Latest news with #NiftyMidcap
Mint
2 days ago
- Business
- Mint
RBI policy impact: Sensex soars 800 points, Nifty tops 25,000 as surprise 50 bps rate cut lifts Indian stock market
RBI policy impact on Indian stock market: Indian benchmark indices Sensex and Nifty ended higher on June 6, reversing early losses after the Reserve Bank of India (RBI) surprised markets with a larger-than-expected 50 basis points repo rate cut in its June monetary policy review, a move that sparked optimism across sectors and lifted investor sentiment. The RBI-led Monetary Policy Committee (MPC), under Governor Sanjay Malhotra, also shifted the policy stance from 'Accommodative' to 'Neutral'. The benchmark Sensex climbed over 800 points to its intra-day high of 82,299.89, while the Nifty added over 250 points to its day's high of 25,029.50. The positive momentum extended to the broader markets as well, with the Nifty Midcap index rising 0.8 per cent and the Nifty Smallcap index advancing 0.6 per cent. Meanwhile, the India VIX declined another 2 per cent, indicating reduced volatility expectations. In a further signal of confidence, the central bank revised its CPI inflation forecast for FY26 downward to 3.70 per cent from 4 per cent, while retaining the GDP growth projection at 6.5 per cent. The dovish policy tone triggered strong buying in rate-sensitive sectors. The Nifty Realty index surged 4.3 per cent, becoming the top-performing sector, as investors cheered the supportive outlook for housing demand and affordability. The Nifty Financial Services index rose by almost 2 per cent, while Nifty Bank added 1.5 per cent and Nifty Auto rose 1 per cent. Other gainers included the Nifty Metal index, up over 1 per cent, and the Nifty Oil and Gas index, which added 0.4 per cent. However, defensive sectors like Nifty IT and Nifty Pharma closed in the red as investors rotated into cyclical and growth-oriented plays. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, offered a nuanced take on the development. 'While the 50 basis point rate cut is growth-positive, it could be marginally negative for the markets in the near-term. This move appears to front-load the rate easing cycle, and the shift in stance to 'Neutral' signals that further cuts may not come soon unless conditions change dramatically,' he said. He added that bank margins could face short-term pressure due to the aggressive cut, though any weakness may be offset by the pick-up in credit demand and improved loan growth over time. According to Sonam Srivastava, Founder and Fund Manager at Wright Research PMS, the unexpected 50 basis point rate cut highlights the RBI's growing focus on stimulating economic growth amidst moderating inflation and global monetary easing. 'With real rates still elevated and domestic demand showing uneven trends, this move is intended to unlock credit growth, revive private sector investment, and ease repayment burdens for borrowers,' she said. Srivastava also noted that key sectors such as housing, auto, banking, and infrastructure are likely to benefit as transmission picks up pace. She added, 'The move improves the medium-term outlook for consumption and capital expenditure. Bond markets, especially in the long-duration segment, are expected to rally, setting the stage for a more accommodative environment going into the second half of the year.' The RBI's bold and unexpected rate cut delivered a clear message of pro-growth intent, reinforcing confidence in India's monetary policy trajectory. While the move triggered gains across equities, especially in interest rate-sensitive sectors, analysts remain watchful of the evolving credit environment and transmission trends. With inflation expectations cooling and global easing cycles underway, the RBI's pivot could support a broad-based recovery, even as markets weigh the near-term implications for banking margins and liquidity.
