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Nifty ends with minor gains on Tuesday

23 May 2023 Evaluate

Indian equity benchmark -- Nifty -- ended Tuesday's trading session in positive terrain with a marginal gain, as index came under selling pressure in last leg of trade. Index made a strong start, as market participants got some support with a Reserve Bank of India's (RBI) article stating that India’s growth in the April-June quarter is likely to be driven by private consumption, supported by reviving rural demand, and renewed buoyancy in manufacturing. Traders took note of RBI's governor Shaktikanta Das’ statement that the central bank’s announcement of withdrawal of Rs 2,000 notes will have very marginal impact on the economy because it constitutes only 10.8 per cent of the currency in circulation. 

In afternoon session, index continued to trade in fine fettle, as some support also came with the federal finance ministry's monthly economic review where it stated that domestic demand will aid India’s economy and help lay the foundation for the capex cycle, despite global headwinds that pose a downside risk to growth. However, index trimmed most of its intraday gains in dying hour of trade as traders opted to book profit. 

Most of the sectorial indices ended in green except IT, Consumer Durables and Realty. The top gainers from the F&O segment were Adani Enterprises, Delta Corp and Multi Commodity Exchange of India. On the other hand, the top losers were LTIMindtree, Bharat Electronics and DLF. In the index option segment, maximum OI continues to be seen in the 18300 - 18500 calls and 18100 - 18300 puts indicating this is the trading range expectation.

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