Daily Markets - Feb 4, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian benchmark equity indices reversed losses on Feb 04 - the weekly options expiry session to end higher for the fourth consecutive session, reaching new highs in the process. At close the Nifty 50 index gained 0.71% or 105.7 points to end at 14,895. In the process Indian indices became the best performer for the day in the Asian region.

Volumes on the NSE were in line with that of the previous day but higher than recent average. Among sectors PSU Bank, FMCG, Media, Metals Auto, Realty indices gained while IT index fell.

Asian shares mostly fell Thursday as caution set in over company earnings reports, recent choppy trading in technology stocks, prospects for more economic stimulus for a world battling a pandemic and as a spike in short-term Chinese interest rates fanned worries about policy tightening in the world's second-largest economy. European stocks inched higher on Thursday morning as investors remain focused on earnings reports and developments on the coronavirus pandemic and await a monetary policy decision from the Bank of England.

Nifty continues to make new highs on every day showing the inherent strength of the index. The fact that this is happening with large volumes and a very positive advance decline ratio is heartening. Sector and stock rotation keeps happening, but the Index seems headed higher.

Source : Equity Bulls

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