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Nifty ends northward journey with gains of 178.20 points

26 May 2023 Evaluate

Indian equity benchmark -- Nifty -- ended in a positive terrain on last trading day of the week, supported by rise in FMCG and IT stocks. Index made a decent start, as market participants took encouragement with report stating that India’s services exports are expected to overtake merchandise exports in the next five years on the back of above-par growth in emerging areas of service economy. Traders also took note of Chief Economic Adviser V Anantha Nageswaran’s statement that there are signs of private sector investment cycle unfolding and sectors like steel and cement have reached a stage where greenfield investment will take place.

In afternoon session, index extended its northward journey, as investors took some support after India Meteorological Department’s (IMD) statement that India is likely to receive normal monsoon rains in 2023 despite the likely emergence of the EI Nino weather phenomenon. Besides, support also came in as SBI Research in its latest report ‘Ecowrap’ has said that the country’s economy is on track to surpass 7 per cent growth rate in Fiscal Year 2023 (FY23) with manufacturing being the key driver. Finally, in last leg of trade, index extended its gains and ended near day’s highest point, as investors continues to buy fundamentally strong stocks.

All the sectorial indices ended in Green. The top gainers from the F&O segment were Info Edge (India), Zee Entertainment Enterprises and Indus Towers. On the other hand, the top losers were Page Industries, Bharat Heavy Electricals and Glenmark Pharmaceuticals. In the index option segment, maximum OI continues to be seen in the 18900 - 19100 calls and 17900 - 18100 puts indicating this is the trading range expectation.

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