The market ended higher after a choppy day of trading with hopes of further cut in repo-rate to boost consumer sentiment amid macro-economic challenges. The Sensex closed 170 points or 0.42 per cent higher while the Nifty ended with a gain of 31.65 points, or 0.27 per cent, at 11872.10. Broader BSE Mid-Cap and Small-Cap indices ended on a flat note.
Siddhartha Khemka, Head — Retail Research, Motilal Oswal Financial Services, said, “Technically Nifty formed a small bodied candle with comparatively long lower shadows on daily scale which indicates that dips are being bought while resistances are intact at higher levels. It has been forming lower lows from last four trading sessions as supports are drifting lower but a decisive hold of 11850 could pause in the recent consolidation to test the higher band of the trading zones. Now it has to hold above 11850 levels to witness an up- move towards 11950 then 12000 zones while on the downside major supports is seen at 11780 levels.”
Vinod Nair, Head of Research, Geojit Financial Services, said, “Trend of the market is dictated by macro releases, as WPI inflation numbers indicated weak demand in the manufacturing segment. RBI is likely to give focus on growth rather than rising inflation in the near term which may influence a few more rate cuts. In-terms of earnings growth, we notice that the strength of Q2 result slowed by the end of the season, which can put pressure on stock performance.”