Weekly Update-17 January 2025

NIFTY50

The Nifty index concluded the week with a decline of 0.97%, closing at 23,203. The week started on a weak note with a gap-down opening on Monday, followed by sustained selling pressure. However, for the rest of the week, the index traded in a narrow sideways range of less than 1%, reflecting cautious market sentiment. Despite the initial drop, the index managed to hold above Monday's low throughout the week, closing slightly higher than that level. Looking ahead, the key support level is around 23,000, while resistance is expected near 23,400.

BANKNIFTY

The Bank Nifty index closed the week with a modest loss of 0.4%, settling at 48,734. The week began with a gap-down opening followed by consistent selling pressure, but mid-week saw a partial recovery as buyers stepped in, absorbing the earlier losses. However, the index faced renewed selling on Friday after Axis Bank's earnings disappointed, leading to a gap-down opening and sustained pressure throughout the day. This weakness in private banks overshadowed gains in PSU banks, keeping the index under pressure. For the upcoming week, the key support level is around 48,000, while resistance is seen near 49,500.

Top Performing Sector of the week

The Nifty PSU Banks was best performing sector for the week

Major gainers include:-

Punjab & Sind Bank: up by 10.76%

Indian Bank: up by 6.51%

Bank of India: up by 6.32%

Canara Bank: up by 5.44%

Worst Performing Sector of the week

The Nifty IT was worst performing sector of this week

Major losers include:-

HCL Technologies: down by 10.34%

Infosys: down by  7.7%

Wipro: down by 6.19%

Persistent System: down by 5.67%

Important News:-

• Infosys: Shares declined by 5.4% after the company, despite exceeding revenue expectations, raised concerns over the quality of results driven by third-party items in its deal pipeline.

• Wipro: The company announced plans to hire 10,000 to 12,000 freshers in FY26, with 2,500 to 3,000 recruits per quarter, indicating a strategic focus on expanding its talent pool.

• Axis Bank: Shares dropped by 5.2% after the bank missed profit estimates due to slower loan growth and increased provisions for bad loans.

• RBL Bank: Reported an 86% decline in net profit to ₹32 crore in Q3, attributed to higher provisions, despite a 3% year-on-year increase in net interest income.

• Reliance Industries: Shares rose by 2.57% to ₹1,301.30, outperforming the broader market, following the company's report of strong demand in its retail and telecom units, which contributed to exceeding profit estimates.