Weekly Market Update_12th Jul'24

The budget will be presented on 23rd Jul’24 and the bull market is not ready to stop. For the past 5 weeks, the stock market has been making fresh all-time highs. Indices have made fresh all-time highs this week as well. Nifty 50 and Sensex rose by 0.73% and 0.65% respectively. The Nifty 50 crossed 24,500 while making an ATH of 24,592 and the Sensex crossed 80,800 for the first time, making an ATH of 80,894.

Stock Spotlight:

Top Gainers

Oil India - ?614.45 (+25.53%)

Gland Pharma - ?2,031.70 (+10.43%)

Sona BLW - ?724.40 (+10.28%)

REC - ?637.35 (+9.80%)

Zomato - ?222.47 (+7.18%)

Top Losers

Bank of Baroda - ?250.60 (-8.47%)

M&M - ?2,703.95 (-6.13%)

Vodafone Idea - ?16.09 (-5.85%)

Bandhan Bank - ?192.60 (-5.74%)

Poonawalla Fincorp - ?404.35 (-5.68%)

Sectors in Focus:

Information Technology ??

The IT sector is coming into the limelight again after above-market expectations Q1 financial results by TCS. The Nifty IT index was up by 4.53% on Friday, reaching near to its all-time high after 2.5 years. Most IT companies are yet to release their results and it is expected to be a good quarter for the IT sector. The boost in the IT sector is because of an improvement in inflation in the US and the Fed is anticipated to cut the interest rates in September and December. The next few months will be important for the sector. If the growth continues, we can expect the index to make a new all-time high.

Agro Chemicals ??

The IMD has predicted a normal monsoon this season. As the 2/3rd of farmland in India lacks irrigation, it is majorly dependent on the monsoon. A good monsoon means happy sentiments among the farming community and a good demand for farming-related resources such as agrochemicals, seeds, etc. Moreover, the sector is expected to get a boost in the upcoming budget.

IPO Insights:

2 mainboard IPOs listed this week - Emcure Pharma and Bansal Wire.

Both IPOs have given higher-than-expected returns to investors.

Emcure Pharma and Bansal Wire were listed at a 31.45% and 39.06% premium respectively.

Since the market is making fresh all-time highs every week, some of the biggest IPOs are expected to hit the market in the coming weeks or months.

There is a rumour that Reliance Jio is coming with an IPO worth ?55,000 crores. If this turns out to be true, it would be the biggest IPO yet after LIC.

That’s all for this week.

We’ll see you again next week ??

Happy Investing!