Twelve out of thirteen major sectoral indices fell around noon on May 28, as volatility spiked ahead of the election results. The broader market also faced significant pressure, with the BSE Midcap and BSE Smallcap indices declining over 1 percent each.
Market Overview
The Sensex and Nifty both declined by 0.2 percent, hitting their day’s lows around noon. The India VIX, commonly referred to as the fear gauge, rose over 5 percent to 24.5, indicating increased market volatility.
Indices Performance
Sensex: down 82 points or 0.1 percent at 75,308
Nifty 50: Down 22 points or 0.1 percent at 22,909
Oil and gas, along with power stocks, were the major laggards, dragging the Nifty 50 down. The broader market also saw heavy selling pressure, with both the BSE Midcap and Smallcap indices falling over 1 percent.
Sectoral Performance
Nifty Pharma: Up 0.3 percent (only gainer)
Oil & Gas, Power: Major laggards
Stock Performance
Worst-performing Nifty 50 stocks: ONGC and NTPC (each down 1.4 percent)
Top gainers on Nifty: HDFC Life and Divi’s Labs (each up 2.3 percent)
Top Sensex gainers: HUL, TCS, Asian Paints, M&M, UltraTech Cement
Top Sensex losers: Power Grid, NTPC, Tata Motors, Tech Mahindra, Tata Steel
Stock Moves
Marksans Pharma: Shares gained over 2 percent after receiving the UK health regulator’s approval to market a new oral solution.
National Aluminium Company: Shares jumped 6 percent following strong earnings for the quarter ended March 2024.
Fundamental View
“As we are getting closer to the election results, there is a bit of nervousness visible in the markets,” said VK Vijayakumar, chief investment strategist at Geojit Financial Services. He estimates that uncertainty will continue to impact market sentiment. Vijayakumar says the market may get early signals about the election results before June 4, which could potentially trigger significant market movements.
Technical View
Anand James, chief market strategist, Geojit Financial Services, expects bargain hunters to re-emerge as long as Nifty remains above 22,800. However, they do not expect any significant upside unless Nifty crosses the level of 23,035.
Key Nifty Gainers
Divi’s Labs
HDFC Life
SBI Life
Dr. Reddy’s Labs
Hero Motocorp
Key Nifty Losers
Adani Ports
Coal India
BPCL
Power Grid
ONGC
Disclaimer
The information provided in this article is for informational purposes only and does not constitute financial advice. Please consult with a financial advisor or conduct your own research before making any investment decisions. The author and publication are not responsible for any financial losses that may occur based on the information provided.
