Indian stock market updates: Key factors that will influence Nifty50 and Bank Nifty next week
The Indian stock market moved higher last week ended 30th April. It was a truncated week ended last Thursday as Friday 1st May was a holiday due to Labour Day. On the global front, Donald Trump’s threat to restart the US-Chia trade war over coronavirus has triggered sell-off in global financial markets on 1st May.
Indian Stock Market: Nifty50 weekly updates
On a weekly basis, the Nifty50 gained 705.5 points or 7.67% and at 9859.90 while Sensex was up by 2390.40 or 7.64% and at 33717.62. The Bank Nifty gained the most it was up by 1947.85 points or 9.94% and closed at 21534.50.
The Nifty midcap and smallcap 100 indexes also gained in the last week but could not perform like the frontliners. The Nifty midcap gained 6.30% whereas the Nifty smallcap was up by 3% during the week.
Nifty50: Gainers and Losers
| Weekly Nifty50 Gainers | |||
| Company Name | LTP | Previous Close | Change (%) |
| Tata Motors | 93.25 | 74.2 | 25.67 |
| Hindalco | 130.2 | 103.65 | 25.62 |
| UPL | 420.05 | 335.85 | 25.07 |
| IndusInd Bank | 468.15 | 382.9 | 22.26 |
| HDFC | 1916 | 1580.3 | 21.24 |
| Weekly Nifty50 Losers | |||
| Company Name | LTP | Previous Close | Change (%) |
| Sun Pharma | 464.45 | 485.55 | 4.35 |
| Hind. Unilever | 2195 | 2283.1 | 3.86 |
| Asian Paints | 1758.7 | 1827.55 | 3.77 |
| Dr. Reddy’s Lab | 3936.3 | 4002.8 | 1.66 |
| Cipla | 589.6 | 599.3 | 1.62 |
Nifty Midcap Gainers & Losers
| Weekly Nifty Midcap 100 Gainers | |||
| Company Name | LTP | Previous Close | Change (%) |
| Mannapurran Fin | 134.15 | 107.10 | 25.26 |
| RBL Bank | 132.15 | 107.15 | 23.33 |
| Weekly Nifty Midcap 100 Losers | |||
| Company Name | LTP | Previous Close | Change (%) |
| Future Retail | 85.1 | 102.2 | 16.73 |
| HEG | 801.65 | 876.85 | 8.58 |
Nifty Smallcap Gainers & Losers
| Weekly Nifty Smallcap 100 Gainers | |||
| Company Name | LTP | Previous Close | Change (%) |
| Just Dial | 404.9 | 329.8 | 22.77 |
| Minda Inds | 298.65 | 253.85 | 17.65 |
| Weekly Nifty Smallcap 100 Losers | |||
| Company Name | LTP | Previous Close | Change (%) |
| Rites | 230.55 | 253.8 | 9.16 |
| DHFL | 13.05 | 14.3 | 8.74 |
Weekly Indian stock market news
- HDFC acquires 6.43% stake in Reliance capital
- Income Tax officers suggest 40% tax on the super-rich, Covid-relief cess
- India’s holding of US govt securities hits record high of $177.5 billion in February
- Union Bank is planning to lower its stake in IndiaFirst Life, it would be less than 10%
- Tata Steel seeks 500m pounds govt bailout in the UK: Reports
- NTPC to procure hydrogen fuel bus and cars for Delhi and Leh
- CRISIL has downgraded India’s growth forecast by a half percent to 1.8%
- Life Insurance companies register an 11.4% growth in premium income in FY20
- JB Chemicals gets USFDA approval to market generic epilepsy drug
- Axis Bank to acquire 30% of Max Life for Rs 1600 crore
- Coal India ask subsidiaries to expedite security deposit refund.
- Natco Pharma gets USFDA approval for Vishakapatnam facility
- Moody’s slashed India’ growth forecast to 0.2% for 2020
- Supreme Court dismisses Vodafone’s Rs 4760 crore tax refund claim
- SAIL emerges as the largest miner for making steel inputs in FY20
- Asian paints to make a hand sanitizers
- Auto sales are at a record low in April
- Mukes Ambani aims to turn Reliance into Zero debt firm by December, ahead of target
- Forex reserve fall $113 mn to $479.45 bn
- RBI cancels license of Mumbai based CKP Co-op Bank in absence of revival plan
Key factors that will influence the Indian stock market next week
Coronavirus and Global cues
Coronavirus to remain in the news in the coming days, the outbreak is a major concern now across the world. Though in India and some parts of the world are giving relaxation in lockdown the infection is rising on a daily basis.
The complete removal of lockdown will take some time as the cases are increasing in the red zone in India. Now all hopes are on drugs or vaccine which are supposed to hit in the market by September. The stability in the market will only come once vaccines are out successfully.
As long as there is no permanent solution of Coronavirus the global market will remain volatile and the Indian stock market will follow the same.
You may also like to read, Coronavirus impact on various sectors & Indian economic growth
FIIs and DIIs investment
FIIs and DIIs are both net sellers in the cash segment in the month of April. The FIIs sold Rs 5208.5 crores whereas the DIIs sold Rs 117 crores in the cash segment last month. On a weekly basis, the FIIs bought Rs 1652.31 crores and DIIs also bought Rs 2896.4 crores in the cash segment.
