March 4th 2024 Stock Market analysis

Equity Markets Steady as Nifty and Sensex Retreat from Gains, Investors Monitor Global Indices for Direction

Nifty and Sensex Begin with Gains, but Moderate by Close Despite Energy and Infrastructure Sector Buying. Following positive trends in US and Asian markets, Sensex concludes up by 66.14 points (0.09%) at 73,872, while Nifty inches 27.20 points (0.12%) higher, settling at 22,405.With approximately 1,350 shares advancing and 2,462 declining, while 120 remained unchanged, the broader market indices closed with a mixed performance. The BSE midcap index saw a slight uptick, whereas the BSE smallcap index ended in negative territory.

Given the absence of significant events, market participants are expected to look towards global indices, Federal Reserve Chairman Jerome Powell’s congressional testimony, and China’s National People’s Congress for direction. Analysts suggest that the Nasdaq Composite, a tech-heavy index in the US, hit a fresh record high on March 1 after more than two years. This milestone could potentially serve as a catalyst for upward movement in IT counters in India as well.

Tata Motors Announces Demerger: Commercial and Passenger Vehicle Businesses to Form Separate Listed Firms

Tata Motors has announced its decision to split its businesses into two separate listed entities for commercial vehicles (CV) and passenger vehicles (PV). This move follows the earlier subsidiarisation of PV and EV businesses in 2022. The demerger aims to empower each business to pursue its strategies independently, enhancing growth and accountability. The process will take 12-15 months to complete pending necessary approvals. This decision reflects Tata Motors' efforts to capitalize on market opportunities and improve focus and agility.

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BHEL Soars 14% to Reach 52-Week High, Surging 250% Over the Past Year

Bharat Heavy Electricals Limited (BHEL) saw a remarkable surge of over 14%, hitting an eight-year high of Rs 269.35 on the National Stock Exchange (NSE) due to heavy trading activity. This surge was fueled by news of NTPC's approval for a significant investment in a project where BHEL is the sole construction bidder. At closing, BHEL was trading at Rs 265.15 on the NSE, marking a 12.40% increase from the previous close. The stock has witnessed an impressive 250% rise in the past year and a 93% surge in just the last six months. BHEL's recent joint venture agreement with Coal India to venture into the coal to chemicals business has also contributed to its positive momentum. The company, which operates in the power and industry segments, supplies a variety of equipment and services across sectors such as power generation, transportation, and defense.

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