Tale of the Tape 

Howdy folks. Happy Dhanteras!

Markets staged a strong comeback in the second half of the day to end in the green. Midcaps (+0.9%) and Smallcaps (+0.8%) extended their gains for a second day too. The advance-decline ratio was in favour of the bulls (3:2). Check out the Stocktwits Sentiment Meter:

Most sectors ended in the green. PSU Banks (+3.6%) and NBFCs (+2.1%) led the rally. Auto (-1.6%) and Pharma (-1.1%) saw the most selling.

Everyone is buying gold today for festive reasons. But how good is it as an investment? Read our top story to get the deets.

Our Diwali stocks series continues with HDFC Securities’s top picks! More details below.

Maruti Suzuki was the top Nifty loser on disappointing Q2 numbers. Meanwhile Federal Bank jumped +9% after bucking industry trends with its Q2 results. More details below.

Results reaction. Ami Organics (+12%) hit a record high after swinging back to profitability in Q2 and raising its FY25 revenue guidance. Spandana Sphoorty nosedived -18% after reporting a Rs 216 cr net loss.

Senco Gold crashed over -14% intraday after rumours of a tax raid. PS - the company clarified that this was false and the stock recovered to end -5% down.

Ola Electric Mobility (-1%) fell below its IPO price of Rs 76 p/sh in intraday trading. The firm announced a new round of discounts today.

NTPC (+2%) was in focus after SEBI approved its green energy arm IPO.

JSW Energy gained +7% after the group signed an MoU With Korea’s POSCO for collaboration in battery materials, renewable energy and steel.

Afcons Infrastructure IPO sailed through on Day 3 of bidding.

Here are the closing prints:

Commodity
Gold Rush

Happy Dhanteras everyone! It’s all about that shiny yellow metal today. As you know, we at Stocktwits love stocks. I mean its in the name lol. But here’s a straight, factual comparison at how gold & silver have matched up, courtesy inputs from the folks at Capitalmind. 

1) Short-term: In 2024, silver is winning. Silver is up +30% YTD, Gold is up +23% YTD and the Nifty +15%. Even over the last three years, metals have won. If you had invested Rs 100 in all segments in October 2021, gold would be worth Rs 159, silver worth Rs Rs 153 and the Nifty Rs 141.

2) Long-term: The picture completely changes over a broader timeframe. In the last 25 years, Nifty has beaten the other two for 12 years. That’s almost 50% of the time!!! Gold won in 7 of those years and silver in only 6. From 2000, if you look at annualised returns, Nifty wins at 13.2% CAGR, gold at 11.8% and silver at 10.4%.

The question you’re all thinking right now: why invest in gold and silver at all if Nifty is better? The answer is that because they provide important hedges. Your real life monetary needs can’t always wait on equity markets hitting a high. Fun fact: in the last two decades, Nifty’s biggest drawdown has been a whopping -60%, while gold’s biggest fall has only been -27%. A simple rule of thumb is for long-term wealth, focus on stocks and mutual funds. For the things in between, have some gold or silver ready!

Stocktwits Spotlight
Diwali 2024 Picks - By SEBI RAs 🚀

We’ve curated a list of top stock picks by SEBI RA’s. In less than 5 minutes, we’ll walk you through these top picks that have a timeframe of ~12 months and also cover key fundamental, technical and news events surrounding these stocks.

 ICYMI – There are over 50 SEBI registered analysts on Stocktwits that share views on stocks and indices every single day. Sign up to Stocktwits to get free access to trade setups by SEBI RAs.