Dear
Trader…
Tracking a global rally, the broader NSE Nifty Future gained 24
points or 0.09% to end at 25,036, while the BSE benchmark Sensex rose 126
points or 0.15% to settle at 81,867. The BSE Sensex also hit a record high for
the fourth straight session on Thursday.
On Wednesday, the US Federal Reserve maintained its key
interest rate at 5.25–5.5% for the eighth consecutive time, as expected, while
signaling the possibility of a rate cut in its next meeting in September.
From the Nifty stocks, Power Grid Corporation, Coal India,
ONGC, HDFC Bank, and Dr Reddy’s Laboratories were the top gainers, rising 2-4%.
On the other hand, M&M, Tata Steel, Hero MotoCorp, Britannia, and Tata
Motors ended with cuts.
On the sectoral front, Nifty Realty fell 1.7%, and Nifty
Media declined 1.9%. Nifty Auto, IT, metal, PSU bank, and consumer durables
ended in the red. On the broader market, Nifty Smallcap100 fell 1%, and Nifty
Midcap100 ended 0.9% lower.
The market breadth was skewed in favour of the bears. About 1,524
stocks gained, 2,436 declined, and 88 remained unchanged on the BSE.
Global
Market Check –
Major European markets were mostly lower with the
pan-European STOXX 600 down 0.6%, and Germany’s DAX and France’s CAC 40 both
nursing losses of almost 1.3%. Britain’s FTSE 100 was down 0.3% before the
BoE’s interest rate decision.
Nasdaq futures gained 0.1% as shares of Facebook-parent Meta
Platforms surged 7% pre-market on strong earnings.
MSCI’s broadest index of Asia-Pacific shares outside Japan
climbed 0.4%, after ending July mostly flat. A regional MSCI IT index jumped
1.7% and Taiwan’s shares surged 2%.
Crude
Oil – Oil prices rose on Thursday, extending
gains from the previous session, after the killing of a Hamas leader in Iran
raised the threat of a wider Middle East conflict and concern over its impact
on oil.
Global benchmark Brent crude futures rose 68
cents, or 0.84%, to $81.52 a barrel, while U.S. West Texas Intermediate crude
futures gained 62 cents, also 0.8%, to $78.53 a barrel. The most active
contracts on both benchmarks jumped about 4% in the previous session.
Rupee
ends flat – The Indian rupee closed nearly
unchanged on Thursday as likely intervention from the Reserve Bank of India
helped offset pressure from weakness in the yuan and strong dollar demand from
local importers. The rupee closed at 83.7175 against the U.S. dollar, almost
flat compared with its close at 83.72 in the previous session.
Nifty futures opened at 25060 points against the previous
close of 25013 and opened at a low 24985 points. Nifty Future closed with an
average movement of 147 points and a rise of around 24 points and closed 25036 points…!!
Meanwhile,
The benchmarks started positive, taking cues from
the global market following the Fed Chair’s indication that a rate cut might be
considered at the September meeting due to easing inflationary pressures.
However, the broader market closed on a negative bias due to escalating
geopolitical tensions in the Middle East leading to rising crude oil prices.
Sector-wise, capital goods and realty were impacted by
profit-booking coupled with auto sectors owing to below-expected monthly auto
sales figures.
Positive global sentiment driven by expectations of an easing
interest rate cycle by the FED and RBI in the medium term, owing to benign inflation,
ignited the rally today. As expected, the BoJ raised its interest rate while
all eyes are on US FED policy. The weakening dollar is showing signs for a rate
cut in September.
At the start of intra-day trading, August gold opened at Rs.69624
fell from a high of Rs.69624 points to a low of Rs.69282 with a rise of 270
points, a trend of around Rs.69282 and July Silver opened at Rs.83769, fell
from a high of Rs.84249 points to a low of Rs.83516 with a rise of 632 points,
a trend of around Rs.84211.
Technically, the
important key resistances are placed in Nifty future are at 25036 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 25188 – 25202 levels. Immediate support is placed at 24979 –
24808 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
