Asian Paints, SBI Life Insurance, Divi’s Lab, HDFC Life Insurance, and Grasim Industries were the top gainers in the Nifty 50. While M&M, Tata Steel, TCS, Hindalco, and Hero MotoCorp were the major losers in the Nifty 50 on July 10.

Mahindra & Mahindra clarified that there’s no link between the UP Government waiving 100% registration tax and the company reducing the price of XUV700.

“The announced price cut of XUV700 is a continuation of our business strategy execution that was articulated in our February 14, 2024 analyst meeting where we clearly outlined that “we have to bring the average price point down to drive growth”.

“Indian Rupee gained by 0.01% today on weak crude oil prices. However, weak domestic markets capped sharp upside. US Dollar gained as Fed Chair Jerome Powell offered no fresh cues on timing of rate cut. He said that the inflation trend is encouraging; however, the Fed will need more data to gain confidence in cutting rates. He cautioned that lowering interest rates too little or too late could put the economy and the labor market at risk as inflation is not the only risk the US economy faces now,” said Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas. “We expect Rupee to trade with a slight negative bias on weakness in domestic market and positive tone in the Dollar. Investors may remain cautious ahead of Fed Chair, Jerome Powell’s testimony to the US Congress and inflation data tomorrow. USDINR spot price is expected to trade in a range of Rs 83.20 to Rs 83.80.”

“A strong US dollar and higher US Treasury bond rates have led to a small resurgence in gold prices. Fed Chair Powell warned that cutting interest rates too fast or too little might put the economy at danger, saying that “elevated inflation is not the only risk we face.” While rate increases are a possibility if the evidence justifies it, he continued, the most likely course would be to “begin to loosen policy at the right moment.” According to WGC, June saw a second month of inflows into gold ETFs. Overall fund holdings increased to 3,106 tonnes, an increase of almost 18 tonnes. This is in contrast to the People’s Bank of China’s June decision to forgo purchasing gold, which it made in May,” said Renisha Chainani, Head of Research at Augmont – Gold For All.

On Tuesday, spot gold closed with a gain of around 0.20% at $2363 as the Fed Chair Powell, in his testimony to the US Senate Banking Committee, offered largely a balanced view on the US economy and the Federal Reserve’s monetary policy. In his testimony, the Fed Chairman said that the inflation trend is encouraging; however, the Fed will need more data to gain confidence in cutting rates. He cautioned that lowering interest rates too little or too late could put the economy and the labor market at risk as inflation is not the only risk the US economy faces now.

“The metal at $2372 is up nearly 0.37% presently. Markets will focus mainly on the Fed Chair Powell’s testimony to the House Financial Services today. On Thursday, the US CPI (June) will be released, which is crucial as traders look for possibility of rate cuts in September. Buying the dips is preferred on possibility of the US CPI inflation continuing to trend lower. The yellow metal has a support at $2342 /$2315. Resistance is at $2400 /$2450,” said Praveen Singh – Associate Vice President of Fundamental Currencies and Commodities at Sharekhan by BNP Paribas.

Shares of Mahindra & Mahindra fell 7.8% to an intraday low of Rs 2,697.90 in the weak market. The stock was the major losers in the top 50-stock compiled index. The lower circuit for the stock is placed at Rs 2,632.95.

“June was a watershed month in MF industry with the AUM number hitting 60 trillion rupees for the very first time. The industry ten years back in 2014 used to be 10 lakh crore. We have crossed 60 lakh crore for the first time as an industry to close at 61.3 lakh crore. It is also important to note that exactly 6 months back we were 51 lakh crore and we have added 10 lakh crore in this period! The addition in 6 months is equal to what we were as an industry 10 yrs back!” said Anand Vardarajan, Chief Business Officer of Tata Asset Management.

“Equity flows continue to be strong and sectoral theme seems to be seeing strong interest. Most categories in equity have been positive including Value and Contra which was tepid up until now. Arbitrage category has softened in terms of flows in the last two months. Multi asset saw strong inflows on the back of investors wanting to diversify risk. Given the market stance, investors haven’t shied from being in risk on mode with Hybrids taking a breather while pure equity diversified funds especially flexicap, multicaps seeing higher interest,” he said.

Fixed income flows have been negative except for money market and low duration which saw positive flows largely driven by higher yields and quarterly cross over investments.

“Emcure Pharma debuted the markets with strong listing gains in line with our expectations along with robust demand received from all types of investors. We believe the investor demand has come considering reasonable valuations and an opportunity to invest in the leading pharmaceutical company in India in the gynecology and HIV antiviral therapeutic areas,” said Prashanth Tapse, Senior Vice President of Research at Mehta Equities.

