Share Market Rise: The Indian stock markets were seen trading fast on 13 August today. The Sensex jumped up to 413.09 points during trading. At the same time, the Nifty rose 0.66 percent to 24,650 levels. The news of the meeting to be held early this week amidst the decline in inflation and trump-Putin strengthened the market sentiment. Indications from the global market were also positive.
Legendary shares like Apollo Hospitals, Hindalco Industries, Hero MotoCorp, HDFC Life Insurance and Kotak Mahindra Bank saw a jump of up to 6% on the Nifty. There were 4 major reasons behind today’s rise in the stock market
1. Decline in retail inflation
2. Positive signs from global markets
Asian markets had a boom on Wednesday. South Korea’s Kospi, Japan’s Nikkei 225, Shanghai’s SSE Composite and Hong Kong’s Hang Seng were all trading in the green mark. At the same time, the American markets also closed firmly on Tuesday.
3. Expectations of Trump-Putin meeting
A meeting between US President Donald Trump and Russia President Vladimir Putin is scheduled to be held in Alaska on Friday. In this meeting, there will be a discussion on stopping the Russia-Ukraine war. If Russia agrees to stop the war, then the US can relax the restrictions imposed on it. Also, in addition to 25% imposed on India, tariffs can also be removed.
4. Expected to cut rates from Federal Reserve
During the month of July in the US, inflation rose 0.2% on a monthly basis, which remained according to economists’ estimates. The inflation rate has increased the possibility of cutting interest rates in the Federal Reserve meeting to be held during the month of September. This has improved the central market sensing.
What does technical experts say?
Anand James, the chief market strategist of Geojit Financial Services, says that if the Nifty does not go below 24,450, then the risk of falling up to 200-days SMA is low, which is at 24,049 levels. At the same time, after the index crossing 24,560, it is possible to stand towards the level of 25,000.
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