NEW DELHI: Bank and financial stocks continued to be in demand in Tuesday’s session taking benchmark indices higher while RIL and Bharti Airtel were among the biggest drags. Firm global cues also helped boost sentiments.
Meanwhile, the Supreme Court said it will hear the loan moratorium on Nov 5 , which many believe will be in the favour of banks, leading to buying in these counters. However, any adverse order can set off a selling.
“The Nifty is trading above the 11,750 mark and if we can sustain that, it could be used as a stop loss for all short positions on the index. We would need to wait for more clarity before we can go long on this market. Should a buy get triggered on the upside, 12,200-12,300 can be expected,” said Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.
Factors driving markets
US elections: Some sort of certainty has started creeping in the minds of investors as the US goes to polls later in the day. Strategists at Blackrock Investment Institute said polls were suggesting a greater likelihood of a Democratic sweep in the election.
Economic activity improves: US manufacturing activity accelerated more than expected in October, with new orders jumping to their highest in nearly 17 years, while Chinese factory activity expanded the fastest in a decade and eurozone manufacturing also sped up.
US Fed meet: The Federal Open Market Committee (FOMC) will begin its two-day meeting on interest rate policy on Wednesday, with policymakers expected to reaffirm its commitment to support the pandemic-struck economy and keep interest rates unchanged.
Covid non-stop: Italy will join the host of European countries tightening Covid-19 restrictions amid surging cases, hospital admissions and deaths, while reports showed new pandemic case.