Markets Watch: Why banking stocks are looking so dull | The Economic Times Markets Podcast

Markets Watch: Why banking stocks are looking so dull | The Economic Times Markets Podcast

Welcome to ETMarkets Watch, the show about stocks, market trends and money-making ideas. I am Nikhil Agarwal and here are the top headlines at this hour.

Sensex, Nifty close at another record high
As inflation slows, RBI resumes monetary easing, defends policy framework
SC says will pass orders tomorrow staying implementation of farm laws
India to grow at 10.1% in FY2022: Icra
Passenger vehicle retail sales increase 24% in December

Let us take a quick glance at what happened on the Dalal Street today.

A surge in virus cases in mainland China might have hurt sentiment across Asia and Europe, but domestic stocks stayed unfazed on Monday, rejoicing a strong start to earnings season and hoping more dollars will flow into India on a likely trillion dollar-plus stimulus in the US.

Sensex climbed 487 points to close at a fresh record of 49,269.32 while Nifty settled near 14,500. IT stocks rallied after TCS’ Q3 beat. HCL Tech rallied 6.09 per cent to Rs 1,055. Infosys advanced 4.90 per cent. Tech Mahindra gained 2.5 per cent, while TCS advanced 1.75 per cent after a flurry of target upgrades.

HDFC, Maruti Suzuki, Bajaj Auto, M&M and ONGC were some other prominent gainers for the day, rallying up to 3.5 per cent. The Bajaj duo, Reliance Industries, L&T and Kotak Mahindra Bank fell up to 2 per cent.

Among other top gainers, Tata Motors soared 11 per cent.

We caught up with AK Prabhakar of IDBI Capital to know his views on the direction of the market and different sectors.

Welcome to the show, Mr Prabhakar

1) Banking stocks did not participate much in Monday’s gains. Is it due to sectoral rotation or uncertainty over earnings?

2) What are the takeaways for IT sector following TCS’ strong Q3 beat?

3) Where do you see benchmark indices in the run-up to the Budget?

On technical charts, the index ended close to its immediate resistance level of 14,500 but analysts said nothing on technical charts suggest the Nifty50 rally is in danger. We caught up with technical analyst Nirav Chheda from Nirmal Bang Securities to decode the charts.

Welcome to the show, Mr Chheda

1) Nifty is hitting new highs every day. Are there any warning signals on technical charts? Where is it headed?

2) Nifty Bank underperformed the market on Monday. What is the broader trend there?
Globally, Asian markets mostly ended lower. European markets too were ruling lower in the first few hours of trade. US stock futures were hinting at a negative opening for US equities later in the day.

That’s all for now. Do check out for all the news, market analysis, investment strategies and dozens of stock recommendations. Enjoy your evening. Bye Bye!

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