Daily Market Commentary - Jan 10, 2022 - Bonanza Portfolio

Mr Vishal Wagh, Research Head

Nifty reclaims 18,000, Sensex gains 650 pts as bulls roared in style on Dalal street. All the sectoral indices ended in the green with PSU Bank, IT, Auto, Capital Goods, Power, Bank, Realty indices up 1-3 percent. BSE midcap and smallcap indices were up 0.7-1 percent. Both the indices closed at 18,003 and 60,395 respectively.

Markets witnessed further upsurge and the key element was that both the benchmark indices managed to close above the psychological levels of 60,000 and 18,000. The domestic market displayed strong momentum on expectations of a healthy start to the earnings season. Going ahead 17,880 -17,940 will be good support for upcoming trading sessions and on the upside 18,200 will act as immediate resistance.

Globally, bourses were muted as reports of record-high Eurozone inflation at 5% kept investors on edge while awaiting the release of the US inflation data later this week which is expected to remain elevated. For domestic markets, this seems to be a pre-budget rally as demand can be boosted by giving incentives to beaten-down sectors. Reports have also stated that Govt likely to increase FDI limit in PSU Banking Sector during Budget Session FDI hike proposed to 74% from current 20%.

UPL, Hero MotoCorp, Titan Company, Tata Motors, and Maruti Suzuki were among the top Nifty gainers. Losers were Wipro, Nestle, Divis Labs, Asian Paints, and Power Grid Corp.

Source : Equity Bulls

Keywords

DailyMarketCommentary BonanzaPortfolio Nifty PreBudgetRally