Thursday, 25 February 2016

NIFTY CRACKS BELOW 7000 RAIL BUDGET FAILS TO CHEER MARKETS

SIEMENS ALMOST HIT FINAL TGT 975 MADE LOW OF 978

The Indian stock market fell for the third straight day after the Rail Budget 2016 failed to boost market sentiments. Selling pressure during F&O expiry saw the Nifty close at fresh 52-week low. The Sensex slipped into negative territory ended below 23000 mark, down 112.93 points to 22976 and the Nifty closed below 7000 level, down 48.10 points to 6970.60 Nifty 7100 strike price call option was the most active options contract on the National Stock Exchange. The premium on the contract fell 99 % to 5 paise as many as 41458 contracts were added to the open interest of 116214 contracts. Metal stocks were witnessing buying interest. The BSE metal index was up 0.88 % Hindalco, Jindal Steel and Hindustan Zinc were among the gainers. The market breadth was marginally negative as 1353 stocks were declining while 938 were advancing. Siemens Ltd and Kalpataru Power Transmission Ltd closed marginally higher after Suresh Prabhu announced that the railways proposed to electrify 2000 km of railway lines In FY17. One encouraging feature of the rail budget is focus on capital investment which needs to be accelerated and it is done in correct way, says J P Chowdhary, chairman, Titagarh Wagons. Today, top Nifty50 losers are PowerGrid, Bank of Baroda, Yes Bank, SBI, ACC, GAIL, Grasim, ICICI Bank and L&T. Introduction of three select train services Humsafar, Tejas and UDAY- for reserved passengers was one of the highlights of the Railway Budget 2016-17 presented by Railway Minister Suresh Prabhu today. Railways' revenue from passenger fares as well as freight rates is expected to fall short of the Budget target by Rs 15744 crore in the current fiscal. The Indian rupee hit fresh 30-month low today, down 17 paise to 68.73 a dollar. The market to be volatile in near term as they feel the Union Budget, which will be presented on February 29, may not be big driver. On Railway Budget, they say reforms are on track but FY16 target is likely to be missed.
 

 

1 comment:

  1. Good updates regarding the rail budget I got to learn here. I believe traders can earn better returns if they explore and learn about market performance. They can take help from service providers like epic research as well.

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