Market outlook- Nifty, Sensex end in green today, cheer RBI, positive Fed chair commentary

Market outlook: Nifty, Sensex end in green today, cheer RBI, positive Fed chair commentary

Indian benchmark equity indices NSE Nifty and BSE Sensex closed in the green as RBI MPC announced 25 bps repo rate hike. Nifty 50 advanced 150 points or 0.85% to 17,871.7 while Sensex closed 377.75 points higher at 60,663. The broader markets and sectoral indices all closed in the green as volatility gauge, India VIX, fell 3.75%. Nifty Metal, Nifty Pharma and Nifty IT were the top gainers on Wednesday.Markets Decoded: RBI, US Fed buoyed marketsIntraday volatility may continue: Shrikant Chouhan, Kotak Securities

Since there were no surprises in the RBI’s MPC meet and the 25 bps rate hike was in line with expectations, investors resorted to buying in IT, banking & other select frontliners. Also, strong US market cues in overnight trades had boosted market sentiment. However, intra-day volatility may continue due to uncertainty in global markets and worries that central banks in key economies may maintain hawkish stance going ahead, which could trigger strong bouts of sideways movement.

Positive Fed chair comments impacted markets: Deepak Jasani, HDFC Securities

Nifty rose for the third consecutive session helped by largely positive global cues post the remarks by Fed Chair Powell last night. At close, Nifty was up 0.85% or 150.2 points at 17871.7. RBI’s MPC decided to hike the repo rate by 25 basis points to 6.50%, as expected. 7 out of 10 Adani group stocks ended in positive improving market sentiments. Volumes on the NSE however did not rise in proportion. Midcap index rose more than the Nifty as the positive sentiments spread through a large number of large midcaps.

Nifty Technical View: 17,950 could be next profit booking zoneNifty formed bullish candle on daily charts: Shrikant Chouhan, Kotak Securities

Technically, the Nifty has formed a bullish candle on daily charts which is broadly positive. However, 17,950 could be the next profit booking zone for the bulls. As long as the index is trading above 17,750, the uptrend wave will continue. Above the same, the market could move up to 18,150. On the flip side, below 17,750, uptrend would be vulnerabl