Daily Market Commentary - Aug 16, 2023 - Bonanza Portfolio
Posted On:
2023-08-16 18:14:42 (Time Zone: IST)
Omkar Kamtekar - Research Analyst, BONANZA PORTFOLIO LTD
The Nifty opened lower by 65 points while Sensex shed 163 at the open, and continued downwards to mark an intraday low of 19,317.2 for Nifty and 65,032.89 for Sensex. Investor sentiment took a hit as the IIP and Inflation print came in much worse than the expectation of the street. Vegetable prices were the biggest culprit for the spike in inflation, however RBI Governor during his policy statement last week mentioned that the rise in vegetable prices are transient in nature.
This dip was bought into throughout the day and both the headline indices closed in the green with gains of 30.45 / 137.5 points for Nifty / Sensex respectively, indicating there is buying strength at a meaningful dip. A similar story was seen in the boarder markets as well, which recouped the losses in early trade to comfortably close in the green by the close of trade.
SBFC Finance saw a stellar debut listing at a 44% premium and closing the session with 61.75% gains. Further, the cabinet approved the PM e-Bus Seva Scheme, wherein 10,000 new e-Buses would be rolled out across 100 cities, the total outlay of this scheme is pegged at Rs. 57,613 crs, with the Central government contributing Rs. 20,000 crs and the balance by state government. This led to a sharp rally in the stocks of Olectra (8.76%) and JBM Auto (10.13%).
Hospital stocks saw significant buying interest with Apollo Hospitals being the top gainer in Nifty alongside, Ultratech Cement and NTPC. Banking and Metals stocks saw selling pressure with Tata Steel and Hindalco being among the top losers for Nifty.
