Nifty50: 14,595 ▲30 (0.2%)

Sensex: 49,584 ▲91 (+0.1%)

After a gap-up opening, markets saw selling pressure and declined rapidly. However, they did see some buying interest at lower levels during the second half of the day and closed nearly flat.

Among the sectoral indices, Nifty PSU Bank (+3.2%) and Nifty Auto (+0.8%) were the top gainers, whereas Nifty Pharma (-0.9%) and Nifty Realty (-0.3%) were the top losers.

Top gainers	Today's change
UPL	▲ 3.7%
BPCL	▲ 3.1%
IndusInd	▲ 3.0%

CLICK HERE TO OPEN YOUR FREE DEMAT ACCOUNT

IN UPSTOX

Top losers	Today's change
HCL	▼ 2.3%
Grasim	▼ 1.7%
JSW Steel	▼ 1.6%

MARKET RECAP

Here are the top stories of the day.

JK Tyre zips ahead on subsidiary performance

Shares of the tyre maker were up 6.6% today, coupled with a spike in volumes after its subsidiary Cavendish Industries witnessed a record 30% YoY jump in Q3 sales to ₹788 crore. Further, its EBITDA rose 128% YoY to ₹157 crore.

Cavendish, which makes tyres for trucks, LCVs and tractors, was acquired in 2016. It contributes nearly 25% of JK Tyre’s total revenues (as of FY20).

L&T strengthens on steady order flow

During Q3, shares of the engineering and construction giant gained 43% on the back of steady order flow across its business segments.

In the last two days, the company has announced receipt of orders in the range of ₹1,000–-2,500 crore for a variety of projects spanning commercial and residential buildings, transportation infrastructure, metallurgical plants, and power transmission and distribution. Its shares were up 1.8% today.

Japanese Nikkei hits record highs

Japan’s benchmark index Nikkei hit its highest level in the last 30 years. It rose 0.8% today supported by a rally in technology shares and better-than-expected core machinery orders (a key indicator of the investment portion of Japan’s GDP). These orders grew 1.5% over the past month, indicating a pick-up in the economy.

Japanese Nikkei last peaked in 1990 and has declined for nearly two decades. It started rising after 2012 and has since delivered positive returns in all the years, except 2018.

Gold prices on the decline

Gold prices have been falling since last week as a stronger US dollar puts pressure on the yellow metal. Gold and silver prices in India declined by over 1% today.

The US government is expected to announce a stimulus package worth $2 trillion, which could result in higher inflation. Volatility in gold prices is likely as it is purchased as a hedge against inflation.

Closing bell

The markets are consolidating and showing signs of fatigue after having risen steadily since 22 December. Today, a look at the performance of sectoral indices, today, gives an indication that the recent fast-runners, which include metals, IT and banks have hit a pause button. Meanwhile, defensive segments such as FMCG and pharma have started seeing renewed investor interest. Globally, all eyes will be on President-elect Joe Biden’s plan for fresh government spending to aid economic recovery.

Good to know

What is an OFS?

An offer for sale (OFS) is a method for promoters or major investors to reduce their stake in a company. Only promoters or shareholders holding more than 10% of the share capital in a company can issue an OFS. Often, IPOs also include an OFS component in addition to a fresh issue.

Haven't tried out Upstox yet? Click here to open your

account now!

Disclosures and Disclaimer

Investment in securities markets are subject to market risks; please read all the related documents carefully before investing. The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results. Details provided in the above newsletter are for educational purposes and should not be construed as investment advice by RKSV group. Investors should consult their investment advisor before making any investment decision.

Upstox Team

Authorised Partner

Labels: Market Recap

Upstox Updates

Thursday, January 14, 2021

Stock market recap for 14 january 2021