Stock Market Live: Markets lower! Nifty arond 24,100, Sensex falls 150 points; Bank Nifty tests 52,000 – Market News

“Despite the recent outperformance by private banks, we still prefer large private banks with strong earnings resilience harmonising with reasonable valuations. The valuations of mid-tier PSUs and mid-tier private banks do indicate that valuations are rather full and a re-rating hereon may rather be slow. We believe the risk-reward is sharply tilted towards frontline peers. No significant asset quality challenges and better growth may ensure a sustained rerating for PSU banks on earnings stability – SBI is our top pick within PSU basket,” said Elara Securities.

Courtesy: NSE

“COMEX Gold futures closed marginally higher at the start of the week, as data released yesterday showed that the US ISM manufacturing PMI shrank for the third consecutive month in June, indicating that inflation might keep easing. Meanwhile, Federal Reserve Bank of New York President John Williams said he is confident the US central bank will achieve its goal of bringing inflation down to 2%. For the week, US ISM PMIs, Jobs data, FOMC meeting minutes and comments from Fed chair Jerome Powell will be in spotlight. Any signs of weakness in Jobs market might boost rate cut bets and aid gold prices,” said Kaynat Chainwala, Assistant Vice President of Commodity Research at Kotak Securities.

The NSE Nifty 50 was up 22 points or 0.09% at 24,163.95, while the BSE Sensex was up 77 points or 0.10% at 79,553.24.

“As per our estimates, domestic passenger vehicle industry wholesale volumes grew by low single digit yoy due to muted retail trends. In the passenger vehicle segment, Maruti Suzuki and M&M reported double-digit yoy volume growth. The domestic two-wheeler wholesale volumes were above our expectations. In the two-wheeler segment, Hero MotoCorp reported healthy double-digit increase in sales volume. Commercial vehicle segment performance remained weak and the segment saw yoy volume decline amid weakness in the MHCV segment. Domestic tractor volumes is expected to have grown by low single digit yoy in June 2024 possibly supported by increase in MSPs for kharif crops and inventory buildup. iRainfall in June 2024 was below the long-term average, and monsoon progression needs to be monitored,” said Arun Agarwal, Vice President & Analyst, Fundamental Research at Kotak Securities.

Commenting on the Gold and silver outlook Renisha Chainani, Head Research – Augmont – Gold For All said that Gold and Silver started the new weekday, month, and quarter with the consolidation phase. Prices struggle to hold the gains on follow-through buying in the Dollar Index and rising Bond yields. The US ISM PMI showed that the manufacturing sector contracted for the third straight month in June, and factory-paid prices for inputs dropped to a six-month low.

Chainani also added that the inflation is subsiding, which should allow the US central bank to start lowering interest rates. Apart from this, China’s economic woes, persistent geopolitical tensions, and political uncertainty in the US and Europe offered some support to the safe-haven precious metal. The focus will remain glued to Fed Chair Jerome Powell’s speech later today and the FOMC minutes on Wednesday.

Allied Blenders and Distillers made a strong debut on Dalal Street on Tuesday, July 2, with its shares listing at a premium of 14%. The stock opened at Rs 320 on the NSE, reflecting a 13.88% premium over its issue price of Rs 281. Similarly, it listed at Rs 318.10 on the BSE, significantly above the issue price.

ONGC, Coal India, Power Grid, Infosys, and Wipro were the top gainers in the Nifty 50. While HDFC Life Insurance, SBI Life Insurance, Bajaj Finance, Kotak Mahindra Bank, and Shriram Finance were the major losers in the Nifty 50 on July 02.

Teh NSE Nifty hits a new all-time high of 24,228.75, while the BSE Sensex touched a fresh record high of 79,840.37 in the pre-open session.

“The charts of Bank Nifty indicate that it may get support at 52,300, followed by 52,100 and 52,000. If the index advances further, 52,800 would be the initial key resistance, followed by 53,000 and 53,200,” said Deven Mehata, Research Analyst at Choice Broking.

“Nifty is poised to scale above its record high of 24,174, with the Sensex reaching 79,671.58. In Monday’s trade, FIIs were net sellers of Rs 426 crores, while DIIs bought Rs 3,917 crores. Nifty’s trading range is expected between 23,500 – 25,000, with resistance at 24,500 and support at 24,000. Bullish momentum continues, driven by positive factors like India‘s rising GST collections, above-normal rainfall forecasts, and cooling US inflation. Key US employment data and the upcoming Union Budget will be closely watched.

“On the daily charts, we can observe that the Nifty has been consolidating after a rally of 800 points. The hourly momentum indicator has a negative crossover and hence we expect the consolidation to continue over the next few trading sessions. The range of consolidation is likely to be 24000 – 24200. The ideal strategy to trade such a consolidation would be to buy on decline near support zone 24080 – 24000,” said Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas.

Foreign institutional investors (FII) sold shares net worth Rs 426.03 crore. However, domestic institutional investors (DII) bought shares net worth Rs 3,917.43 crore on June 28, 2024, according to the provisional data available on the NSE.

The US Dollar Index (DXY), which measures the dollar’s value against a basket of six foreign currencies, was trading up 0.04% at 105.89 on Tuesday morning.

The Wall Street or US markets kickstarted the second half of 2024 on a higher note. The Nasdaq closed at a record high buoyed by the tech giants like Apple, Microsoft, and Nvidia. The broader market index, the S&P 500, advanced 0.27% to close at 5,475. Similarly, the tech-heavy Nasdaq Composite rose 0.83% to settle at 17,879. Following the trend, the Dow Jones Industrial Average inched up 50.66 points, or 0.13%, to end at 39,169.52.