If FIIs continues is buying streak in the cash segment in the next week then we can see some positive movement in the Indian stock market
The US-China fresh trade war
Now, most of the countries in the world along with Donald Trump are holding and accusing China of not being transparent about Coronavirus. China needs to be accountable for spreading coronavirus across the World said by a top White House official last week.
Last week US President Donald Trump has also threatened China with the imposition of new tariffs on the import of Chinese products. If can restart the fresh trade war-like situation between the two countries.
The US and European markets have already reacted to the news on 1st May. The SGX Nifty is also indicating a huge gap down opening for the Indian stock market on Monday.
Q4 Earnings
IndusInd Bank
The IndusInd Bank posted a 16% YoY fall in profit at Rs 301.84 crore for Q4 earnings. The Net Interest Income (NII) of the bank increased 44.62% on a yearly basis to Rs 3211.19 crore
The gross NPA stood at 2.45% in the March quarter as compared to 2.18% in the December end quarter. It was 2.10 in the same quarter last year. The share price of IndusInd Bank reacted positively after the Q4 earnings due to positive management guidance and clarification on higher provisioning.
Axis Bank
Axis Bank posted anet loss of Rs 1387.78 crores for the quarter ended March as compared to anet profit of Rs 1505.06 crore in the same period last year. The provision and contingencies jumped 185% on YoY to Rs 7730.02 crores during the quarter
The Bank’s NII grew 19% to Rs 6808 crore during the Q4 quarter compared to last year. The asset quality has got improved the gross NPA levels were 4.86% as compared to 5% in December quarter. The share price of Axis Bank reacted negatively after the announcement of Q4 earnings.
Tech Mahindra
Tech Mahindra has reported Q4 earnings on 30th April aftermarket. The company posted a 29% YoY fall in consolidated profit at Rs 803.90 crore for the Q4 earnings.
The company reported March quarter revenue at Rs 9490 crore up 6.72% as compared to Rs 8892 in the same quarter last year.
Overall, the Tech Mahindra Q4 earning has missed the street estimate, the market will react negatively on this counter on Monday.
Hindustan Unilever
Hindustan Unilever, the FMCG major has reported a 3.43% YoY drop in consolidated net profit at Rs 1520 crore for the March-end quarter. This is compared with Rs 1574 crore in the same quarter last year. The revenue for the quarter fell to Rs 9055 crore from Rs 10,018 crore in the last year the same period.
The domestic consumer growth also declined 9%, overall the company Q4 earnings missed the streets estimates and would react negatively on Monday.
The Q4 earnings of Nifty50 stocks for next week are given below
| Q4 Earning dates for Nifty50 Stocks | |
| 7th May | HCL Tech |
| 9th May | ICICI Bank |
Macro data
The Macro data that are going release next wee are given below
| Macro Data Next Week | |
| 4th May | PMI data Manufacturing |
| 6th May | PMI data Service |
| 8th May | Foreign Exchange |
| Reserve | |
Crude and rupee Updates
The crude oil was trading higher last week, it has recovered from the all-time low in the last week. The Brent crude future is closed at $26.61 per barrel. On a weekly basis, it has touched a low of $18.73 and gained around 23% during the week.
The Indian rupee has been appreciated in the last week by 0.68% and closed at Rs 75.75 against the US dollar. Traders should also follow the crude and rupee movement for the next week.
Technical views of Nifty and Bank Nifty futures
Nifty technical analysis in Futures
Primary Trend of Nifty Futures next week: Bearish
Range-Bound Trend of Nifty Futures for next week:
All up Moves Initiates Profit Booking (Sale) @ 9500 whereas All Down Moves Initiates Short Covering (Buy) @ 9000
If Nifty futures share price Moves Above 9930 and sustain. Then you should Buy with 1st Target of 9965 during the week with a Stop Loss of 9780 FOR the Target of 9965- 9995- 10050- 10090
If Nifty futures share price Moves Below 9780 and sustain. Then you should Sell with 1st Target of 9530 during the week with a Stop Loss of 9930. FOR the Target of 9530- 9350- 9280- 9030
Technical analysis of Bank Nifty share price in Futures
Primary Trend of Bank Nifty future for next week: Bearish
Range-Bound Trend of Bank Nifty Future:
All up Moves Initiates Profit Booking (Sale) @ 19960, whereas All Down Moves Initiates Short Covering (Buy) @ 18760
If Bank Nifty share price future Moves Above 21650 and sustain. Then you should Buy with 1st Target of 21760 during the week with a Stop Loss of 21250. FOR the Target of 21760 – 21900- 22080- 22280
If Bank Nifty share price future Moves Below 21250 and sustained. Then you should Sell with 1st Target of 20980 during the week with a Stop Loss of 19640. FOR the Target of 20980 – 20660- 20320-19920
Conclusions:
Indian stock market will open the gap down on Monday as per global cues and SGX Nifty indication. On the 1st of May Friday, the Indian stock market was closed but the US and European markets fell due to Donald Trump’s message to China for the imposition of a new tariff on imported goods from China. Its an indication for a fresh new trade war between the US and China.
Traders should be cautious and track global cues closely before taking any position. Next week the Indian stock market is going to be volatile hence traders should avoid any carry forward position in the coming week.
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Editor’s Desk
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