| Indian Market | 7-Jan-22 | ||
|---|---|---|---|
| Weekly Change | Close | Change | % chg |
| Nifty | 17812.70 | 458.65 | 2.64% |
| Sensex | 59744.65 | 1490.83 | 2.56% |
| Banknifty | 37739.60 | 2257.90 | 6.36% |
| Indian Market | 7-Jan-22 | ||
|---|---|---|---|
| Other Indices | Close | Change | % chg |
| Nifty Mid-Cap 100 | 31111.55 | 668.65 | 2.20% |
| Nifty Small-Cap 100 | 11492.90 | 203.90 | 1.81% |
| India VIX | 17.6025 | 1.38 | 8.51% |
| US Market | 7-Jan-22 | ||
|---|---|---|---|
| Weekly Change | Close | Change | % chg |
| Dow 30 | 36231.66 | -106.64 | -0.29% |
| S&P 500 | 4677.02 | -89.16 | -1.87% |
| Nasdaq | 14935.90 | -709.10 | -4.53% |
| Currency / Commodity | 7-Jan-22 |
|---|---|
| Indices | Current |
| USD/INR | 74.3475 |
| EUR/INR | 83.9980 |
| Dollar Index | 95.735 |
| US 10-year bond | 1.765 % |
| WTI Crude Oil | $ 78.89 |
| Brent Crude Oil | $ 81.78 |
| Gold | $ 1796.25 |
| Bitcoin | $ 41,534 |
| FII / DII Activity | 7-Jan-22 | Rs. (In Crores) |
|---|---|---|
| (Weekly - Prov) | Buy | Sell |
| FII | 1082.83 | |
| DII | 3293.28 |
Key Events of this week
- Banking stocks rally in first week on 2022: Banknifty gained 6.36% on weekly basis, closed the week nearly 1.5% from this week high. Rally during the week was as high as 8% ahead of result season which starts from 15-Jan-22.
- IT stocks took a breather in first week of 2022, as previous 2 week when broader market was underperforming, IT stocks were outperforming.
- US FOMC meeting minutes: Discussion of Balance Sheet contraction led to US 10-year bond yield test highest level since January 2021.
- FY22 GDP estimate @ 9.2%: GDP estimate declare after market hours was slightly below RBI estimates of 9.5%.
- US Jobs data: Unemployment rate came at 3.9% better than estimate of 4.1%. ADP non-farm employment change came better than expected released on Wednesday.
- Back to pre-COVID-19 level: In nominal terms, the size of the Indian economy will rise to Rs 232.14 lakh crore at the end of the current fiscal from Rs 197.5 lakh crore a year ago, as per advance estimates. The economy's nominal output was at Rs 203.5 lakh crore as of March 2020, before the pandemic hit.
Market View: Q3 result season begin with 3 IT major coming out with result on 12-Jan-22
- TCS, INFY & WIPRO to declare their Q3 result on 12-Jan-22. TCS to consider buy-back proposal along with result on 12-Jan. HCLTECH to come out with Q3 numbers of 14-Jan-22.
- Rising COVID-19 cases across the world: India witness sharp increase of COVID-19 infection as 3rd wave has started in India.
- Fresh restriction / night curfew / Weekend lockdown / containment zone is the fresh measure taken by state government to control COVID-19, complete lockdown is not the option government is looking for – that is a relief.
- HDFCBANK will come out with result on 15-Jan-22, Saturday. Quarterly business updates have been positive declare by HDFC twins, Bajaj finance and few other private banks.
Our Approach – Going into Q3 result & Budget on 1-Feb-22
- TCS to declare 4th buy-back in last 5 years, earlier was in 2017, 2018 & 2020. We expected IT stocks to do well going into result and TCS buyback announcement will lead to gap-up opening for IT stocks.
- CLSA note on Telecom sector is going to be an interesting theme for 2022. Telecom stocks has broadly underperformed although they manage to catch up post package announce by government in September 2021.
- We continue to remain bullish with as we mentioned in our earlier weekly updates 16800 remains key support and only below this level we would review on bullish view. We won’t be surprise if Nifty test new high if rally in Banknifty gets extended with HDFCBANK’s result on 15-Jan-22.
Disclaimer: The market view and updates we are sharing are true to the best of our knowledge and sharing just for information purpose and any action would be purely investor’s own responsibility. Investor are advised to take necessary guidance from certified adviser and hence we will not be responsible for any profit or loss incurred due it. We do not have PMS license and we are not recommending anything to buy or sell.