InvestorQ : What is your market view for 15th September and do you expect the Nifty to bounce back or to correct further from here?
Niti Shenoi made post

What is your market view for 15th September and do you expect the Nifty to bounce back or to correct further from here?

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ishika Banerjee answered.
3 weeks ago
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It is hard to say, but the bias should be on the positive side. Let us first look at what happened on Wednesday. The Nifty had opened nearly 300 points lower, but during the day, the recovery ensured that the closing was just 66 points lower. The bounce was led by banks with SBI and ICICI Bank touching news all time highs in price.

The breadth of the market as indicated by the advance decline ratio or the A/D ratio of the Nifty index was nor exactly favourable at 21:29. The good news is that the Fed hawkishness was almost taken in the stride by the markets. On Thursday, the markets should celebrate the sharply lower WPI inflation at 12.43%, although food inflation is a worry.

Foreign investors net sold equities to the tune of Rs.1,398 crore even as the domestic funds and LIC bought stocks worth Rs.188 crore on Wednesday. After 4 days of successive and aggressive buying, FPIs turned net sellers on Wednesday. However, the undertone of the FPIs continues to be positive in September, just like it was in August 2022.

US markets saw some sanity return on Wednesday after the carnage on Tuesday night. On Wednesday, the Dow was up 30 points and the NASDAQ was up 86 points after a volatile trading session for the markets. European markets fell more than 1% after the EU insisted that energy companies compensate consumers and share their price burden, logically.

Now for the view. Thursday should take consolation from the fact that the markets had bounced back sharply on Wednesday despite negative global cues. SGX is flat to positive in early trades on Thursday but a lot will depend on how the markets react to favourable WPI numbers. However, it does look very likely that the RBI may continue to hike rates further.

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