Mint
3 days ago
- Business
- Mint
RBI's surprise 50 bps rate cut lifts markets, Sensex soars over 500 points, Nifty above 24,900
Indian benchmark indices Sensex and Nifty ended higher on June 6, reversing early losses after the Reserve Bank of India (RBI) surprised markets with a larger-than-expected 50 basis points repo rate cut in its June monetary policy review. The RBI-led Monetary Policy Committee (MPC), under Governor Sanjay Malhotra, also shifted the policy stance from 'Accommodative' to 'Neutral', a move that sparked optimism across sectors and lifted investor sentiment. The benchmark Sensex climbed 534 points to its intra-day high of 81,975.79, while the Nifty added 175 points to its day's high of 24,925.95. The positive momentum extended to the broader markets as well, with the Nifty Midcap index rising 0.5 percent and the Nifty Smallcap index advancing 0.4 percent. Meanwhile, the India VIX declined another 2 percent, indicating reduced volatility expectations. According to Sonam Srivastava, Founder and Fund Manager at Wright Research PMS, the unexpected 50 basis point rate cut highlights the RBI's growing focus on stimulating economic growth amidst moderating inflation and global monetary easing. 'With real rates still elevated and domestic demand showing uneven trends, this move is intended to unlock credit growth, revive private sector investment, and ease repayment burdens for borrowers,' she said. Srivastava also noted that key sectors such as housing, auto, banking, and infrastructure are likely to benefit as transmission picks up pace. She added, 'The move improves the medium-term outlook for consumption and capital expenditure. Bond markets, especially in the long-duration segment, are expected to rally, setting the stage for a more accommodative environment going into the second half of the year.' In a further signal of confidence, the central bank revised its CPI inflation forecast for FY26 downward to 3.70 percent from 4 percent, while retaining the GDP growth projection at 6.5 percent. The dovish policy tone triggered strong buying in rate-sensitive sectors. The Nifty Realty index surged nearly 3 percent, becoming the top-performing sector, as investors cheered the supportive outlook for housing demand and affordability. The Nifty Auto, Nifty Bank and Nifty Financial Services indices rose by over 1 percent each. Other gainers included the Nifty Metal index, up 0.9 percent, and the Nifty Oil and Gas index, which added 0.4 percent. However, defensive sectors like Nifty IT and Nifty Pharma closed in the red as investors rotated into cyclical and growth-oriented plays. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, offered a nuanced take on the development. 'While the 50 basis point rate cut is growth-positive, it could be marginally negative for the markets in the near-term. This move appears to front-load the rate easing cycle, and the shift in stance to 'Neutral' signals that further cuts may not come soon unless conditions change dramatically,' he said. He added that bank margins could face short-term pressure due to the aggressive cut, though any weakness may be offset by the pick-up in credit demand and improved loan growth over time. The RBI's bold and unexpected rate cut delivered a clear message of pro-growth intent, reinforcing confidence in India's monetary policy trajectory. While the move triggered gains across equities, especially in interest rate-sensitive sectors, analysts remain watchful of the evolving credit environment and transmission trends. With inflation expectations cooling and global easing cycles underway, the RBI's pivot could support a broad-based recovery, even as markets weigh the near-term implications for banking margins and liquidity. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Hans India
3 days ago
- Business
- Hans India
Trade Setup for June 6: Nifty eyes RBI cue to breakout towards 25,000+
