InvestorQ : Can you share your trading view for 23 June Wednesday?
Debbie Mascarenhas made post

Can you share your trading view for 23 June Wednesday?

diksha shah answered.
1 year ago

Tuesday was one more day of smart closure although the gains were largely evaporated by the end of trades. The markets just about closed in the positive on 22 June. The gains were much smaller than indicated at the start of the day, but it was gains nevertheless. The rally was led by Maruti after it announced price hikes across the board for all its models.

The most important driver is the testimony of Fed Chair Jerome Powell post the Fed statement of last week. Powell underlined that going ahead the major driving factor for the rates decision would be the jobs data and not just the inflation rate or even the GDP data. This helped the sentiments surrounding the global markets to improve substantially.

Foreign portfolio investors action was negative on Tuesday with net selling of Rs.1,028 crore although the domestic institutions bought equities worth Rs.303 crore on Tuesday. The overall FPI flows for the month of June continue to be positive but there could some short term concerns over the bouts of selling in the market.

Global markets also flattered on Tuesday, like on Monday. In fact, after a strong performance on Monday, Tuesday sustained the trend in the market with gains across US and European markets. Like the Dow and the NASDAQ, the SGX Nifty was also trading about 40 bps higher in early trades. The Powell testimony appears to have rubbed off positively.