Dear
Trader…
The 30-share BSE benchmark Sensex advanced 349 points or
0.43% to settle at 82,134. The broader NSE Nifty future gained 104 points or
0.41% to end at 25,265.
Despite the record rally, the market capitalisation of all
listed companies on the BSE declined by over Rs 31,000 crore to Rs 462.72 lakh
crore.
The two heaviest sectors in the benchmarks, Nifty Financial
Services and Nifty IT, rose by 0.26% and 0.5%, respectively. Nifty FMCG, Auto,
Consumer Durables, and Oil & Gas also closed higher.
However, the broader, more domestically focused small- and
mid-cap indices fell about 0.5% each, underperforming the benchmarks.
Shares of TV18 Broadcast and Network18 Media &
Investments surged by 7.7% and 3.2%, respectively, after the Competition
Commission of India (CCI) approved the merger between Reliance
Industries-promoted Viacom18 and Walt Disney-owned Star India.
The market breadth was skewed in the favour of the bears.
About 2,602 stocks declined, 1,347 gained, and 98 remained unchanged on the BSE.
Investors are now focusing on the preliminary estimate of
U.S. gross domestic product (GDP) for the second quarter, due later in the day,
and the U.S. Federal Reserve’s preferred gauge of inflation—the core personal
consumption expenditures (PCE) index—on Friday, for clues on the central bank’s
rate easing plans.
Global
Market Check –
European shares shrugged off Wall Street’s disappointment at
‘Magnificent 7’ top dog Nvidia’s results on Thursday.
With a sprightly 0.4% gain on the board, the pan-European
STOXX 600 index was pushing to regain the record highs it set in mid-June
before being savagely hit in a global rout earlier this month.
Asian markets had a tricky session. MSCI’s broadest index of
Asia-Pacific shares outside Japan fell 0.3%, with South Korea’s and Taiwan’s
markets dropping 1% and 0.7% respectively as their big chip and tech stocks
felt the Nvidia chill.
Nifty futures opened at 25150 points against the previous
close of 25161 and opened at a low 25113 points. Nifty Future closed with an
average movement of 177 points and a rise of around 104 points and closed 25265
points…!!
Crude
Oil – Oil prices steadied on Thursday, after two
sessions of losses, as supply concerns over Libya returned to focus, while a
smaller-than-expected draw in U.S. crude inventories sapped demand expectations.
Brent crude futures slipped 7 cents, or 0.09%, to
$78.58 a barrel, while U.S. West Texas Intermediate crude futures edged 1 cent
lower, or 0.01%, at $74.51.
Meanwhile,
Indian equities began steadily and breached a
record high. Volatility disturbed the trend in the afternoon due to Reliance
Ltd AGM expectations, but the broad market carried the rally to a new high by
the end of the day with rapid improvement in sentiment. The recent uptick in
Indian IT and FMCG stocks points to a potential soft landing for the US economy
and an improvement in domestic rural consumption.
Rupee
gains – The Indian rupee strengthened on Thursday,
tracking a similar move in its Asian peers and in anticipation of MSCI-related
inflows as domestic equities’ weightage in the index is set to rise.The
rupee closed at 83.8700 against the U.S. dollar at, up 0.1% from 83.9525 in the
previous session. Asian currencies rose, while the dollar index slipped
to 100.89, before recovering through the session.
Technically, the
important key resistances are placed in Nifty future are at 25265 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 25303 – 25404 levels. Immediate support is placed at 25180 –
25088 levels.
Past Performance is not an Indicator of Future Returns. The
securities quoted are for illustration only and are not recommendatory. Investment
in securities market are subject to market risks. Read Disclaimer and related
all the documents carefully before investing, mentioned on www.nikhilbhatt.in