Indian equities saw a volatile but rangebound session on June 5, with the Nifty 50 closing at 24,751, up 131 points. Despite midday gains of nearly 200 points, the index gave up most of them before ending higher. Support at 24,500 remains strong, keeping the bullish bias intact. 🔑 Key Technical Levels Support: 24,500 Immediate Resistance: 24,900 Breakout Trigger: Sustained close above 24,900 could open doors to 25,000+ 🏦 Eyes on RBI Markets are pricing in a 25 bps repo rate cut by the RBI on June 6 — the third cut this year. A deeper cut could spark bullish sentiment and push Nifty past its current ceiling. 💹 Sector & Stock Highlights Outperformers: Realty, Pharma, Healthcare Underperformers: PSU Banks, Auto, Media Top Gainers: Eicher Motors, Trent, Dr Reddy's Top Laggards: IndusInd Bank, Tata Consumer, Axis Bank Buzzing Stocks: Reliance Industries (+1%) on JPMorgan upgrade DLF, Godrej Properties on continued realty rally Hindustan Zinc (+6%) amid record silver prices 📊 Broader Market Trends Nifty Midcap 100: +0.53% Nifty Smallcap 100: +0.96% (4-month high) 📉 Analyst Views Golden crossover on Nifty's daily chart hints at short-term uptrend (Rupak De) Base formation near 24,500 supports bullish continuation (Devarsh Vakil) Watch for a decisive break above 24,900 for momentum to pick up (Om Mehra) Strategy for Traders: Long bias if Nifty holds above 24,500 and breaks past 24,900 Cautious near resistance if RBI outcome disappoints Watch rate-sensitive sectors (Realty, Banks, Auto) closely post-policy
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Business Standard
29-05-2025
- Business
- Business Standard
F&O expiry alert! Which way will the Nifty swing? Data, analysts say this
The Nifty May futures & options (F&O) contracts are scheduled for the monthly expiry today, Thursday, May 29, 2025. In the run-up to the expiry day, the NSE Nifty 50 index has exhibited a fair amount of volatility as the index swung on either side of the 25,000-mark. At present levels of 24,752, the Nifty has declined 1.5 per cent from its May month high of 25,116 hit on May 15; but still quotes with a gain of 2 per cent, thus far, in the May series. The NSE benchmark had hit a low of 23,848 in the current series. NSE F&O data shows this Data from the NSE F&O segment shows that foreign institutional investors (FIIs) net sold index futures - a combination of all 5 listed index futures Nifty, Bank Nifty, Nifty Midcap, FinNifty and NiftyNext worth ₹9,770 crore - in spite for a 8-day buying streak earlier in the May series. Amid the recent volatility, and rollovers to the June series, FIIs open interest in index futures has increased by 24.6 per cent or 36,820 contracts in the last five trading sessions. F&O data shows that FIIs have increased short bets in index futures in recent days, as the long-short ratio from 0.84 on May 15 - the day Nifty hit the series high - has dropped to 0.4 levels. This ratio implies that FIIs now hold nearly 5 short positions in index futures for every 2 buy-side holdings. ALSO READ | These 5 pharma stocks can fall up to 12% as technical charts flag caution Among the other participants, domestic institutional investors (DIIs) and retail investors are seen holding bullish bets, with ratio at 1.17 and 1.61, respectively. Proprietary traders, however, hold a slightly bearish bias with long-short ratio standing at 0.86. Nifty options data The Nifty Put-Call-Ratio for the May expiry stands at 0.66 shows the NSE data. Highest open interest in Nifty Call stands at 26,000 Strike Price; while highest open interest in Nifty Put is seen at 24,000 Strike. Trading activity on Wednesday hints at a likely Call writing at 24,800 Strike, with sizeable build-up at 25,000 Call. On the other hand, notable open interest in Nifty Put is seen at 24,500 Strike, hinting at likely support. Here's what analysts expect on the Nifty expiry day Analysts fear that any bounce back from the present level, could turn out to be a bull trap and recommend adopting a 'sell-on-rise' trade for now. ALSO READ | 5 stocks to bet on as Nifty Smallcap reaches 200-DMA; check full list here On the futures contract front, FPIs are doubling down, aggressively ramping up their short exposure, showing no hint of stepping off the gas. Any minor bounce could end up as just another bull trap, triggering more selling waves and keeping the tone stuck in neutral-to-bearish gear, said Dhupesh Dhameja, Derivatives Research Analyst at SAMCO Securities in a note. Major support is parked at 24,700; a clean break under that could yank the floor out, sparking a sharper selloff. On the flip side, a sharp rally above 25,100 might force the bears to scramble for cover, possibly driving the index up to the psychological 25,300 zone and triggering some short-lived long plays, the note read. Technically, the Nifty on Wednesday formed a red candle on the daily chart, indicating weakness. However, it continues to trade above its 21-Day Exponential Moving Average (21-DEMA), which is positioned near 24,570. As long as the Nifty holds above this level, the probability of a pullback move cannot be ruled out. On the upside, the index is likely to face strong resistance near the 25,000–25,100 zone, said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates in a note.
