery.
Nifty ended the week with gains of 0.6%, the smallest gain in the past three weeks. This reflects the conflicting state of markets after showing continuous upward movement since late September. The fact that market manages to turn upwards on an intra day or overnight basis after dipping is heartening, keeping hopes of some more upmove alive. In terms of Nifty 12963 remains a resistance while 12730 remains a support.