Latest news with #KotakSecurities
Mint
13 hours ago
- Business
- Mint
Sensex jumps over 800 points, Nifty 50 rises above 25k; why is Indian stock market rising? EXPLAINED
Indian stock market benchmarks, the Sensex and the Nifty 50, clocked solid gains in intraday trade on Friday, June 20, despite escalating Israel-Iran tensions. The Sensex opened at 81,354.85 against its previous close of 81,361.87 and rose over 800 points, or 1 per cent, to an intraday high of 82,186.37. On the other hand, the Nifty 50 opened at 24,787.65 against its previous close of 24,793.25 and rose 1 per cent to an intraday high of 25,040.45. The gains were broad-based as the BSE Midcap and Smallcap indices rose by over half a per cent each during the session. The overall market capitalisation of BSE-listed firms rose to nearly ₹ 446 lakh crore from nearly ₹ 443 lakh crore in the previous session, making investors richer by about ₹ 3 lakh crore in a single session. The Indian stock market is witnessing healthy buying across segments. Here are four factors that seem to be behind the stock market rally: Experts highlighted that a bounce in the Indian stock market is on expected lines as it has been subdued for the last three sessions. As the outlook of the Indian economy remains bright, investors seem to be buying stocks at cheaper valuations. "Investors may be short covering on hopes of a truce between Israel and Iran. However, if the tensions escalate further, the market may again witness a selloff," said SEBI-registered fundamental research analyst Avinash Gorakshkar. Brent crude oil prices crashed over 2 per cent, boosting domestic market sentiment. Oil prices crashed even as tensions between Israel and Iran escalated further. Experts highlighted that crude oil is witnessing profit booking as the US delayed a decision on its involvement in the Israel-Iran conflict. White House Press Secretary Karoline Leavitt on Thursday (June 19) said President Donald Trump will decide on the US role in the Iran-Israel conflict within two weeks. Benchmark Brent Crude prices fell more than 2 per cent to near $77 per barrel. Experts pointed out that if crude prices remain below the $80 a barrel mark, it will not negatively affect the Indian stock market. Foreign portfolio investors (FPIs) have been buying Indian equities for the last three consecutive sessions amid a decline in the dollar index. On June 19, FPIs bought Indian equities worth ₹ 934.62 crore in the cash segment. As the Indian economy's macro outlook remains strong, experts believe foreign investors could be eying fairly valued segments of the stock market after the recent fall. Experts say the domestic market is in a range, and a breakout on either side will decide its direction. According to Shrikant Chouhan, the head of equity research at Kotak Securities, a successful breakout above 24,900 could take the Nifty 50 to 25,000-25,050. "The strategy should be to take a long trade if Nifty crosses 25,000. Keep a stop loss at 24,800 for the same. On the other side, expect further weakness below 24,700; however, in that case, we need to keep a stop loss at 24,900 for the same. However, a close below 24,700 would be negative in the short term," said Chouhan. Read all market-related news here Read more stories by Nishant Kumar
Time of India
16 hours ago
- Business
- Time of India
Silver's breakout year: Why poor man's gold is outshining its richer cousin
Long dismissed as gold 's cheaper cousin, silver is now taking center stage in global metals markets. Prices have surged to fresh record highs, fuelled by a potent mix of bullish fundamentals, rising industrial demand, and growing strategic interest from institutions and even central banks. A sharp correction in the gold-silver ratio has further bolstered silver's appeal, prompting analysts to suggest this rally may be just getting started. Silver futures for July expiry hit a new all-time high of Rs 1,09,748 per kilogram on MCX on Wednesday, breaking Tuesday's record. The rally extended further in September contracts, which touched Rs 1,11,000 per kilogram. This marks a nearly 25% rise from silver's all-time low of Rs 88,050 per kg, underscoring the metal's spectacular reversal in fortunes. Globally, silver prices were steady around $36.72 per ounce on Thursday, holding close to the 13-year high of $37.40 per ounce reached earlier in the week. Though domestic prices cooled slightly on June 19 to Rs 1,08,300/kg, analysts attribute the dip to minor profit-booking by traders, not a weakening of trend. In sharp contrast, gold prices have softened over the last two sessions. Gold futures for August delivery slipped to Rs 99,329 per 10 grams on Wednesday, down 0.2%, even after breaching Rs 1 lakh per 10 grams for the first time earlier this month. The divergence has narrowed the gold-silver ratio, once above 100 in April and May, to about 91 now, further strengthening silver's case. What's driving the silver surge? At the heart of silver's breakout rally is a potent combination of rising industrial demand, structural supply deficits, and a macroeconomic backdrop that's favouring safe-haven assets. 'COMEX silver surged to a 13-year high of $37.40 per ounce, while MCX silver prices rallied to a record high of Rs 109,748/kg on Wednesday, driven by strong safe-haven demand amid escalating geopolitical tensions,' said Kaynat Chainwala, AVP-Commodity Research at Kotak Securities. Chainwala noted that silver's dual identity, as both an industrial commodity and a precious metal, makes it uniquely positioned. 