InvestorQ : What is your stock market view for Monday 31st October 2022 for the Nifty and Sensex?
Niti Shenoi made post

What is your stock market view for Monday 31st October 2022 for the Nifty and Sensex?

diksha shah answered.
4 weeks ago

In the last week, the overall gains on the indices were relatively muted. However, the positive takeaway was that despite being a truncated week, 9 out of the 10 most liquid stocks were up during the week. While Reliance was the start of the week it was Hindustan Unilever which was the sold loser. Undertone of the markets remain positive.

On Friday, the rally in the Nifty was led by Maruti and Reliance. Maruti gained on strong results with its profits growing almost 4-fold yoy on better realizations, higher sales and better cost controls implemented. On the other hand, Reliance gained from hiving off its Fintech subsidiary, Jio Finance. A/D ratio was relatively favourable at 30:19.

Foreign portfolio investors or FPIs were net buyers to the tune of Rs.1,569 crore on Friday even as the domestic funds and LIC sold stocks worth Rs.654 crore. FPIs continue to be net sellers for October in the equity and also the debt space with just a day to go for the ,month to be completed. However, the scenario has improved with a slew of IPOs seeing interest.

On Friday, the Dow rallied by a massive 820 points while the NASDAQ was up 310 points ahead of the meeting of the Federal Open Markets Committee (FOMC), better known as the Fed meet. Europe is still mixed after the 75 bps rate hike by the ECB in the previous week, but SGX Nifty is trading higher by 179 points and has crossed 18,000 levels in early trades.

This is likely to be a week of numerous cues for the markets in terms of data flows. The PMI Manufacturing and the core sector growth will capture the high frequency growth signals. There is the all-important big Fed meet on 02nd November, where 75 bps hike almost looks inevitable. Above all, there is also going to be an RBI special MPC meet on 03rd November, which will critically evaluate the RBI inflation policy and also react to the Fed decisions in its latest statement. The undertone for the week is likely to belong to central banks globally.