Dear
Trader…
Indian equity
benchmarks pared all of their intraday gains to end lower on Friday due to
fag-end selling in heavyweights Axis Bank, Power Grid Corporation and Wipro.
Key gauges made optimistic start and stayed in green for most part of the day,
as traders found some support with the third quarterly employment survey (QES)
by the labour ministry showed that employment in nine select non-farm sectors
stood at 31.45 million in the October-December 2021 quarter, 0.39 million more
than the July-September period and 0.65 million higher than April-June, 2021.
However, key
indices reversed the trend and turned sharply lower in the last hour of trade,
as traders got cautious with rating agency ICRA stating that capacity
utilisation in India is expected to dip in the first quarter of current fiscal
and is expected to gradually rise by the third quarter, and indicated that the
economic recovery will be hurt by the Russia Ukraine tensions, however it will
see recovery by the end of the year.
Nifty
futures opened at 17307.00 points against the previous close of 17260.35 and
opened at a low of 17085.65 points. Nifty Future closed with an average
movement of 313.35 points and a decline of around 127.35 points and 17133.00 points…!!
On the NSE, the
midcap 100 index will decline 0.84% and smallcap 100 index is closing decline 1.16%.
Speaking of various sectoral indices, Media, PSU Bank and Realty stocks saw
heavy selling on the NSE, while all other sectoral indices also closed lower.
At the start
of intra-day trading, April gold opened at Rs.51499, fell from a high of Rs.51879
points to a low of Rs.51499 with a rise of 396 points, a trend of around Rs.51658
and March Silver opened at Rs.64150, fell from a high of Rs.64710 points to a
low of Rs.63666, with a rise of 87 points, a trend of around Rs.64004.
Meanwhile,
with an aim to reduce imports of the country, the commerce ministry has made a
case for encouraging domestic manufacturing of 102 items like chemicals,
electronic products and insulin injection as their share in the country’s total
imports are high. According to an analysis of imports by the ministry, the 102
items are in huge demand in the country and are imported because domestic
supplies are not adequate.
It said
‘Based on the study results, it is suggested that items showing high growth
and/or high share i.e. a total of 102 items with share of 57.66 per cent in
total import may be prioritised for immediate interventions for domestic
production opportunities’. It has recommended that industry associations,
manufacturers and business leaders may consider exploring domestic capacity
expansion in these items with a view to meet the domestic demand, which in turn
will fuel economic growth and create employment opportunities.
The study
was conducted to identify items which are consistently being imported, and have
significant share in value of imports. The objective is to enhance their
domestic production capacity and reduce import dependence. As many as 88 items
such as gold, natural gas, crude palm oil, integrated circuits, parts of
telephonic/telegraphic apparatus and personal computer have shown increase in
imports in the short, medium and long run. India’s imports have touched $611.89
billion in 2021-22 as against $394.44 billion in 2020-21.
Technically, the important key resistances are placed in Nifty future are at 17230 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 17303 – 17474 levels. Immediate support is placed at 17077 – 17007 levels.
Note :- Before Act please refer & agree Terms & conditions, Disclaimer, privacy policy & agreement on www.nikhilbhatt.in
