Dear Trader…
Indian equity benchmarks managed to close higher for the third straight session on Thursday, led by gains in index heavyweights like ITC, Larsen & Toubro and Asian Paints. The benchmarks fluctuated between gains and losses for most part of the day owing to volatility as weekly index futures and options expired. After making slightly positive start, key indices slipped into red as traders turned cautious amid reports of foreign fund outflows. Foreign institutional investors (FIIs) net sold shares worth Rs 579.27 crore, as per provisional data available on the NSE.
Thereafter, the benchmarks recouped losses to trade in green terrain in second half of the session, as traders found some support came with a private report stated that India's outbound goods shipments rose 44.24% year-on-year in the first week of December, led by a jump in exports of petroleum products, gems and jewellery and engineering goods. Merchandise exports were $8.5 billion during December 1-7.
Nifty futures opened at 17545.00 points against the previous close of 17513.65 and opened at a low of 17416.60 points. Nifty Future closed with an average movement of 174.30 points and a rise of around 43.35 points and 17557.00 points...!!
On the NSE, the midcap 100 index will rise 0.60% and smallcap 100 index is closing rise 1.24%. Speaking of various sectoral indices only Bank, Financial Services, Realty and IT stocks were seen selling on the NSE, while all other sectoral indices closed higher.
At the start of intra-day trading, February gold opened at Rs.48035, fell from a high of Rs.48160 points to a low of Rs.48007 with a decline of 34 points, a trend of around Rs.48021 and March Silver opened at Rs.61640, fell from a high of Rs.61730 points to a low of Rs.61248, with a decline of 362 points, a trend of around Rs.61261.
Meanwhile, with a view to providing operational flexibility to banks, Reserve Bank of India (RBI) has said banks will be allowed to infuse capital in their overseas branches as well as repatriate profits without seeking its prior approval, subject to fulfilling of certain regulatory capital requirements. At present, banks incorporated in India can infuse capital in their overseas branches and subsidiaries, retain profits in these centres and repatriate/ transfer the profits with prior approval of the RBI.
RBI Governor Shaktikanta Das said in view of the subsequent significant developments in the global standards on classification, measurement and valuation of investments, the linkages with the capital adequacy framework as well as progress in the domestic financial markets, there is a need to review and update these norms.
In view of the imminent discontinuance of London Interbank Offered Rate (LIBOR), Das said any widely accepted interbank rate or Alternative Reference Rate (ARR) applicable to the currency of borrowing may be used as a benchmark, post discontinuation. Currently, the benchmark rate for Foreign Currency (FCY) External Commercial Borrowings (ECB)/Trade Credit (TC) is specified as six-month LIBOR rate or any other six-month interbank interest rate applicable to the currency of borrowing.
Technically, the important key resistances are placed in Nifty future are at 17588 levels, which could offer for the market on the higher side. Sustainability above this zone would signal opens the door for a directional up move with immediate resistances seen at 17606 – 17636 levels. Immediate support is placed at 17474 – 17404 levels.
Note :- Before Act please refer & agree Terms & conditions, Disclaimer, privacy policy & agreement on www.nikhilbhatt.in
