Daily Big Picture : Media and Energy Stocks Drag Market; Godrej Consumer to Hike Price

Today’s Action

Nifty, -0.1%; Sensex, +0.1%; Model Portfolio, -0.6%; MSI Ind 47, -0.5%; Nifty Midcap, -0.5%; Smallcap, -0.3%.

Daily Market Review

Market Status: Rally Attempt

Benchmark indices failed to sustain the rally today on the back of profit booking seen in Nifty Media (-3.4%), Auto (-1.4%), and Energy (-1.2%). While Zee Entertainment Ents. (-4.8%) dragged the media index, Hindustan Petroleum (-5.4%), Bharat Petroleum (-4.6%), Oil & Natural Gas (-3.3%), and Indian Oil (-2.3%) led the correction in energy index. The broader market also witnessed sell-off as both the Nifty Midcap and Smallcap fell 0.5% and 0.3%, respectively.

On the other side, Nifty Realty (+2.4%) hit a six-month high today after the GST Council approves new tax rates. Under the new structure, builders will have to pick between paying the existing 12% tax rate with input tax credit benefit or 5% without the tax rebates on under-construction houses. Godrej Properties (+7.9%), Indiabulls Housing Fin (+5.0%), and Dlf (+2.8%) were the major gainers.

With respect to market direction, we will look for a legitimate follow-through day after which we will change the market status to a Confirmed Uptrend.

The advance-decline ratio was in favor of decliners. Of the 2,085 stocks traded on the NSE, 667 advanced, 1,086 declined, and 332 remained unchanged.

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