Dear
Trader…
The benchmark BSE Sensex gained 498 points or 0.64% to close
at 78,540, while the broader Nifty Future index closed at 23,769, higher by 144
points or 0.61%.
Sectoral
Watch – The metal index ended 0.9%
higher after India’s Directorate General of Trade Remedies launched a safeguard
investigation into imports of non-alloy and alloy steel flat products. JSW
Steel gained 2.4%, while Tata Steel closed nearly 1% higher.
Financial stocks provided the strongest boost to the
benchmarks, as Nifty Financial Services ended 0.8% higher, while both Nifty
Bank and Nifty PSU advanced by 1.1%.
Nifty 50 heavyweights HDFC Bank and Reliance Industries (RIL)
led the gains on the benchmark, closing up 1.7% and 1.5%, respectively. Meanwhile,
the Nifty FMCG index climbed 1%, offering a vital lift to the benchmark, as ITC
shares rose 2.1% and Dabur shares gained 1.6%.
Nifty 50 heavyweights HDFC Bank and Reliance Industries (RIL)
fell 1% and 2%, respectively, and were the biggest drags on the benchmark.
Financial stocks were the biggest drags on the benchmarks,
with the Nifty financial services closing 1.3% lower while Nifty Bank and Nifty
PSU posted 1.6% and 2.7% declines for the day, respectively.
U.S. rate-sensitive domestic IT firms ended 2.6% lower,
dragged by declines in LTIMindtree, Mphasis, LTTS, and Infosys. The sector gave
up early gains despite a boost in sentiment after IT giant Accenture surpassed
Wall Street expectations for Q1 revenue and profit while raising its annual
forecast.
Global
markets – Global shares traded higher on Monday after a US
inflation reading offered some hope for further policy easing next year, along
with relief that Washington had averted a government shutdown after US
lawmakers passed a Budget deal in the early hours of Saturday.
Germany’s DAX fell 0.3%, the CAC 40 in Paris slid 0.3%, while
Britain’s FTSE shed 0.2%. The STOXX 600 was 0.15% lower.In Asian
trading, Tokyo’s Nikkei 225 index jumped 1.2%, Hong Kong’s Hang Seng gained
0.8%, while the Shanghai Composite index slipped 0.5%. South Korea’s Kospi
added 1.6% and Taiwan’s Taiex jumped 2.6%, with TSMC, the world’s biggest
computer chip maker, gaining 4.4%.
Crude
Impact – Oil prices edged higher along with
other risk assets on Monday, as lower-than-expected US inflation data revived
hopes for further policy easing, although the outlook for a supply surplus next
year weighed on the market. Brent crude futures rose 37 cents, or 0.5%,
to $73.31 a barrel by 0729 GMT.
FII/DII
– Foreign institutional investors
(FIIs) offloaded equities worth Rs 3,597.82 crore on December 20, while
domestic institutional investors bought equities worth Rs 1,374.37 crore on the
same day.
Nifty futures opened at 23725 points against the previous
close of 23625 and opened at a low 23664 points. Nifty Future closed with an
average movement of 237 points and Decline of around 144 points and closed 23769
points…!!
Meanwhile,
the lower-than-expected US personal consumption
expenditures (PCE) print bolstered investor sentiment in interest
rate-sensitive sectors.
Despite the positive market sentiment, the short-term outlook
is expected to remain sideways due to a lack of new catalysts and the impact of
the festive season and holidays.
Technically, the
important key resistances are placed in Nifty future are at 23769 levels, which
could offer for the market on the higher side. stainability above this zone
would signal opens the door for a directional up move with immediate
resistances seen at 23808 – 24008 levels. Immediate support is placed at 23606 –
23474 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
