Dear
Trader…
The benchmark BSE Sensex lost 502 points or 0.62% to settle
at 80,182, while the broader Nifty future index closed at 24,257, lower by 160
points or 0.66%.
Financial stocks were the biggest drags on the benchmarks,
with the Nifty financial services closing 1.2% lower, while Nifty Bank and
Nifty PSU posted 1.3% and 1.9% declines for the day, respectively.
Nifty 50 heavyweights HDFC Bank and ICICI Bank fell over 1.4%
and were the biggest drags on the benchmark.
Online payments firm One Mobikwik Systems ended 20% higher
and budget retailer Vishal Mega Mart closed 1.6% higher on their trading debuts.
Globally, investors are watching out for any changes to the
U.S. Fed policymakers’ projection of rate cuts in 2025 from the September
forecast, with a 25 basis points reduction fully priced in for this meeting.
While it is near-certain that the Fed will deliver a
quarter-point rate cut later on Wednesday, market participants are jittery
about its 2025 rate outlook and will keep a keen eye on any cautious commentary
from the Fed.
Global
Markets – Global shares edged up on Wednesday as market
participants made last-minute adjustments to portfolios in the countdown to the
year’s final flurry of central bank meetings while Asian shares were mixed
ahead of the Federal Reserve’s final rate decision of this year.
Japan’s benchmark Nikkei 225 dropped 0.7% after the
government reported that exports rose 3.8% in November year-on-year. Meanwhile,
in Hong Kong, the Hang Seng added 0.8% and the Shanghai Composite index gained
0.6%.
Forex
– The Indian rupee fell to its all-time low at
84.9550 against the U.S. dollar before closing at 84.9525 on Wednesday,
pressured by strong dollar demand from importers and likely outflows from local
equities. Meanwhile, the dollar index, which gauges the greenback’s
strength against a basket of six currencies, was trading higher by 0.04% at 107.
Crude
Oil – Oil prices edged slightly higher
on Wednesday as investors stayed cautious ahead of a potential interest rate
cut by the U.S. Federal Reserve, while a draw in U.S. crude inventories offered
further support.Brent futures rose 57 cents, or 0.78%, to $73.56 a barrel at
0923 GMT on Wednesday.
On December 17, foreign institutional investors (FIIs)
extended their selling as they offloaded equities worth Rs 6,409.86 crore,
while domestic institutional investors purchased equities worth Rs 2,706.48
crore on the same day.
Nifty futures opened at 24369 points against the previous
close of 24417 and opened at a low 24216 points. Nifty Future closed with an
average movement of 247 points and Decline of around 160 points and closed 24257
points…!!
Meanwhile,
Investors shunned stocks led by banking ahead of
the outcome of the U.S. rate decision with focus on the Fed chairman’s
commentary on inflation & growth outlook in the backdrop of worsening
global economic situation.
Technically, the
important key resistances are placed in Nifty future are at 24257 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 24404 – 24474 levels. Immediate support is placed at 24202 –
24188 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