'This allows it to benefit from heightened risk aversion as well as from long-term trends in renewable energy and technological advancement,' she said. According to Chainwala, silver's critical applications in solar energy, electronics, EVs, and 5G technology have driven demand to record levels. In 2024, industrial demand hit a new peak of 680.5 million ounces, while global mine supply has struggled to keep pace after peaking in 2016. Despite a modest 2% supply uptick and a projected 1% dip in total demand in 2025, the market is bracing for a steep deficit of 117.6 million ounces. The gold-silver ratio: Catalyst for a catch-up rally The sharp correction in the gold-silver ratio has also triggered aggressive positioning in silver. Historically, a high ratio indicates that silver is undervalued relative to gold, and reversion often leads to silver outperforming. 'The gold-silver ratio has rarely been this high historically and we are now seeing it start to correct. I believe it has a long way to go,' said Brad Smoling, Managing Director at Smoling Stockbroking. With gold currently at $3,411 an ounce and silver at $36, the ratio stands around 93. To return to the long-term average of 70, silver would need to climb to $48 per ounce, assuming gold prices remain unchanged. Smoling also pointed to long-standing structural issues in the silver market. 'The silver price has been suppressed by a concentrated short position held by a handful of bullion banks on the Comex exchange. This has been the case for decades,' he said. 'But we are now at the point where the physical shortfall in silver supply for the past five years is no longer controlled by the futures market. It is such a small market,' Smoling said. Millennials, institutions, and a changing investment narrative Silver's affordability compared to gold, especially at a time when gold trades above Rs 99,000 per 10 grams, is making it increasingly attractive to newer generations of investors. Analysts say millennials and Gen Z are driving a shift toward silver as both a tactical bet and a long-term play. 'Silver remains more affordable than gold, while also offering broader exposure to the booming green and tech-driven industrial sectors,' Chainwala said. Institutional interest is rising too, with ETF holdings up 2.2 million ounces in a single day last week. In a landmark development, Russia's plans to purchase $535 million worth of silver over the next three years marks the first known central bank entry into the silver market in recent history, signalling the metal's growing strategic importance. 'The biggest long-term issue now being realised is that so much silver has been consumed or destroyed, unlike gold, we will be struggling to meet global demands from this point on,' Smoling added. Cautious optimism: Profit-booking or just a pause? While silver eased slightly on Thursday, analysts say this is a natural breather. 'Taking partial profits at elevated levels is advisable to lock in gains while maintaining exposure to further upside,' said Chainwala. 'Long-term investors should view pullbacks as buying opportunities.' Chainwala forecasts silver could climb toward $40 per ounce this year, with a possible extension to $50 by the end of 2026. On the domestic front, MCX silver could test Rs 1,25,000 per kilogram, with support levels around Rs 1,01,300/kg over the next six months. Smoling, meanwhile, urged investors to be selective in their exposure. 'I advise my clients to consider some physical metal and good quality silver mining shares. I would avoid a lot of the ETFs and other paper silver investments.' With geopolitical tensions brewing, particularly in the Middle East, and the U.S. Federal Reserve maintaining a cautious stance on inflation and interest rates, silver is enjoying a rare alignment of factors that support both short-term rallies and long-term revaluation. Once a sidelined asset, silver is now being re-rated, not just as an industrial input or inflation hedge, but as a strategic investment that combines affordability, scarcity, and essential utility. And with both investors and institutions waking up to its promise, the silver story may just be entering its most consequential chapter yet. Also read | Explained: Why gold beat Euro to become the world's second-largest reserve asset ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Hans India
18 hours ago
- Business
- Hans India
Kotak securities' investor edu initiative
Kotak Securities, a brokerage house, launched 'Kotak Stockshaala' - a free multilingual learning platform offering capital market education to investors and traders. The platform is accessible via Kotak Neo App, offers learning in two formats of video-based and text-based courses. There are five comprehensive courses divided into over 200 easy-to-understand chapters, available in English and Hindi. Additional regional languages will be introduced soon. The learning module is designed for beginner, intermediate and advanced levels covering the entire spectrum of financial literacy and capital markets for investors and traders. Shripal Shah, MD, Kotak Securities, said: "At Kotak Securities, we believe that financial empowerment egins with knowledge. With the launch of Kotak Stockshaala, our new learning platform—featuring free, comprehensive video and text-based content—we're making investing education accessible to every Indian, regardless of their background or experience.' Our goal is to nurture confident investors by breaking down complex concepts into easy, engaging lessons that anyone can understand and apply."
