Bull vs bear: Why stock market today is falling on every rise — explained
2 min read . Updated: 28 Mar 2023, 02:28 PM IST
PremiumStock market was expecting concrete road map on bank crisis in US instead of bank to bank approach like SVB First Citizens BancShares deal, say experts
Stock market today: Despite high expectations of a relief rally on Dalal Street after Silicon Valley Bank (SVB) First Citizens BancShares deal, Indian stock market has been trading topsy-turvy today. 50-stock index Nifty is trading in tight 135 points range whereas BSE Sensex is trading range-bound in 525 point range. Similarly, Nifty Bank index is trading sideways in around 250 points intraday range.
According to stock market experts, market was expecting a concrete road map from the US government and the US Federal Reserve in regard to bank crisis in US. But, the US central bank and Joe Biden administration is tackling this issue on action reaction basis taking one bank on one time. They said that market mood has gone bearish after the SVB First Citizens BancShares deal because it is solution to one bank not a solution to the fear of wilting banking system in US.
SVB First Citizens Bank deal
On why stock market today is trading volatile, Ravi Singhal, CEO at GCL Broking said, "Bank crisis in US is an issue that has created concerns on the entire banking system in the US. After the US Fed's FOMC meeting, market was expecting some concrete road map from the US Fed and Joe Biden administration but instead of that, the US central bank and the US administration is indulged in action reaction gimmick. This has soured the mood of Dalal Street and other Asian markets. Market behaving topsy-turvy today is mainly due to this hitting beyond the belt action of US administration and US Federal Reserve."
Advising stock market investors to know their levels and remain insulated from this stock market volatility, Sumeet Bagadia, Executive Director at Choice Broking said, "The market is range-bound today. Sensex today is trading in 57,000 to 58,800 range whereas Nifty 50 index is in 16,800 to 17,200 range. Nifty Bank today is in 38,900 to 40,300 range. Rather looking at the volatility on Dalal Street, one should continue to remain focussed on the range of key benchmark indices."
Stocks to buy today
Unveiling day trading strategy in stock market today, Ravi Singhal of GCL Broking said, "One should look at pharma and FMCG stocks as they are safe bets in current stock market sentiments. In pharma sector, Aurobindo Pharma shares are attractive whereas in FMCG segment, Marico and Dabur may give stellar return to its investors in near term. One can also look at fertilizer stocks like GNFC and Chambal Fertilizers shares."
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.