Comments on the Market by Mr. Kiran Kumar Kavikondala, Director & CEO, WealthRays Securities

Synopsis:

Indian benchmark indices opened higher today taking strong cues from globalmarkets and easing tensions in Ukraine and Iraqi crisis. Rupee remainedstable today taking strong support near 61.25 levels. Nifty opened around 54 points higher today and rallied to regain 7700 mark after remaining in arange of 20-25 points for most of the session.

Nifty closed at 7727.05 and Sensex at 258801.77, up more than a percent.

The rally was fired by support in rate sensitive stock and OMCs. Banks participated in latter hours of the trade. The perception that CPI may ease
slightly and remain on a downward trajectory fuelled strength in markets. IIP is also seen registering modest gains.

Indian Markets

Indian benchmark indices opened higher today taking strong cues from global markets and easing tensions in Ukraine and Iraqi crisis. Rupee remainedstable today taking strong support near 61.25 levels. Nifty opened around 54 points higher today and rallied to regain 7700 mark after remaining in a range of 20-25 points for most of the session. Nifty closed at 7727.05 and Sensex at 258801.77, up more than a percent. The rally was fired by support in rate sensitive stock and OMCs. Banks participated in latter hours of the trade. The perception that CPI may ease slightly and remain on a downward trajectory fuelled strength in markets. IIP is also seen registering modest gains. Rupee had a volatile session today ahead of crucial CPI and IIP data. USD INR touched intraday high at 61.2175 after opening flat. As the equity markets closed, Rupee faced resistance at 61.1. Demand from Oil importers kept Rupee under pressure. Also, Dollar showed strength against European currencies and Asian currencies remained mixed against USD. USD Index was trading on higher side up by 0.22%. GOI 10 -year yields moved higher by 22 bps.


Other Asian Markets

Asian markets closed in green today after global tension eased in Ukraine. SSE composite traded cautious ahead of crucial industrial output data
tomorrow. Nikkei closed 0.18% tracking gains from US. Other Asian markets held on to their gains and closed in green.

Commodity Outlook:

Commodity Market showed a lot of strength in the morning session. Gold and Silver Prices were rising in the morning session as Geopolitical tensions in Ukraine in Iraq kept Equity markets flat. Crude Oil Prices were dipping and trading was cautious ahead of US supply data. Natural Gas Prices were flat. Base Metals made lot of gains as global supply of Base metals is seen reducing.

Evening outlook:

Gold and Silver Prices is expected to be steady; Crude Oil and Natural Gas could trade cautiously ahead of US supply data and Base Metals is expected to show strength

Stock Recommendations:

Power Grid Corp. of India - Buy at ` 132.25 (CMP); Target -` 134; Stop Loss - ` 131'

Sobha Devlopers - Sell at `424.25 (CMP); Target -` 419; Stop Loss - ` 427

Punjab National Bank - Buy at `919.20 (CMP); Target - ` 935; Stop Loss - `910

Sectors Snapshot

Bank Nifty: Bank Nifty opened higher today ahead of Inflation numbers and remained flat in a range for most of the session to rally in final hour of
the trade. Private Banks were strong and PSBs also participated in the up move. The rally was seen on back of easing inflation expectations and a
positive IIP data.

CNX Energy: Easing Iraq tensions and Oil prices and stiff resistance held by USD INR at 61.5 helped OMCs to gain today. BPCL and Oil India posted better than expected Q1 results. BPCL gained 3%, while top gainer was GAIL after its Q1 results, closing up by 5.9%.

CNX Pharma: Pharma stocks also witnessed inflows with Glenmark Pharma and Sun Pharma rallying 4.92% and 2.71% respectively. The index held its momentum on back of stock earnings of its constituents and showed steady gains throughout the day.

CNX Media: CNX Media index saw marginal gains in a flat session. Den Networks and Network 18 were top gainers, closing up by more than 3%.

India VIX: India VIX lost 3.79% as equity markets rallied ahead of major Marco data.

Market Movers

Gainers

TATA MOTORS: Shares of Tata Motors gained 6.15% due to strong results shown by the company. It touched an intraday high of 482 and closed at 474. Shares were up by 7.7% on Pre-Open and some profit booking was seen, yet it was the best performer in Nifty.

Losers

Bharti Airtel Ltd: Shares of the company were down as the Telecom sector was seen down. it fell by 1.73% to close at 369.95 as some profit booking was seen at higher levels. Buying was also seen near the end of the session.