Indian stock market has been volatile since the beginning of COVID-19 lockdown in the Country. The increasing cases of Coronavirus and brewing tension between US and China had a profound effect on investors’ sentiments. These concerns portrayed a weak stock market and thus the Indian financial market for straight 3rd week closed in the red.
On Friday, Nifty 50 closed at 9039.25 after losing high gains due to change in repo rate from 4.4% to 4% announced by RBI amid Coronavirus outbreak. Last week, Nifty recovered around 370 points after touching the low of 8806.75. Bulls were seen prominent on Friday maintaining 9000 marks. This week does not promise a strong market performance with high resistance at 9235 and expected low at 8800 levels. Market prediction is difficult, and a decision can be made only after strong, clear signs for either side.
Sensex and Nifty Performance Amid Lockdown
The upper resistance of Indian stock market remains capped due to increasing cases of Coronavirus cases. Lockdown restrictions completed two months with gradual ease of operations as the lockdown 4.0 nears an end. Recovering from March-lows, Nifty 50 remained in the range of 8900-9500. BSE Sensex surged 20% after hitting lowest in March rallying 15% in the lockdown. All sectoral indices ended in green with high gains, but the Bank sector was severely affected due to risk of NPA.
Analysts suggest that announcements and measures taken by Government for reviving the economy are not up to the mark. The relief package failed to cheer up the investors as it mainly focused on liquidity in the market against the need for stimulus for affected sectors.
9 Stocks that Hit a 52 Week High
In the last trading session, nine stocks surged and touched 52-week highs. Nifty 50 closed at 9030.90 registering a drop of 75.35 points while Sensex ended 253.23 points low at 30679.67.
Alchemist, Educomp Solutions, Rajratan Global Wire, JMT Auto India Cements, and WABCO India, were the stocks that touched a 52 week high.
30 Stocks that Fell to a 52 Week Low
Witnessing weak financial market, 30 stocks dipped to 52-week low during the last session.
ABB, Chalet Hotels, Brigade Enterprises, Bajaj Finance, Prime Focus, SBI, India bulls Ventures, CPC, Cyient and The Karnataka Bank were some of the stocks to witnessed a 52 week low.
Experts Suggest Bears to Grip the Market
Despite the Government’s efforts to introduce liquidity in the market, investors’ sentiments are not cheered up. In the current scenario, bulls lagging with bears gripping the market, pulling it down. The last session ended in red with dragging the market to negative.
Investors will be cautious and will study the market developments with Coronavirus cases and its vaccine. The brewing tension between US and China.