After yesterday’s holiday, the markets were poised to open much higher. Yesterday the S&P 500 in the US was up almost 3%. The full impact of this gain was expected to come on the Indian markets today.
This did happen, with the NIFTY opening up with a gap of almost 200 points, and then rallying to touch 9260. Around midday, the rally started faltering. A sharp and sudden decline in the NIFTY brought prices down 400 points to 8874. This is the decline which was not expected. Finally the NIFTY closed with significant losses. The losses are significant when we compare the closing price to the open.
It appears that the high of 9260 may have become a strong resistance point for the NIFTY. Our view is that the NIFTY should slowly drift down to 8500 and finally towards 8000. This view gets cancelled if the NIFTY again closes above 9100, and it can well do so.
Sell on the breakdown below 8850 with a stop just above 8900.
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Wipro, has reported a 5.3 percent sequential fall in its consolidated profit for the fourth quarter at Rs 2,326.1 crore for the quarter ended March 2020. The company had posted a profit of Rs 2,455.9 crore for the quarter ended December 2019. However, the company’s IT services revenue was up 1.3 percent at Rs 15,296 crore against Rs 15,100.6 crore, QoQ. The company has not provided revenue guidance for the April-June quarter on account of uncertainty over COVID-19.
Steel Authority of India (SAIL) along with the Odisha Government has set up a Covid-19 testing lab at its Rourkela plant’s Ispat General Hospital on Wednesday. “Doctor and paramedics of Ispat General Hospital trained at RMRC and AIIMS, Bhubaneswar will carry out the testing,” the company said in a statement. All the major equipment for the testing facility have been provided by government of Odisha, and the infrastructure has been provided by SAIL-RSP.
FMCG major ITC expects its new collaborations with unlikely partners, including Domino’s, Swiggy and Zomato in the wake of coronavirus pandemic and subsequent lockdown opening new distribution channels, to become mainstream in future, according to a company official.
Bandhan Bank does not apprehend any repayment issues owing to the nationwide lockdown to contain the spread of COVID-19, a top bank official said.
Source: Economic Times, Moneycontrol ,Business Today, Business Standard, Bloomberg Quint
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