Sun setting down near Dalal Street somewhere?

*The Week That Was @ 7:30 AM – Saturday, October 19th 2024*

October 14th to October 18th 2024.

# Amidst turbulence and rocky environment, Nifty ended lower for the 3rd straight week.

# Strictly speaking, the bears were back with a vengeance and the negative takeaway was that the bears are not only back in town but they are about to lay Dalal Street under siege.

Nifty (-0.44%, 24854)
Sensex (-0.19%, 81225)

 

Fear was back on Dalal Street as investors were seen cutting their bullish bets amidst negative catalysts like:

1) Intense FIIs selling (This October month, FIIs have pulled out over Rs 80,218 crore from Indian equities).

2) Uninspiring corporate India’s Q2 earnings.

3) Uncertainty over the Middle East conflict.

4) Persistent concerns over Chinese demand.

5) Traders also brace for Maharashtra Assembly polls which will be held in a single phase on November 20. Jharkhand polls will be held in two phases on November 13 and 20th.

Counting of votes for the two states will take place on November 23.

# Interestingly, the pessimism at Dalal Street was despite the three silver-linings:

1) A jubilant Wall Street where Dow Jones and the S&P 500 were scaling new record highs while the Nasdaq is nearing its 1st record high since July 2024.

2) WTI crude futures have fallen below $70 per barrel after Israel says it won’t strike Iran’s Nuclear and Energy Sites.

3) Bullish traders have even shrugged-off the fact that the SIP flows had created new high of ₹24,509 Crore in September 2024.

# Long story short: Nifty’s downside risk seen at 23900-24300 zone. Nifty’s 200-DMA at 23310 mark.

Weekly Recap:
Instruments LTP Weekly % Change
Nifty
24854 (-0.44%)
Sensex
81225 (-0.19%)
Bank Nifty 52094 +1.80%
Nifty Midcap 16461 (-0.36%)
India VIX 13.04 (-1.38%)

Dow Jones 43276 +0.85%
Nasdaq 20324 +0.26%
Bovespa 130499 +0.39%

Crude Oil 68.95 (-8.74%)
Gold 2715 +2.19%
Silver 32.41 +2.74%
USD/INR 84.06 (-0.05%)

# Here are how indices performed in the week gone by:

5) Nifty ended 0.44% lower as cautious trading prevailed all-thru the week and the negative takeaway was that Nifty ended way below the psychological 25000 mark.

6) Bank Nifty however stole the limelight, ending 1.8% higher.

7) Nifty Private Bank index inched 1.33% higher while Nifty PSU Bank index rose 0.99% higher on weekly basis.

8) In broader markets, the Nifty Mid-cap 100 index inched 0.36% lower while the Nifty Small-cap index gained 0.36%.

Bullish Sectors:
Nifty Reality Index (+0.64%)
Nifty Infra Index (+0.18%)

Bearish Sectors:
Nifty Auto Index (-4.88%)
Nifty Metal (-1.80%)
Nifty Media (-1.69%)
Nifty FMCG Index (-1.67%)
Nifty Oil & Gas Index (-1.64%)
Nifty Pharma (-0.96%)
Nifty Energy (-0.75%)
Nifty IT (-0.54%)
Nifty PSE Index (-0.34%)

STOCK SPECFIC NEWS:

1) Hyundai IPO was subscribed 2.37x; QIBs lead with 7 times subscription.

Hyundai Motor India IPO actually failed to entice retail investors amidst concerns about weakening auto demand and weakness in the broader market.

2) Zomato tumbled 7% to Rs 255 even as the company announced its fund-raising plan on Friday, October 18

3) Mazagon Dock Shipbuilders zoomed 7.3% higher to Rs 4,549 per after the company announced that the board of directors will meet on October 22 to consider stock-split.

4) Nestle India plunged 6.45% after the FMCG major reported mixed numbers for the September 2024 quarter as it faced high commodity prices and some of its key brands faced softer consumer demand.

5) Bajaj Auto tumbled 15% on weak festival sales, also amidst reported a 31.4% drop in consolidated net profit to ₹1,385 crore in the quarter ended September 30, 2024.

6) Wipro Ltd announces 1:1 bonus share issue and reported 21% rise in Q2 FY25 net profit at Rs 3,209 crore, far exceeding analyst expectations.

7) Infosys Q2 missed street’s estimate, despite net profit rising to Rs 6,506 crore. INFY raised its full-year revenue growth guidance to 3.75-4.5%.

 

# In the week gone by, notable gainers amongst Nifty 50 were:
WIPRO +3.85%
ICICI BANK +3.39%
LARSEN +2.74%
SBI +2.58%
HDFC LIFE +2.57%

# And the losers were:
BAJAJ AUTO (-15.26%)
NESTLE (-6.43%)
TRENT (-5.67%)
BAJAJ FINANCE (-5.51%)
M&M (-5.43%)

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