Nifty closes above 16,500; IT, FMCG and metals support the market

Tech Mahindra, ONGC, and HCL Tech emerged as the top gainers amongst Nifty stocks while HDFC Life, M&M, and Eicher Motors closed on a weak note.   

Market update at 3.30 PM: Indices traded higher throughout the day as Nifty climbed 1.10 per cent while Sensex gained over 630 points. Nifty Midcap and Nifty Smallcap rose 0.19 per cent & 0.81 per cent, respectively.  

FMCG, IT, and metals supported the rally while media, auto & realty were down. Tech Mahindra, ONGC, and HCL Tech emerged as the top gainers amongst Nifty stocks while HDFC Life, M&M, and Eicher Motors closed on a weak note.   

Nifty traded in a range of fewer than 100 points on Wednesday. Also, it formed a bearish candle on the technical chart, which indicates weakness at higher levels. Meanwhile, the level of 16,600 shall act as a strong resistance for the coming days.

Market update at 11.15 AM: Indices continued to trade higher while Nifty gained over 220 points. Sensex has climbed nearly 800 points while the broader markets also witnessed a strong rally.

IT, energy, financials, and metals led the rally. Reliance Industries, ONGC & IndusInd Bank have become the Top Gainers amongst Nifty stocks while HDFC Life, Eicher Motors, and M&M are weak today.
Meanwhile, Cummins India, ITC, Federal Bank, and TVS Motor hit their fresh 52-week highs.

The advance-decline ratio stands at 1,523:389; thus, favouring the bulls. 

Market update at 9.50 AM: Indices are trading higher amid volatility. Nifty climbed 1.26 per cent while Sensex gained over 700 points. Nifty Midcap and Nifty Smallcap have also inched higher by 0.75 per cent & 1.15 per cent, respectively.

Overall, the sectors are higher while India VIX has plunged nearly a per cent.

Pre-market update: Last night, the US markets witnessed an amazing short-covering rally. Nasdaq climbed over 3 per cent while Dow Jones surged about 750 points. Thus, most of the Asian markets opened higher on Wednesday morning, and SGX Nifty indicates one per cent higher opening.  

The Government of India announced that it would cut the additional windfall tax on oil exports. This has come as positive news for oil marketing companies (OMC) and stocks like Reliance, ONGC, Oil India, etc. are likely to be in focus today.  

Meanwhile, HUL posted a rise of 14 per cent in net profits YoY that stood at Rs 2,391 crore. Its operating margins took a dent due to rising commodity prices and supply chain constraints.  

Besides, Wipro and IndusInd Bank are some of the key stocks that are set to declare their results today.  

In the last trading session, the FIIs bought to the tune of Rs 946 crore while the DIIs sold for about Rs 100 crore.  

Nifty is expected to open with a huge gap-up and sustaining above the level of 16,500 shall turn out to be a big boost.