Daily Markets - Nov 6, 2020 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian Benchmark equity indices rallied for the fifth consecutive session on Nov 6 led by the energy and financial stocks. At close, the Nifty was up 143.20 points or 1.18% at 12263.50. Nifty rose through the day making higher tops higher bottoms and ended almost at the intra day high.

Volumes on the NSE were above recent average. Among sectors Banks, Energy, IT, Realty and Metals indices did well while FMCG and Healthcare came under pressure. After the Sensex turned positive for 2020 on Nov 05, the Nifty turned into positive on Nov 06. For the week, the Nifty gained 5.3%, the largest weekly gain since June 2020.

Asian stock markets were mixed on Nov 06 after US markets rose amid prolonged vote-counting following this week's U.S. elections. A protracted court battle with no clear winner could increase uncertainty, which markets dislike, and pulls down stocks.

European stocks glided lower on Nov 06 after a strong rally this week as Italy and France reported a record number of coronavirus cases, while investors measured the implications of a political gridlock in the US on policy and stimulus.

Nifty is just 167 points away from the all time high. Though it does not seem difficult at all going by the momentum seen over the last few days, global markets show signs of slowing down. However Q2 results from Indian corporates are better than expected that may lead Indian markets to outperform for some time.

Source : Equity Bulls

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