Sensex ends flat at closing, Nifty above 16,600

BL Mumbai Bureau | Updated on: Mar 11, 2022

The pharma, healthcare stocks in focus; auto, IT drag

The benchmark indices closed marginally higher on Friday amid volatility led by pharma and healthcare stocks. The auto and IT stocks faced pressure.

The market opened on a muted note, tracking weak global cues and remained volatile in the first half.

The BSE Sensex closed at 55,550.30, up 85.91 points or 0.15 per cent. It recorded an intraday high of 55,833.95 and a low of 55,049.95. The Nifty 50 closed at 16,630.45, up 35.55 points or 0.21 per cent. It recorded an intraday high of 16,694.40 and a low of 16,470.90.

Breadth remains positive

The market breadth remained positive with 2,076 stocks advancing on the BSE as against 1,263 that declined while 119 remained unchanged. Furthermore, 15 stocks hit the upper circuit as compared to the 4 stocks that were locked in the lower circuit. Besides, 89 stocks touched a 52-week high level and 16 touched a 52-week low.

Ajit Mishra, VP - Research, Religare Broking Ltd said, “Markets took a breather after the recent rebound and ended almost flat. After the flat start, the benchmark hovered in a narrow range till the end while movement on the broader front kept the participants busy till the end.”

 S Ranganathan, Head of Research at LKP securities said, “Indices remained range-bound today on worries over increasing cost pressures on corporates, rising inflation globally and slowing automobile despatches to dealers amidst supply constraints.”

“Pharma stocks bucked the trend with the Healthcare Index moving up and the breadth in the broader markets was encouraging. Sugar stocks gained post election results and ethanol push while Paper stocks were in demand post price hikes that are seen to offset input cost pressures,” Ranganathan added. 

Cipla, BPCL, Sun Pharma, JSW Steel and IOC were the top gainers on the Nifty 50 while Nestle India, Maruti, Tata Consumer, Hindalco and NTPC were the top laggards. 

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd said, “Equity markets gave positive returns this week even though uncertainties with respect to the Russia-Ukraine conflict continues.”

“Equity market gained despite FII’s remaining net sellers of Indian equities. Post correction in recent times, market rally this week was broad based as large cap, mid-cap and small index posted gains. The Russian-Ukraine conflict is keeping oil prices and few commodities prices volatile and elevated. Increased risks of high energy prices and its impact on macro parameters will likely remain an important factor in shaping market direction in the near term. Amid sustained high inflation, the market will closely monitor announcements at Federal Reserve meet scheduled next week,” added Chouhan.

According to Mishra, “Markets will first react to the IIP data in early trades on Monday. Besides, development on the Russia-Ukraine crisis and movement of crude will remain in focus.”

Auto, IT drag

On the sectoral front, all indices except the Nifty Auto, Nifty IT and Nifty Media were in green. The pharma, oil & gas, metals, PSU Bank and realty recorded higher gains.

The Nifty Auto was down 0.40 per cent at closing, while Nifty IT was down 0.14 per cent.

Nifty Pharma and Nifty Healthcare Index were up 2.46 per cent and 2.60 per cent, respectively. Nifty Oil & Gas was up 0.83 per cent while Nifty PSU Bank was up 0.92 per cent. Nifty Metal was up 0.46 per cent while Nifty Realty was up 0.47 per cent.

Broader indices outperform 

Broader indices closed in the green, outperforming the benchmarks. The Nifty Midcap 50 was up 0.70 per cent while the Nifty Smallcap 50 was up 0.73 per cent. The S&P BSE Midcap was up 0.45 per cent while the S&P BSE Smallcap was up 0.90 per cent. 

The volatility index softened  0.92 per cent to 25.35.

Published on March 11, 2022
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