Dear
Trader…
The BSE Sensex fell 33 points, or 0.04%, to settle at 84,266,
while the NSE Nifty Future dropped 20 points, or 0.08%, to close at 25,969.
From the Sensex pack, Tech Mahindra, M&M, Kotak Mahindra
Bank, Infosys, SBI, and HCL Tech were the top gainers, rising 1-3%. On the
downside, IndusInd Bank, Asian Paints, HUL, Tata Motors, Tata Steel, and Titan
ended in the red.
Positive comments from US Federal Reserve Chair Jerome Powell
on the strength of the US economy boosted interest in IT stocks, as Indian IT
firms derive a significant portion of their revenue from the US.
On Monday, Powell indicated that the U.S. central bank was
not in a rush to implement aggressive rate cuts, as new data reinforced
confidence in economic growth and consumer spending.
The market breadth was skewed in the favour of the bulls.
About 2,296 stocks gained, 1,668 declined, and 90 remained unchanged on the
BSE.
Global
Markets – Japan’s Nikkei rose nearly 2% on a
softer yen after shedding 4.8% on Monday as investors contended with perceived
monetary policy hawk Shigeru Ishiba winning a contest to become the country’s
prime minister. European stocks, meanwhile, edged marginally higher with the
STOXX 600 index up 0.2%. But U.S. stock futures indices were flat to 0.3%
lower.
Crude
Oil – Oil prices slid by over 2% on
Tuesday as a stronger supply outlook and tepid global demand growth outweighed
fears over escalating conflict in the Middle East and its impact on crude
exports from the region. Brent crude futures were down $1.49, or 2.08%, at
$70.21 a barrel. U.S. West Texas Intermediate crude futures lost $1.55, or
2.27%, to $66.62.
Nifty futures opened at 25990 points against the previous
close of 25990 and opened at a low 25890 points. Nifty Future closed with an
average movement of 169 points and rise of around 20 points and closed 25969 points…!!
Meanwhile,
Domestically, the market awaits the upcoming
RBI’s policy meeting and Q2 results to have further insights on market
trajectory.
Triggered by the recent stimulus policies by the Chinese
central bank, funds are shifting to cheaper Chinese stocks from expensive
markets like India. This, along with the possible increase in interest rates by
the BoJ due to recent political changes, may impact the domestic market in the
near term.
Rupee
vs Dollar – The Indian rupee closed little
changed on Tuesday as exporters’ dollar sales helped offset the decline in
Asian currencies, which were pressured by tempered hopes of another hefty
interest rate cut by the U.S. Federal Reserve. The rupee closed at 83.82
against the U.S. dollar compared with its close at 83.7925 in the previous
session.
At the start of intra-day trading, October gold opened at Rs.75987
fell from a high of Rs.76500 points to a low of Rs.75950 with a rise of 452 points,
a trend of around Rs.76480 and December Silver opened at Rs.90888, fell from a
high of Rs.91388 points to a low of Rs.90860 with a rise of 380 points, a trend
of around Rs.91099.
Technically, the
important key resistances are placed in Nifty future are at 25969 levels, which
could offer for the market on the higher side. stainability above this zone
would signal opens the door for a directional up move with immediate
resistances seen at 26008 – 26108 levels. Immediate support is placed at 25838 –
25808 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
