After the stormy boom, the mood of consolidation has been seen in the market today. Nifty hovers around 17900. Bank Nifty has outperformed today on the basis of public sector banks. FMCG, AUTO and REALITY were the biggest buyers. On the other hand, before the results of INFY, WIPRO, pressure on IT stocks was seen today.
Sensex, Nifty closed at record highs. Record closing of Bank Nifty has also been seen. Nifty climbed 46 points to close at 17,992. Sensex closed 149 points higher at 60,284. Nifty Bank climbed 228 points to close at 38,522. Along with the giants, small-medium stocks have also seen a rise. Midcap has climbed 175 points to close at 31,806. Today 17 out of 30 Sensex stocks were up. At the same time, 30 out of 50 stocks of Nifty were up. While 9 out of 12 stocks of Nifty Bank saw a rise.
Talking on the future condition and direction of the market, Madhukela of Mk Ventures said that PSU banks can get good returns going forward. There is full confidence of good returns from PSU banks. Investment in PSU banks will prove beneficial. He also said that be cautious about investing in new companies.
He further said that now one should book profit in midcap IT stocks. There is concern over valuations of midcap IT companies. Now they seem to be quite expensive. At the same time, the risk reward in PSU companies is good. Their balance sheet is more secure. Their corporate governance is also better. There is still a lot of value left in PSU companies.
Talking on the market, he said that valuations of some companies have become expensive. But there is still a lot of value left in many companies. In such a situation, bet only on selected quality stocks. There are still many investment opportunities in the market. Don’t worry too much about the valuation in the market.
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