Dear
Trader…
Meanwhile, the market capitalisation of all listed companies
on the BSE surged by Rs 2.31 lakh crore to Rs 462.27 lakh crore.
HDFC Bank, Reliance, ICICI Bank, NTPC, HCL Tech, Infosys, and
TCS were the top contributors to the Sensex’s gains. On the other hand, Adani
Ports, Maruti, Kotak Bank, and Nestle India closed in the red.
IT companies, which earn a chunk of their revenue from the
United States, rose 1.4%. HCL Tech rose 4.2% and was the top Nifty 50 gainer,
while Tech Mahindra and Persistent System added about over 2% each.
Metals jumped 2.16% and the index was the top
sectoral gainer, helped by hopes of Fed rate cuts and a softer US dollar.
Leading index gainers included National Aluminium, SAIL, and Hindalco.
The more domestically focussed small and midcaps added about
0.3% and 0.6%, respectively.
Drug maker Zydus Lifesciences declined by 6% after Teva
Pharma received approval from the U.S. drug regulator for a competing generic
drug.
Global
Market Check –
World stock markets turned cautious on Monday as optimism
that US interest rates are coming soon was tempered by concern over increased
tensions in the Middle East, with oil prices rising over 1.5%.
US stock futures were a touch firmer,European shares were a
tad weaker, and trading was subdued with the London market closed for a UK
public holiday. Japan’s blue-chip Nikkei stock index closed down almost 0.7% as
the yen firmed.
Crude
Oil Rises Over 2% – Oil prices rose 2% on Monday
on renewed concerns that an escalating Gaza conflict could disrupt regional oil
supplies, extending gains from Friday when the prospect of US interest rate
cuts lifted the global economic and fuel demand outlook. Brent crude futures
climbed $1.57, or 2%, to $79.72 a barrel, while US crude futures were at $76.52
a barrel, up $1.69, or 2.26%.
Rupee
Ends Flat – The Indian rupee closed nearly flat
on Monday, as dollar demand from importers and foreign banks offset early gains
driven by a rise in most Asian currencies. The rupee closed at 83.90 against
the US dollar, nearly unchanged from its close at 83.89 in the previous
session. The currency hit a peak of 83.81 in early trading.
Nifty futures opened at 24901 points against the previous
close of 24854 and opened at a low 24885 points. Nifty Future closed with an
average movement of 200 points and a rise of around 191 points and closed 25045
points…!!
Meanwhile,
US FED has signalled a rate cut in September,
which is reflected in the decline in US treasury yields and dollar index, which
has led to a rally in global markets despite there being no indication of the
size of cuts. Indian markets hit a new high led by a change in FIIs’ stance to
positive from negative along with continued strong DII inflows.
Although the overall trend was positive, large caps
outperform on account of healthy earnings and relatively fair valuation
compared to broader markets. IT, Realty, FMCG and Consumption gained on account
of improved outlook.
At the start of intra-day trading, October gold opened at Rs.71852
fell from a high of Rs.72239 points to a low of Rs.71755 with a rise of 423
points, a trend of around Rs.72200 and September Silver opened at Rs.84924,
fell from a high of Rs.86170 points to a low of Rs.84852 with a rise of 804
points, a trend of around Rs.86015.
Technically, the
important key resistances are placed in Nifty future are at 25045 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 25108 – 25202 levels. Immediate support is placed at 24880 –
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
