Explore Now
Domestic stocks may see a cautious start to Friday s trade, even as optimism over the US stimulus, ECB s dovish tone and strong jobless data in the US sent Walls Street to record highs in overnight trade and kept Asian market buoyant this morning.
Here s the breaking down of the pre-market actions:
STATE OF THE MARKETS
Nifty futures on the Singapore Exchange traded 4 points, or 0.03 per cent, lower at 15,415 in signs that Dalal Street was headed for a tepid start on Friday.
Tech View: Nifty sets sight at 15,220
Nifty50 took out its immediate resistance at 15,100 level on Wednesday, but formed a small bearish candle with a long lower wick, suggesting intraday selling got bought into. Analysts said the index seems to have won a mini-battle, but is still indecisive and needs to take out the 15,220 level for the positive momentum to sustain.
Funds bought shares of NTPC and IndusInd Bank to the tune of Rs 700 crore each; while in L&T, they were buyers worth Rs 650 crore during the month, said Edelweiss.
Mumbai: Mutual funds continued to trim their holdings in various blue-chip stocks in February as continued redemption pressures prompted money managers to offload liquid stocks.
Edelweiss Alternative Research said in a note that mutual funds sold Rs 2,800 crore worth of shares of Bharti Airtel, Rs 1,700 crore worth of HDFC Bank, Rs 1,500 crore worth of Reliance Industries and offloaded Rs 1,400 crore worth of HDFC shares.
Funds bought shares of NTPC and IndusInd Bank to the tune of Rs 700 crore each; while in L&T, they were buyers worth Rs 650 crore during the month, said Edelweiss. In the last few months, mutual funds are selling heavyweights because of net outflows in equity mutual fund schemes and heavyweights are easier to trim because of liquidity, said Abhilash Pagaria, senior manager, Edelweiss Alternative Research.
FPIs lap up financial, oil & gas stocks again
March 08, 2021
1/2
×
The sectors accounted for nearly 75% inflows that came in February
After betting on cyclical and defensive sectors such as automobile, capital goods and telecom in January, foreign portfolio investors (FPIs) have again turned their focus to Financials and Oil & Gas sectors in February.
These two sectors alone garnered 73 per cent of ₹25,788 crore that the FPIs pumped into Indian equities in February.
Sector-wise analysis of FPI inflows in the equity segment shows that the ‘Financial Services’ sector alone received a net inflow of ₹14,266 crore in February, of which ₹6,197 crore went to ‘Banks’, The remaining went to ‘Other Financial Services’ segment that spans financial institutions (FIs), NBFCs and housing finance companies (HFCs), among others.
Synopsis
Nifty PSU Bank gained 32 per cent; good Q3 numbers, announcement of a bad bank and other measures in budget boost sentiment.
ThinkStock Photos
MUMBAI: India’s financial sector mainly public sector lenders attracted $2 billion, or nearly 60 per cent, of the overseas inflows amounting to $3.5 billion that came into Indian equities in February. The month, which saw Indian equities surging over 10 per cent on the back of a pro-growth Budget saw financials surging on the back of betterthan-expected December quarter numbers and the Budget announcement of a bad bank as well as other measures for the banking sector.
“FPIs were back as net buyers in financials last month. We wouldn’t be surprised if a major chunk of inflows would have chased PSU banks,” said Sriram Velayudhan, VP, IIFL Alternative Research. Nifty Bank gained 14 per cent in February.