Post Market Report, March 10, 2016 | Stocks and Commodities

March 10, 2016
Time: 9.45 pm

Post Market Report:

1. Markets opened with positive bias but quickly turned into negative territory due to Infosys share sale by promoters.
2. Promoters have sold shares worth about 850 crores today at about 3% discount to yesterday's closing price.
3. Then selling came in all the index heavy weights like Reliance, ITC, TCS.
4. Infosys, Reliance, ITC alone contributed 75% of the losses today.
5. Nifty fell nearly 150 points form intraday high and then recovered about half of the losses and then fell again to close around 7485.
6. European markets have shown huge volatility after ECB meeting.
7. ECB announced rate cut, increased bond buying program from 60 billion to 80 billion a month and immediately all the Europen markets shot up.
8. But two hours later all the markets fell, German index shot up by 300 points and then fell 400 points.
9. It is a swing of 700 points and it is more than 7% swing.
10. SGX Nifty was trading around 7550 after ECB announcement but now trading around 7450 which is about 100 points fall.
11. If Nifty breaks today's low of 7447, then panic will set in and we can expect more selling.
12. FIIs have bought for Rs 1063 crores in Cash market but DIIs have sold heavily at Rs 598 crores.
13. Though net institutional figure (both FII and DII combined) is positive by about 465 crores, if we factor in Infosys share sale of 850 crores, then institutional net figure is negative, that too a sell figure of nearly 400 crores.
14. Markets are showing such a huge volatility despite huge stimulus by ECB is surprising, we do not know what is going to happen after Fed meeting next week.
15. So the road ahead seems to be very rough. We should be happy if Nifty holds above 7400 by tomorrow.