Zubu Client Sentiment Nifty50 Report:
It is a Post Market Analysis, by which one can understand Retail trader’s sentiment and discover who was going long and short, the percentage change over time, and whether market signals are bullish or bearish
Nifty50 retail trader data shows 51.81% of traders are net-long, while the number of traders net-short was 48.19%. FII’s unwinded massive longs -8548 & created massive shorts 27505, while retailers created massive longs 15302 & unwinded massive shorts 5058.
Nifty50: 15,727 ▼-151 (-0.9%)
Sensex: 52,568 ▼-485 (-0.9%)
After a weak opening, markets drifted downward and faced selling pressure through the day. In all, 43 of the Nifty50 stocks declined, indicating broad-based weakness.
All Nifty sectoral indices closed in the red except IT index, which ended flat. Metal (-2.1%) and PSU Bank (-1.9%) indices were among the top losers today.
Top gainers Today’s change
Tech Mahindra ▲ 1.3%
SBI Life ▲ 0.8%
Eicher Motor ▲ 0.7%
Top losers Today’s change
Tata Motors ▼ 3.4%
JSW Steel ▼ 3.1%
Hindalco ▼ 2.7%
Macrotech Developers posts strong Q1 numbers
The real estate developer, known for the brand name Lodha, reported an 88% year-on-year (YoY) growth in pre-sales (units sold before completion) to ₹957 crore in Q1. This comes amid a low-interest rate environment and pent-up demand.
However, on a quarter-on-quarter basis there was a 62% drop in pre-sales, as the stamp-duty cut in some states boosted sales in the March quarter. Meanwhile, the company has been on a debt cutting spree. It has managed to reduce its debt by ₹3,600 crore in this quarter from ₹16,075 crore in March 2021. Shares of Macrotech were up around 4% today.
Auto sales register strong growth in June
Total retail sales of vehicles across segments grew nearly 23% year-on-year in June 2021, according to the Federation of Automobile Dealers Associations (FADA). The growth was driven mainly by pent-up demand, which was seen after most states reopened. However, as compared to June 2019 (pre-COVID), total sales were about 28% lower.
FADA expects the positive momentum to continue in July, especially as states in southern India reopen. It highlighted that the semiconductor shortage is creating supply mismatch and hampering growth in PV sales. Shares of auto majors like Tata Motors (-3.4%), Bajaj Auto (+0.6%), M&M (-0.3%), Eicher Motors (+0.7%) and Hero Moto (-0.2%) saw mixed returns today.
IPOs see strong interest
The two ongoing IPOs—Clean Science and Technology and GR Infraprojects—are receiving strong traction from investors. On Day 2, the IPO of specialty chemical manufacturer Clean Science and Technology was oversubscribed by more than 4 times.
Similarly, The public issue of road infrastructure company GR Infraprojects has been oversubscribed by around 5.5 times. These two IPOs are expected to raise ₹2,500 crore in total. You can apply for these IPOs on Upstox.
Bajaj Healthcare surges on Covid drug license
Shares of Bajaj Healthcare rose 7.3% today after it received a license from the Defence Research and Development Organisation (DRDO) to manufacture and market the Covid drug2-Deoxy-D-Glucose (2-DG).
The drug helps in the faster recovery of hospitalised patients and reduces supplemental oxygen dependence. Bajaj Healthcare is the second company after Laurus Labs (+0.2%) to receive DRDO’s nod to market and manufacture 2DG.
Major international indices traded lower today after the US Federal Reserve talked about possibly reducing the economic stimulus. This would mean lesser money (read: liquidity) being injected into the financial system. Meanwhile, on a broader basis, the Nifty50 continues to oscillate in the range of 15,450–15,900. Generally, when the markets are range-bound, they give confusing signals to traders. A breakout on either side of the range could give clear directional cues. Today, when all the sectoral indices ended negative, only the IT index closed positively, offering a ray of hope.