Mr. Vishal Wagh, Research Head, BONANZA PORTFOLIO LTD
Indian indices opened higher today with the Nifty above 15400. At the time of closing, the Sensex was up by 934.23 points or 1.81% at 52,532.07, and the Nifty was up 288.60 points or 1.88% at 15,638.80. During the day, Sensex spikes over 1,000 points. Benchmark indices erased some of the intraday gains but still traded higher. More than 100 stocks touched a 52-week low on BSE. The Finance ministry sees a low risk of stagflation for the Indian economy despite climbing prices.
Oil prices rose on high summer fuel demand while supplies remain tight because of sanctions on Russian oil after its invasion of Ukraine. The US economy will likely fall into a mild recession by the end of 2022 as the Federal Reserve raises rates to deal with prices. South Korea's central bank expects inflation will be higher than earlier projected and would closely assess debt repayment burdens to determine whether a 0.5% point interest rate hike in July was appropriate. The Bank of Korea, which raised its 2022 forecast for annual average inflation sharply to 4.5% less than a month ago, said it does not rule out the possibility of inflation exceeding the 4.7% reached in 2008. On the sectoral front, all the sectors end in green with Media, Metal, PSU banks, Reality & IT roses 3% to 5.5%.
Nifty 50 top gainers are Titan, Hindalco, CoalIndia, JSWSteel & TataMotors while NestleInd & ApolloHosp were among the top losers.