InvestorQ : Why was the Nifty and Sensex struggling to move up on 13 October? How do you see the stock market on 14 October?
Riya Dwivedi made post

Why was the Nifty and Sensex struggling to move up on 13 October? How do you see the stock market on 14 October?

Answer
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diksha shah answered.
2 weeks ago


One reason for the market struggling has been that the rally has been continuing for more than 9 days now. Also the rally has been driven by IT stocks and by little else. Even on Tuesday, markets were enthused ahead of the results, Infosys and HCL Technologies.

In terms of results announced on Tuesday, the Wipro numbers were flat on a yoy basis but showed good traction on a sequential basis. Of course, the Rs.9500 crore bonus issue will be an added edge to the stock and will raise hopes for other IT stocks too.

Markets are likely to be disappointed with Vedanta as the company has surely taken a hit on the corporate governance front. The stock is likely to remain under pressure and traders can expect this effect to rub off on most of the metal and alloy stocks.

FPIs continued to be net buyers lapping up Rs.832 crore worth of equities on 13 October while DFIs sold Rs.1674 crore on Tuesday. Pressure of profit booking appears to be quite intense on the domestic front as is evident from the DFI flow numbers.

Global markets were under pressure on Tuesday, albeit marginal. Dow and most European markets were down while NASDAQ was flat with negative bias. SGX Nifty is under pressure and trading around 50 bps lower in early trades following cues from Asia.