Market Overview: December 23rd to December 27th, 2024 by Riddhi Siddhi Share Brokers
The past week has been a rollercoaster for investors, with the Nifty Bulls regaining their footing amidst a turbulent market environment. Despite hopes for a traditional Santa Rally, persistent FII (Foreign Institutional Investor) selling kept sentiments in check.
- Nifty: +0.96% at 23,813
- Sensex: +0.84% at 78,699
The highlight was the Nifty reclaiming its 200-EMA levels and the Sensex moving above its 200 SMA and EMA levels. However, the intense FII sell-off of ₹10,444 crores this December continues to weigh heavily on the markets, compounded by DIIs failing to match the selling pressure.
7 Major Factors Influencing the Market This Week by Riddhi Siddhi Share Brokers
- Hawkish Federal Reserve Outlook: Jerome Powell indicated a cautious approach for 2025 with limited interest rate cuts, unsettling global markets.
- India’s Slowing Economic Growth: Concerns over weaker capital inflows continue to loom.
- Record-Low Indian Rupee: At ₹85.53 against the USD, the weak rupee has raised inflation fears and reduced market attractiveness for FIIs.
- China’s Increased Budget Deficit: Plans to raise the deficit to 4% may divert global inflows away from emerging markets like India.
- Massive FII Outflows in CY25: Net selling has crossed ₹3,00,938 crores, highlighting a cautious investor sentiment.
- Potential Tariff Hikes by the US: Uncertainty surrounding Trump’s tariff policies adds to global volatility.
- Overbought Technical Conditions: Persistent technical overextensions on the Nifty charts signal profit booking as a natural correction.
Weekly Performance Highlights by Riddhi Siddhi Share Brokers
Indian Indices:
- Nifty: +0.96% (23,813)
- Sensex: +0.84% (78,699)
- Bank Nifty: +1.09% (51,311)
- India VIX: -12.17% (13.24)
Global Markets:
- Dow Jones: +0.35%
- Nasdaq: +0.86%
- Bovespa: -1.50%
Key Commodities:
- Crude Oil: +1.13% at $70.22
- Gold: -0.18% at $2617
- Silver: -0.04% at $29.47
- USD/INR: +0.61% at ₹85.46
Bullish and Bearish Sectors Identified by Riddhi Siddhi Share Brokers
Bullish Sectors:
- Nifty Pharma (+2.25%)
- Nifty Auto (+2.30%)
- Nifty FMCG (+1.52%)
Bearish Sectors:
- Nifty Media (-1.81%)
- Nifty Metal (-1.05%)
Stock-Specific Action Monitored by Riddhi Siddhi Share Brokers
- International Gemmological Institute of India: +24.5% after acquiring two companies.
- One MobiKwik Systems: +28.66% post a block deal worth ₹118 crores.
- India Cements: +9.85% after receiving CCI approval for a majority stake acquisition.
- Reliance Industries: +1.31% on new healthcare investments.
Key Gainers and Losers (Nifty 50) as Highlighted by Riddhi Siddhi Share Brokers
Top Gainers:
- M&M: +4.92%
- TRENT: +4.20%
Top Losers:
- Hero MotoCorp: -2.35%
- PowerGrid: -2.03%
Technical Outlook from Riddhi Siddhi Share Brokers
The Nifty faces significant resistance at 24,350. A break above this could confirm strength, but downside risks remain at 23,263 and the psychological 23,000 mark.
Investment Advice from Riddhi Siddhi Share Brokers
- Stay cautious and avoid over-leveraging positions.
- Focus on quality stocks in fundamentally strong sectors like Pharma, Auto, and FMCG.
- Maintain a balanced approach as volatility persists.
Disclaimer by Riddhi Siddhi Share Brokers
Investments are subject to market risks. Please consult a SEBI – registered advisor before making financial decisions.
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