While for long term investors given its strategic focus on high-growth therapeutic areas, innovative product portfolio, successful global expansions coupled and solid R&D foundation, Emcure is well-positioned for sustained growth for long term as well. Hence, we recommend allotted investors to “HOLD” the Emcure Pharmaceuticals Ltd for a long term perspective.”

“Currently, the Indian equity market appears to be fairly valued, with significant growth potential in both large-cap and small-cap segments. Recent data from June 24 indicates a notable increase in inflows into large-cap and mid-cap categories over the past two months. Additionally, the contra or value category has attracted strong inflows, signalling investor confidence in these segments. Conversely, while sectoral and thematic investments experienced high inflows earlier in June, their growth has recently slowed. Notably, despite leading in inflows over the past year, small-cap investments have seen a moderation in investor interest this month.

SIP numbers are hitting peaks every month, accumulating a stellar Rs 21,260 crore. This strengthens the fact that Indian investors are resilient and are participating in the long-term growth of the market,” said Feroze Azeez, Deputy CEO of Anand Rathi Wealth.

The overall market behaviour supported by numbers suggests that investors are strategically positioning themselves with a cautious yet optimistic approach for long-term growth.

Shares of Delta Corp fell 6% to an intraday low of Rs 134.41 after the company reported weak Q1 performance. The company posted a decline of 68% on year in its net profit standing at Rs 21.7 crore in the Q1 of FY25, compared to Rs 67.9 crore in the corresponding quarter a year ago. The company’s revenue from operations fell 30.3% on year to Rs 180.7 crore in comparison to Rs 259.3 crore in the same quarter a year ago.

IT and metal stocks drag the 30-stock BSE Sensex. Sensex was trading 766 points or 0.95% lower at 79,585.10.

Nifty sees sharp losses in early trade. Big dents seen in select auto counters along with HCL Tech and metal stocks. Most sectors are trading in red at the moment.

Maruti Suzuki touched its all-time high, trying its best to hold the market. While Banks along with Reliance Industries is pushing the markets lower.

Courtesy: NSE

Maruti Suzuki India, Grasim, Eicher Motors, Divis Labs, and Adani ports are the top gainers on NSE Nifty 50 index whereas the top laggards include Mahindra & Mahindra, Axis Bank, Kotak Mahindra Bank, Coal India, and JSW Steel.

The NSE Nifty 50 opens up by 26.65 points or 0.11% at 24,459.85, while the BSE Sensex surges 129.72 points or 0.16% to 80,481.36 in the opening trade.

Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said Nifty remained strong throughout the day, holding the support level of 24,300. The sentiment is likely to remain positive as long as it stays above 24,300, where significant put writing has occurred. On the higher end, the 24,500-24,600 range might act as an immediate resistance zone. Overall, the sentiment may continue to favor the bulls in the near term unless the index falls below 24,300.

The NSE added Aditya Birla Fashion and Retail, Balrampur Chini Mills, Bandhan Bank, Chambal Fertilisers GNFC, IEX, India Cements, Indus Tower and Piramal Enterprises in F&O on July 10, 2024.

“After 3 days of Lower High and Lower Low formation BNF was able to close within the previous day range forming a Bullish Engulfing pattern. A bullish Engulfing is a short term reversal pattern. Lows of Bullish Engulfing pattern will act as Strong Support for the Index in coming trading session a close below the low can regain sellers interest. In current week expiry Short Buildup is seen at 52700& 52800 CE strikes, whereas on the PE side 52400 & 52300 has seen fresh Short Buildup,” said Kunal Kamble senior technical research analyst at Bonanza Portfolio.

Foreign institutional investors (FII) bought shares worth Rs 314.46 crore, while domestic institutional investors (DII) mopped shares worth Rs 1,416.46 crore on July 09, 2024, according to the provisional data available on the NSE.

On Wednesday morning, WTI crude prices are trading at $81.63, up by 0.27%, while Brent crude prices are trading at $84.78, up by 0.14%.

The US Dollar Index (DXY), which gauges the dollar’s value against a basket of six major currencies, edged up by 0.01% to 105.13 in trading.

The S&P 500 and Nasdaq achieved record-high closes on Tuesday, driven by gains in Nvidia. Reuters reported that U.S. Federal Reserve Chair Jerome Powell’s remarks to lawmakers, indicating that more positive economic data could support rate cuts, bolstered market sentiment. The tech-heavy Nasdaq Composite closed up 25.55 points, or 0.14%, at 18,429.29. The S&P 500 finished 4.13 points higher, or 0.07%, at 5,576.98, while the Dow Jones Industrial Average closed down 52.82 points, or 0.13%, at 39,291.97.