Zubu Client Sentiment Nifty50 Report & Market Recap (Apr-5-2021)

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.

Zubu Client Sentiment Nifty50 Report Apr-5-2021)

Nifty50 retail trader data shows 51.69% of traders are net-long, while the number of retail traders net-short was 48.31%. FII’s unwinded huge longs -6962 & created huge shorts 5942, while retailers unwinded huge longs and shorts -36695 & -44197 respectively.

Nifty50: 14,637 ▼ -229 (-1.5%) Sensex: 49,159 ▼ -870 (-1.7%)

Despite strong international cues, Indian markets opened weak and stayed in negative territory throughout the day. A rally in IT and metal stocks helped the indices pare some of the losses in the second half of the day. Nonetheless, 37 of the Nifty50 stocks ended in the red.

Only two sectoral indices—Nifty IT (+1.9%) and Nifty Metal (+0.8%)—closed in the green. Meanwhile, Nifty PSU Bank (-4.1%) and Nifty Bank (-3.4%) were the top losers.

Top gainers Today’s change
HCL Tech ▲ 3.1%
TCS ▲ 2.4%
Wipro ▲ 2.2%

Top losers Today’s change
Bajaj Finance ▼ 5.7%
IndusInd Bank ▼ 5.5%
SBI ▼ 4.4%

Maha restrictions hurt multiplex and travel stocks

Following the announcement of stricter restrictions in Maharashtra, selling pressure was seen in shares of multiplex chains such as PVR (-5.2%) and Inox (-3.8%) and mall operators like Phoenix Mills (-7.2%) and Shoppers Stop (-5.5%).
The new restrictions also weaken revival prospects for the travel industry. As a result, shares of airlines like Indigo (-4.0%) and Spicejet (-4.9%) tumbled, along with hotel stocks such as Indian Hotels (-4.0%) and Lemon Tree (-5.0%).
In contrast, with testing gaining pace, stocks of diagnostic chains like Dr Lal PathLabs (+6.1%), Thyrocare (+7.6%) and Metropolis (+2.7%) saw buying interest.

Manufacturing PMI falls to 7-month low

The India Manufacturing PMI, considered the barometer of industrial activity in the country, came in at 55.4 for March 2021. This is the lowest reading in 7 months and lower than the February figure of 57.5.
According to IHS Markit, the escalation of the Covid-19 pandemic constrained demand growth, while the rise in input buying was curtailed by cost pressures. Further, the survey also noted that with the increased restrictions and lockdown measures, Indian manufacturers may experience a challenging month in April.

Time Technoplast gets nod for CNG cylinders

Time Technoplast has received approval from the Petroleum and Explosives Safety Organization (PESO) for its carbon-fibre composite CNG cylinders. The company estimates the annual market size for this product to be over ₹800 crore, for which it is the only local manufacturer.
The company has received orders worth over ₹50 crore and expects other tenders to finalise in the coming months. Its stock rose 5.8% today and has risen 32.5% in 2021 so far.

Adani Ports to fully acquire K’patnam Port

Adani Ports has announced the acquisition of the remaining 25% stake in Krishnapatnam Port, which is an all-weather port in Andhra Pradesh. The company, which currently owns 75% stake in the port, will pay ₹2,800 crore for the remaining stake.
Shares of the company rose over 1% today in an otherwise weak market. The stock has gained over 53% in 2021. The company is rapidly expanding its port network, which can handle 24% of the country’s total port capacity.

Closing bell

Investor sentiments were severely impacted after India reported more than 1 lakh new cases yesterday, which is the highest daily count since the time pandemic has struck. While the vaccine roll-out is happening at a steady pace, the markets seem to be fearing wider lockdowns, which could slow down business activity. Stocks of banks were worst impacted today as investors have started looking at risks rather than growth. Today’s fall was largely the outcome of the domestic situation, as major international markets are trading in the green. This week, the RBI will announce its interest rate decision, and the street expects it to keep interest rates steady.

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