Market Analysis: Sensex and Nifty Likely to Open Positively
On February 22nd, the benchmark Sensex and Nifty indices are expected to start the day on a positive note. Trends in the GIFT Nifty suggest a higher opening for the broader index, with an anticipated gain of 83.50 points. The previous day saw a halt to the six-day winning streak as traders opted to secure profits, particularly impacting IT and oil and gas stocks, which were the primary drags on the indices.
The 30-share flagship Sensex concluded the previous session 434.31 points (or 0.59 percent) lower at 72,623.09, while the Nifty dropped by 141.90 points (or 0.64 percent) to settle at 22,055.05. As per the pivot point calculator, immediate support for the Nifty is expected at 22,005, followed by 21,945 and 21,849 levels. Conversely, resistance levels may be encountered at 22,197, 22,256, and 22,352.
GIFT Nifty Trends and Global Markets
Trends in the GIFT Nifty point towards a robust start for the broader index in India, with an expected gain of 83.50 points or 0.38 percent. The Nifty futures were trading around the 22,131.50 level. Meanwhile, in the US markets, the S&P 500 and Dow Jones saw marginal gains, while the Nasdaq experienced its third consecutive session of decline, awaiting Nvidia’s earnings release.
Asian markets exhibited mixed trading patterns, with Japan’s Nikkei advancing towards record highs despite concerning business activity data from the country. Japan’s factory activity extended declines in February, indicating worsening business conditions amid struggles to emerge from recession.
Bharat’s Economic Outlook and Corporate News
On a brighter note, global brokerage Jefferies projected India to become the third-largest economy by 2027, with a GDP of $5 trillion. This optimistic outlook is attributed to consistent GDP growth rates, supportive geopolitics, market cap surges, ongoing reforms, and a strong corporate culture.
In corporate developments, Lunolux Ltd, the promoter entity of Eureka Forbes, is set to offload a 12 percent stake in the home appliances company via block deals, amounting to approximately Rs 1,150 crore. Additionally, the Federal Reserve’s meeting minutes met expectations, with policymakers primarily concerned about the risks of premature interest rate cuts.
Commodity and Institutional Investment Trends
In commodity markets, oil prices rose by 1 percent amid ongoing geopolitical tensions in the Middle East and signs of near-term supply tightness. Foreign institutional investors (FIIs) net bought shares worth Rs 284.66 crore, while domestic institutional investors (DIIs) sold shares amounting to Rs 411.57 crore on February 21st.
Stocks Under F&O Ban on NSE
The National Stock Exchange (NSE) has included Ashok Leyland, Piramal Enterprises, and PVR INOX to the F&O ban list for February 22nd. Meanwhile, SAIL was removed from the said list, while several other stocks remain under restriction.
Comments