Nifty 8972/Sensex 28929/ Bank Nifty 20721
27 Advances / 24 Declines/ 0 Unchanged
Indian benchmarks end a lacklustre session with modest cut; Nifty settles above 8900 mark
Indian benchmarks ended the range bound day of trade on a flat note with positive bias as investors remained cautious ahead of exit polls data for assembly elections in 5 states which will be released later in the day. Actual results will be announced on Saturday, and will help to shape the next two years of Modi’s government as it heads for the 2019 general election. Sentiments got some support after Prime Minister Narendra Modi express the hope of reaching a breakthrough on the goods and services tax (GST) bill in the Budget session of Parliament that resumed after a month-long break on Thursday. The government is looking to roll out the new tax regime from July 1. Further, some support also came with the report that Finance Minister Arun Jaitley will chair a high-level meeting with Reserve Bank officials on Friday to address the issue of non-performing assets in the banking sector. The meeting, which will also be attended by Financial Services Secretary Anjuly Chib Duggal, will discuss ways of resolution of stressed assets urgently. However, gains remained capped with the ICRA’s report that India's current account deficit is expected to see a 50 per cent rise to $30 billion in 2017-18 from $20 billion in the current financial year on higher oil and gold imports. Since 2013-14, a combination of lower crude oil and gold imports has helped curtail India's current account deficit, absorbing the impact of declining merchandise exports, services trade surplus or remittances in some of these years.
On the global front, Asian equity markets ended mostly in red on Thursday as investors turned nerves after a strong private payroll report from the United States made a rate hike by the Federal Reserve a near certainty. U.S. private sector job growth recorded its biggest increase in more than a year in February amid a surge in construction and factory hiring, suggesting the economy stays on solid ground. Besides, lower commodity prices and mixed inflation data out of China also dampened investor sentiment. While copper hovered near a one-month low on selling triggered by a firmer dollar, oil prices recovered some lost ground in the early deals after plunging more than 5% overnight to their lowest levels this year, on data showing production cuts from OPEC and other exporters have not been enough to reduce US supplies. Meanwhile, European markets were trading in red as investors await cues from the ECB policy meeting due later in the day.
Back home, after getting weak start, the local benchmarks traded below neutral line for most part of the session, though some lower buying in final hour of trade helped the indices to end session in positive territory.
FII Activity (09th March 2017)
The FIIs as per Thursday’s data were net sellers in equity segment, while there were no buying and selling witnessed in debt segment, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 0.25 crore against gross selling of Rs 0.32 crore. Thus, FIIs stood as net sellers of Rs 0.07 crore in equities.
Now what to expect next??
Nifty Future Levels
Support at 8870 and Resistance at 8980—9050
Trading in range, either side breakout with volume will decide further.
Wait for confirmation
Bank Nifty Future Levels
Support at 20500 and resistance at 21025
Too trading in range, either side breakout with volumes will decide further traders can trade in range with strict stop loss.
Trade in a range with levels only.
More will update soon!!
