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Below the Daily Market Commentary On 25 January 2024 by Mr. Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd 

Domestic equities continued with its profit booking trend and plunged once again on monthly F&O expiry day before recovering half of the losses towards the end. Nifty fell more than 200 points during the day but ended the day with loss of 101 points (-0.5%) to close at 21352 levels. Broader market however ended on a mixed note with Midcap 100 down -0.5% while Smallcap100 was up +0.5%. IT, Pharma and FMCG witnessed selling pressure while Oil & gas, Realty and PSUs saw buying interest. Weak results from Tech Mahindra, Axis Bank and HDFC bank continue to weigh on IT and Private Banks. FIIs have been mostly sellers in the month of Jan having sold more than 30K so far. Going ahead market is likely to consolidate further ahead of US Fed interest rate decision on Wednesday where Fed is expected to maintain status quo and give some hint with regards to rate cut timeline. Apart from this BoE monetary policy is also due coupled with few key economic data releases which might keep markets volatile. Further many heavyweights would be releasing their earnings next week, thus stock specific action would continue despite market consolidation. On Monday market would react to US GDP data and ECB rate decision due late today.

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