New Delhi [India], November 12 (ANI): It's a bright start to Samvat 2080 for Indian stocks. Benchmark indices soared substantially to brighten the investors' fortunes during the stipulated one-hour Muhurat trading on Diwali evening.
Benchmark Sensex rose about 500 points, to later erase some of its initial gains. At 6.51 pm, it was at 65,279 points. 46 of the Nifty 50 stocks were in the green, with Coal India, UPL, Infosys, Eicher Motors, and Wipro leading the pack, at the time of filing this story. All Nifty sectoral indices too were firm during the Muhurat hour.
During this one-hour window, investors placed orders for stocks according to their wishes which they believe to be auspicious and would bring in good returns.
Diwali, dedicated to worshipping the Goddess of Wealth, marks an auspicious day for new purchases and people tend to grab onto some form of financial investment.
Also, the purchase of precious metals such as gold and silver, real estate, electronic items, and automobiles, among others, is specially timed by many on this auspicious day.
This year's muhurat trading session was from 6:15 PM till 7:15 PM on Sunday. During this period, one can trade or invest just like they do during regular financial market hours. There was the option of even placing the orders outside Muhurat hour as they would be accordingly executed when trading started.
"Each trade made during this auspicious time promises growth and the spirit of unity among investors. NSE encourages investors to deal only with registered intermediaries and refrain from dealing in unregulated products. Stock market is meant for long-term wealth creation. An unpleasant experience disheartens the affected investors to enter the stock market ever again. Trade in derivatives by retail investors should be avoided because of the high risk involved in derivatives," said Ashishkumar Chauhan, MD and CEO, National Stock Exchange.
Chauhan suggested investor should be a "long-term player.""This is the best way to participate in India's growth story. May the trades be favorable, the investments be fruitful, and the spirit of Diwali guide us toward abundance and financial success. Happy Muhurat Trading at the National Stock Exchange, where every trade signifies our collective resolve to build a stronger, wealthier tomorrow," Chauhan said, hours before the Muhurat trading session was on.
Like every year, stock brokerages and financial advisory firms have put out their Diwali stock recommendations. They are largely bullish on the Indian market during the Hindu calendar year 'Samvat 2080'.
The US Federal Reserve keeping the key policy rate unchanged for the second straight time at 5.25-5.50 per cent, as was widely expected, has been boosting stocks globally. Now, global crude oil prices, a key economic indicator, will be a key monitorable issue after key oil exporters Saudi Arabia and Russia reportedly confirmed recently they would continue with their additional voluntary oil output cuts until the end of 2023, amid the ongoing conflict in West Asia.
A note by Motilal Oswal Financial Services recommended investors focus on themes like financials, consumption, discretionary spending, construction and real estate, and high-growth niche sectors like MFIs, electronic manufacturing, and new-age FinTech stocks.
In a report, MOFSL said it expects financials, especially PSU banks and NBFCs to continue witnessing robust loan growth while expecting their asset quality to remain healthy. Also, valuations are reasonable, especially after their recent underperformance.
Samvat 2080 is set to start with multiple states going into elthe ection in November-December 2023, which would set the stage for general election likely in May 2024. Historically, such a scenario has resulted in a pre-election rally. In the last five consecutive Lok Sabha elections (from 1999 to 2019), Nifty has rallied 10-35 per cent for the six-month run-up until the announcement of election results.
MOFSL believes the overall trend should remain positive in Samvat 2080 and is positive on Indian equities from a mid to long-term perspective, given the favourable domestic environment.
Here were some of the other Indian advisory firms with their stock recommendations:Noting that the broader market valuations are rich, the brokerage Kotak Securities in a report titled 'Samvat 2080: Fundamental Muhurat Picks' recently said opportunities arising from market corrections (especially recent ones) can be used to add quality stocks from a long-term investment perspective. (ANI)