Banks and Cap Goods Gain as Markets Look Better After Interim Budget

The strong opening for the Indian equities seemed more like a relief that marketmen breathed after the insipid and uneventful vote-on-account was passed in the previous session. Fears related to any populist measures that could weaken the condition of the country’s Balance Sheet were finally put to rest and it was once again, business as usual. Not surprising then that pockets that were oversold in the last few sessions, such as BANKS and CAP GOODS suddenly found life, mostly on account of short covering and triggered by some very strong numbers announced as part of the last quarter earnings by Cap Goods major ABB. The other players in the segment, LT, SIEMENS, CROMPGREAVES too saw a strong pullback of sorts while the move in banks was led by the pvt sector brigade comprising of ICICIBANK, AXISBK, HDFCBk & KOTAKBANK.

While the market did muster up the strength to test the 6100 mark decisively, it would be a tough task for it to cross into the late 6100s and any rally that takes NIFTY closer to 6200 would be a sound opportunity to sell into!