Nifty 10,066 /Sensex 32,325/ Bank Nifty 24827
37 Advances / 14 Declines/ 0 Unchanged
Late hour buying helps benchmarks to end higher; Nifty reclaims 10,050 mark
Bulls which woke up in last leg of trade mainly helped the benchmarks to end near intraday high levels on Friday, as investors took to hefty across the board buying. Markets started the day on pessimistic note and extended their downside, as the Street remained disappointed with Reserve Bank of India’s 25 bps rate cut. Traders also remained concerned with Finance Minister Arun Jaitley’s statement that lending rate of 14-15 percent will make India uncompetitive in the global market and industry cannot invest at such higher interest rates. He said at a time when inflation was running high at 10 percent bank deposit rates were high at 9 percent. But loans were extended by banks at 14-15 percent interest rate and with such high interest rates global industrial investments will not come in.
However, 32,100 (Sensex) and 10,000 (Sensex) proved to be the strong support levels, as markets started recovering from thereon and entered into green terrain in last leg of trade. Traders took some solace with the private report expecting a pick-up in the note ban affected rural demand from October this year. The report further said that the second consecutive bumper crop on good monsoons, farm loan waivers, and lower agriculture input costs will help revive the rural demand. Meanwhile, the government may impose anti- dumping duty on castings for wind operated power generators from China to guard domestic players from below-cost imports.
Firm trading in European counters in early deals too aided sentiments as investors monitored earnings reports and reacted to further political uncertainty at the White House. Asian markets exhibited mixed trend, as investors eyed a flurry of data in coming week. Japan's economy was expected to grow for a sixth straight quarter in April-June, a poll found, buoyed by domestic demand as consumer spending recovered and firms increased their capital investment.
Back home, appreciation in Indian rupee too aided sentiments. The rupee appreciated by 5 paise to 63.63 against the US dollar at the time of equity markets closing on continued foreign capital inflows. Buying in banking counter too supported sentiments, as the Lok Sabha passed the Banking Regulation (Amendment) Bill, 2017, after Finance Minister Arun Jaitley declared that criminal and recovery proceedings will be started against defaulters of bank loans who divert money and asserted that no one can claim equality in not repaying loans to the banks.
FII’s Activity 4-Aug-17
The FIIs as per Friday’s data were net buyers in equity and debt segments both, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 5565.19 crore against gross selling of Rs 5509.68 crore. Thus, FIIs stood as net buyers of Rs 55.51 crore in equities.
In the debt segment, the gross purchase was of Rs 3356.97 crore with gross sales of Rs 923.88 crore. Thus, FIIs stood as net buyers of Rs 2433.09 crore in debt.
Nifty Levels
Support at 10020---9950 and resistance at 10150
Close above 10150 with volume will see rally till 10220---10280 and then to 10400+++ mark else it could test its support level of 10020---9950 again.
Trade with levels only
Bank Nifty Levels
Support at 24700---24400 and resistance at 25300
Above 25000 will see rally till 25200---25300 mark else it could test its support level of 24700---24400 again.
Trade with levels only
Top Pick 7th August
FEDERAL BANK
Above 115 will see upside rally till 117--120++ mark in days to come.
Looks bearish only if close below 113. Any sharp downside fall will be buying opportunity in it.
Corporate Action
Godrej Consumer Products Limited - Interim Dividend - Rs 1.0 per Share (Purpose Revised)
NCC Limited-Dividend- Rs 0.40 per Share
Indo Count Industries Limited - Annual General Meeting/Dividend- Rs 0.40 per Share
Results Today
Amara Raja Batteries Limited
Tata Steel Limited
Britannia Industries Limited
More Will Update Soon!!
