Dear
Trader…
Indian headline indices traded within a range on Thursday but
managed to scale fresh closing highs. The 30-stock S&P BSE Sensex reached a
lifetime high of 80,393 before closing at 80,050, up by 63 points or 0.08%.
Meanwhile, the broader Nifty Future peaked at 24,454 during the session and
ended the day at 24,375, registering a gain of 25 points or 0.10%.
The Nifty breadth was skewed in the favour of the bears, with
27 stocks ending in the red, while 23 ended in positive territory. Top gainers
at the close included Tata Motors, HCL Technologies, ICICI Bank, Sun
Pharmaceuticals, and Tata Consultancy Services (TCS).
Conversely, HDFC Bank, Bajaj Finance, Adani Enterprises,
Wipro, and Tech Mahindra were among the top losers.
Out of the 16 sectoral indices, 11 closed higher, with Nifty
Pharma, Nifty IT, and Nifty Auto emerging as top performers with gains of up to
1.4%. On the downside were Nifty Media, Nifty Financial Services, and Nifty
Metal.
The market breadth was skewed in the favour
of the bulls. About 2,117 stocks gained, 1,821 declined, and 83 remained
unchanged on the BSE.
Global
Market Check –
Except for China’s Shanghai Composite, which saw a 0.83%
decline, most major Asian indices closed in positive territory. Japan’s Nikkei
225 led with a 0.83% gain. Hong Kong’s Hang Seng index rose by 0.28%, and
Singapore’s FTSE Straits Times Index surged up to 0.71%.
UK’s FTSE was up by 0.70%, Germany’s DAX showed a gain of
0.29%, and France’s CAC 40 and Stoxx 600 both rose by 0.72%. Spain’s IBEX
closed lower by 0.25%
Currency Update –
The Indian rupee closed slightly stronger on
Thursday, supported by firmer Asian peers amid a decrease in US bond yields.
The rupee ended at 83.4925 against the US dollar, a slight improvement from its
previous close at 83.53, according to Reuters.
The dollar index was at 105.2, while Asian currencies,
including the Chinese yuan up about 0.1% and the Japanese yen nearly 0.3%
higher, strengthened. Recent soft US economic data alleviated pressure on the
yen and yuan, which had kept Asian currencies on the defensive in recent
sessions.
Nifty futures opened at 24422.20 points against the previous
close of 24350.40 and opened at a low 24335.00 points. Nifty Future closed with
an average movement of 119.90 points and a rise of around 24.80 points and
closed 24375.20 points…!!
Crude Impact –
On Thursday, crude oil prices retreated, with US
WTI oil contracts trading at $83.35, down by $0.53 or 0.63%, and Brent oil
futures near $86.85, lower by $0.49 or 0.56%. Meanwhile, on the MCX, July Crude
Oil futures traded at Rs 6,961 per BBL, a decrease of Rs 10 or 0.14%.
The rise in crude oil prices typically raises
concerns in equity markets due to inflationary pressures it may trigger.
At the start of intra-day trading, August gold opened at Rs.73015,
fell from a high of Rs.73110 points to a low of Rs.73015 with a decline of 59 points,
a trend of around Rs.73110 and July Silver opened at Rs.91852, fell from a high
of Rs.92041 points to a low of Rs.91460 with a decline of 288 points, a trend
of around Rs.91740.
Meanwhile,
that defensive bets on largecaps like IT and
pharma gained momentum due to the diminishing US inflationary pressure on the
day when the markets ended flat. The improvement in QoQ earnings outlook and a
resultant sharp fall in the US 10-year bond yield was the trigger.
Technically, the
important key resistances are placed in Nifty future are at 24375 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 24404 – 24505 levels. Immediate support is placed at 24240 –
24180 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
