Firm global indices, an improvement in the PMI index and the wait for a favorable Supreme Court verdict in a loan moratorium case supported sentiments. Volatility declined but remained relatively high ahead of the outcome of the US election.
The 30 Sensex stock pack 503.55 points or 1.27 percent at 40,261.13. Its larger counterpart, 50-stock NSE Nifty, rose 144.35 points or 1.24% to 11,813.50.
Investors got richer by Rs 1.15 lakh crore at the end of the day as the total market capitalization of BSE-listed companies rose to Rs 158.33 lakh crore.
Market at a glance:
- ICICI Bank at the top of the winning large caps for the second day of the Q2 show
- RIL continues to be a drag as investors abandon stocks, down 1%
- NTPC plunges 4% after September quarter numbers disappoint
- India VIX volatility indicator, down 4% to 24.24
- SC postpones loan moratorium hearing to November 5
- 92 stocks hit record highs in 52 weeks:,, APL Apollo, Havells, Cadila among the biggest names
“The market has maintained its momentum, supported by increased demand for bank stocks due to improving business prospects. Globally, too, the market was on a solid footing as US manufacturing data exceeded expectations and a similar rebound was seen in Europe and China, ”Vinod said. Nair, Research Manager at Geojit Financial Services.
Among the big names, ICICI Bank climbed 6.72% to Rs 445.50. It was followed by Hindalco, SBI, Power Grid, HDFC, Sun Pharma, Hero Moto, Eicher Motors and SBI Life Insurance which gained 3-5%.
UPL was the biggest loser in the Nifty index, down 6.61% to Rs 415.90. NTPC, Reliance Industries, Nestlé India, HUL, Adani Ports, HCL Tech and Infosys were among the next biggest losers, falling 1-4%.
Top 5 Clever Winners and Losers
Larger stock indices also rose but underperformed their peers. Nifty Smallcap rose 0.07% and Nifty Midcap rose 0.7%. Nifty 500, NSE’s largest index, rose 1.05%.
Emami, Navin Fluorine International, Jindal Steel, Trident, Kaveri Seeds Company and Suven Pharma were among the top gainers in mid and small cap indices, up 5-10%.
Strides Pharma, IRB Infrastructure Developers, Laurus Labs, Godrej Properties, Edelweiss Financial Services and Gujarat State Petronet were the biggest losers in the larger market space, down 3-9%.
“Given the volatility, traders should prefer defensive stocks and other low beta stocks until we see some stability.”
Sector-wise, Nifty Bank was the biggest winner, up 3.17%, followed by Nifty Auto and Nifty Private Bank which also grew by more than 3%. Nifty Realty was the biggest loser, down 2.32% while Nifty Media slipped 0.33%.
The size of the market was in favor of the winners as 1,410 stocks ended in the green, while 1,229 names settled with cuts. No less than 92 stocks hit 52-week highs, mostly in the small-cap space. Meanwhile, 60 names have hit 52-week lows, mostly in the microcap space. Approximately 195 stocks reached upper circuit limits and 217 reached lower circuit limits.
European markets have also seen massive purchases. The London FTSE rose 1.87%, the Paris CAC by 2.28% and the German DAX by 1.99%. All Asian markets also closed with gains. Singapore was the biggest winner, up 2.21%.
Let’s prepare tomorrow:
- american elections: All eyes will be on the vote and the results of the US election, as clarity on who will rule the country over the next four years will reduce volatility in the market.
- Macro data: IHS Markit will release services PMI data for the month of October which will be followed by investors.
- US Fed meeting: The US Federal Reserve will sit on Wednesday for a two-day FOMC meeting to decide on monetary policy.