Dear Trader…
Indian equity benchmarks closed at record closing highs on Monday led by gains Metal, Energy and Oil & Gas stocks. Benchmarks started session on a sluggish note, as traders were cautious with a private report stated that it is highly unlikely that India will become a $5 trillion economy by 2024-25 due to the slowdown caused by the COVID-19 pandemic. Besides, India recorded 33,221 new Covid-19 cases and 421 deaths in the past 24 hours, taking its tally to 32,225,175 and the death toll to 431,674.
However, key indices recovered from early losses as the data released by the commerce ministry showed that the country's exports surged 49.85 per cent to $35.43 billion in July on account of healthy growth in petroleum, engineering, and gems and jewellery segments, even as the trade deficit widened to $10.97 billion during the month. Some support also came as RBI data showed country's foreign exchange reserves increased by $889 million to a lifetime high of $621.464 billion in the week ended August 6, 2021.
Nifty futures opened at 16499.00 points against the previous close of 16517.35 and opened at a low of 16461.85 points. Nifty Future closed with an average movement of 126.15 points and a rise of around 33.70 points and 16551.05 points...!!!
On the NSE, the midcap 100 index will decline 0.34% and smallcap 100 index is closing decline 0.78. Speaking of various sectoral indices, the NSE saw gains in Metal, Financial Services and FMCG stocks, while all other sectoral indices closed lower.
At the start of intra-day trading, October gold opened at Rs.46950, fell from a high of Rs.47022 points to a low of Rs.46816.00 with a decline of 122 points, a trend of around Rs.46818 and September Silver opened at Rs.63141, fell from a high of Rs.63233 points to a low of Rs.62461, with a decline of 516 points, a trend of around Rs.62722.
Meanwhile, ICRA Ratings in its latest report has said that most states are likely to be in better fiscal health this financial year as 20 of them are collectively carrying forward Rs 2.6 lakh crore borrowed in FY21 to this fiscal. It said this also explains why the states have been borrowing less so far this year despite the pandemic-driven revenue crunch and the soaring public expenses towards health and food.
According to the report, given the pandemic and the resultant financial crunch, the Centre allowed states to borrow up to 5 per cent of their gross state domestic product (GSDP) -- resulting in an aggregate borrowing of Rs 8.5 lakh crore -- in FY21 as they faced massive drop in revenues and higher expenses towards supporting the people hit by the lockdowns. It also noted that as of August 10, when the state debt was auctioned last, the borrowings by the states so far in FY22 has been 11 per cent less year-on-year and 15 per cent lower than the amounts shown in the indicative auction calendar.
Technically, the important key resistances are placed in Nifty future are at 16606 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 16676 – 16707 levels. Immediate support is placed at 16505 – 16474 levels.
Note :- Before Act please refer & agree Terms & conditions, Disclaimer, privacy policy & agreement on www.nikhilbhatt.in