Mint
26-05-2025
- Business
- Mint
City Union Bank to Moil - Vinay Rajani of HDFC Sec suggests these 3 stocks to buy in the near-term
Stock market today: The Indian stock market started on a positive note as major indices Nifty 50 and Sensex kicked off the trading day with gains, reflecting a favourable sentiment. The Sensex rose by 0.66% or 537 points to reach 82,270, while the Nifty 50 climbed 0.62% or 154 points to hit 24,999. The domestic benchmark indices rallied in early trading on Monday following reports that India has ascended to become the world's fourth-largest economy. In addition, the early onset of the monsoon, the Reserve Bank's announcement of a record ₹ 2.69 lakh crore dividend to the government for FY25, and US President Donald Trump's postponement of 50 percent EU tariffs to July 9 contributed to the market's optimistic outlook, as noted by experts. As of 12:42 IST, the Nifty 50 rose 0.47% or 121.70 points at 24,975.70 level, and the Sensex increased 0.50% reaching 82,126.87 levels. Vinay Rajani of HDFC Securities recommends ICICI Prudential Nifty India Consumption ETF, City Union Bank, and Moil shares in the short-term. Also, check out his views on the overall market. Last week, Nifty 50 found support on its 20 DEMA and bounced back. 20 days EMA is currently placed near 24,500 levels. Nifty 50 is currently placed above all key moving averages, indicating bullish trend on all time frames. Last week's low and 20 days EMA are projecting strong support in the zone of 24,450-24,500 for the Nifty 50. Nifty 50 is currently passing from the consolidation, which will be violated once Nifty 50 breaks out above 24,950 resistance. Above 24,950, Nifty 50 could head towards next resistance band of 25,200-25,300, derived from the 76.4% and 78.6% retracement of the entire fall seen from all time high of 26,277 to recent swing low of 21,743. Bank-Nifty has been consolidating in the narrow range for last 5 weeks. Any level above 55,700 would confirm the fresh breakout on the upside. On the lower side band of 54,400-54,500 could offer support in the index. Nifty Midcap index has found resistance on the downward sloping trend line, while Nifty Small-cap index has formed 'Doji' candlestick pattern on the weekly charts. These developments show some sign of caution in the broader market. However, If these indices surpass the last week's high then they would negate the possibility of bearish trend reversal. Nifty PSU Bank index has broken out from the downward sloping trendline on the weekly chart. Weekly Ratio chart of PSU Banks vs Nifty 50 also confirms the potential outperformance from PSU banks. Apart from PSU Banks, Metal Index is showing good strength on the chart and should perform well in the days to come. Emerging and Asian market equity indices also have been in to narrow consolidation for last many sessions. Dollar index has resumed its down trend, as it has showed bearish breakout from 'Flag' pattern on the weekly chart. Falling dollar is usually augurs well for emerging markets and bullions. Primary trend is bullish but for the short-term consolidation is going on in the Nifty 50. Traders should continue to hold on to the long positions with 24,450 stoploss in the Nifty 50. Any level above 24,950 will confirm the fresh bullish breakout. Above 24,950, we can expect Nifty 50 to extend the rise towards next resistance zone of 25,200-25,300. Vinay Rajani of HDFC Securities recommends these three stocks in the near term - ICICI Prudential Nifty India Consumption ETF, City Union Bank, and Moil. Downward sloping trend line breakout on the weekly chart. Price has been sustaining above 200 DEMA resistance. Price is now placed above 20, 50 and 200 days EMA. Daily and weekly RSI has reached above 50, indicating sustainable up trend. Weekly MACD is now placed above signal and equilibrium line Breakout from Symmetrical triangle pattern on the weekly chart. City Union Bank share price has been sustaining above 200 DEMA resistance. Stock price is now placed above 20, 50 and 200 days EMA. Monthly RSI has reached above 50, indicating sustainable up trend. Weekly MACD is now placed above signal and equilibrium line. Breakout from the long term consolidation. MOIL share price has been sustaining above 200 DEMA resistance. Stock price is now placed above 20, 50 and 200 days EMA. Daily RSI has reached above 50, indicating sustainable up trend. Daily MACD is now placed above signal and equilibrium line. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
