Indian stock indices opened Monday’s trade on a firm note after closing largely steady last week. At 9.26 am, benchmark domestic indices Sensex and Nifty traded 0.3 per cent up from their previous closing.
Three factors — excellent Q4 results from ICICI Bank, better-than-expected Q4 results from Reliance and RBI’s approval for the merger of HDFC in HDFC Bank — augur well for Indian stock markets as these stocks have a sizable weightage in the indices, said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services. Reliance Industries (RIL) has posted an 18.3 per cent jump in its profit after tax to Rs 21,327 crore for the quarter that ended March 31, 2023, against Rs 18,021 crore in the year-ago period.
“However, this is not sufficient to push the market into a new bull orbit. That will have to wait for favourable global cues, particularly the US inflation print and the Fed’s response,” Vijayakumar said, advising investors to buy the high-quality stocks on the dip.
Choice Broking also echoed that markets turned positive after better earnings by ICICI Bank and Reliance Industries.
“Following the outperformance of ICICI BANK and Reliance, we must monitor how the markets react. The overall picture is positive, and investors should buy on dips with suitable stop-losses below 17500, a good support level,” said Deven Mehata, Equity Research Analyst at Choice Broking.
For fresh cues, investors will continue to monitor the earnings of listed companies along with the latest pattern of foreign investments in Indian stocks. (ANI)