Hans India
2 days ago
- Business
- Hans India
Trade Setup June 19: Nifty closes below key support at 24,850; market awaits Fed cues for direction
India's benchmark indices extended their decline for a second consecutive session on Wednesday, with the Nifty 50 slipping below a key support level. The index closed 41.35 points or 0.17% lower at 24,812.05, while the BSE Sensex shed 138.64 points or 0.17% to end at 81,444.66. Shrikant Chouhan, head of equity research at Kotak Securities, cautioned that weak market sentiment is likely to persist if Nifty trades below 24,800. He identified 24,725 as a critical support zone, warning that a breach could push the index down to 24,500. However, Chouhan added that if the Nifty crosses above 24,900, it could trigger positive momentum, with potential upside towards 25,000–25,100. Rupak De, senior technical analyst at LKP Securities, echoed similar views. 'A decisive reclaim of 24,850 may ignite a rally toward 25,000 and higher. But failure to cross this mark could drag Nifty back to 24,500,' he said, noting that the U.S. Federal Reserve's decision could significantly influence both global and Indian market sentiment. The day's decline was led by major stocks like ICICI Bank and Tata Consultancy Services, adding pressure on broader indices. As traders eye the Fed's policy outcome, the next few sessions could determine whether markets recover or slide further.
Economic Times
3 days ago
- Business
- Economic Times
Nifty faces resistance at 25,000 mark amid geopolitical tensions
Earlier this year, Nifty crossed 25,000 for the first time in seven months on May 15, after Donald Trump claimed that India had offered to drop all tariffs on US imports. The Nifty benchmark faces a significant hurdle at the 25,000 mark in 2025, struggling to maintain levels above it amid geopolitical tensions and a lack of positive catalysts. Analysts observe profit booking and heavy call writing around this level, indicating resistance to further upward movement. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Mumbai: The 25,000 mark is turning out to be a key hurdle for the benchmark Nifty . In 2025, the index has failed to stay above this psychologically important level for more than four straight trading sessions, while it has closed above it seven times in this year, according to ETIG with geopolitical uncertainty heightening of late, and a lack of positive triggers, analysts see the 25,000-mark remaining a resistance against big market moves in the near highest closing for the Nifty in 2025 so far has been at 25,141 on June 11. The index closed at 24,853 on Tuesday, down 93.1 points, or 0.4%, over the previous trading session with no end in sight to the conflict between Iran and Israel."Market sentiment remains uncertain amid the ongoing Iran-Israel conflict, limiting Nifty's ability to sustain levels above 25,000," said Shrikant Chouhan, head of equity research at Kotak Securities. "Valuations in India are now stretched, with most positive factors such as RBI rate cuts, a good monsoon and strong macro indicators already priced in."Chouhan said investors are booking profits at higher levels, capping the upside for the are build derivative positions around 25,000, betting that the index will not surge past the 25,000 Palviya, head of technical and derivatives research at Axis Securities, said the 25,000 level has emerged as a strong resistance zone due to heavy call writing . When a trader writes (or sells) a call option at a particular strike (25,000 in this case), it's an indication she does not expect the index to cross that level."For the fifth consecutive week, the index has failed to sustain above this level, with fresh call writing now emerging even at 24,900," he said. "A potential ceasefire in the Iran-Israel conflict remains the key near-term trigger for any meaningful upside."Earlier this year, Nifty crossed 25,000 for the first time in seven months on May 15, after Donald Trump claimed that India had offered to drop all tariffs on US Jain, vice-president at Motilal Oswal Financial Services , said the Nifty has traded within a broad range in the last couple of days, with 24,500-24,450 being crucial support, where dips are getting bought into."On the higher side, 25,000-25,200 has been acting as a resistance as it is the previous swing high resistance zone also seen during mid-October 2024," he said. "This consolidation in a broad range seems to be a time-wise corrective phase post the recent run-up in the last couple of months."
