Giving thumbs up to Iran’s historic nuclear deal that sent global crude oil prices falling, Indian equity markets
rallied close to two percent, on growing hopes of narrower Current Account Deficit (CAD) given the country
imports crude for most of its needs.
In the first trading session of F&O expiry week, there appeared not even iota of profit-booking and benchmark
equity indices traded from strength to strength, witnessing sudden spurt in the last hour of trade to conclude near
day’s highest point, above the crucial 20,600 (Sensex) and 6,100 (Nifty) respectively.
Besides, Iran’s nuclear deal, Rupee’s appreciation also worked in the favour of Dalal Street. Meanwhile, Reserve
Bank of India’s conditional extension of deadline for bank’s special forex window till December 31, bolstered
sentiment not only for the currency, but also banking stocks.
Providing some breathing space to the banks that are currently negotiating with global lenders for overseas loans,
RBI allowed banks to utilize the special window till December 31, provided if they have a firm commitment from
international lenders before November 30.
Rupee’s appreciation worked well for Dalal Street, it spelled doom for Information Technology shares which derive
lion share of their revenue from exports. Barring that, all the sectoral indices on BSE ended in green, with top
gainers being Capital Goods, Banking and Realty pivotal. Meanwhile, in other sector specific activities, PSU OMC’s
stocks, BPCL, HPCL and IOC rallied after crude headed for their biggest fall in three weeks.
Additionally, sugar stocks too sprang up amidst hopes of a breakthrough with the UP government in a meeting on
Tuesday. As per reports, mill owners hope to get the government to commit on a direct subsidy payment to
farmers and adoption of the Rangarajan committee recommendations.
However, telecom stocks, viz, Bharti Airtel and Idea Cellular, rang-off after high-power ministerial panel approved
higher reserve or base price for the auction of spectrum in the 1800 MHz and 900 MHz bands, as recommended
by Telecom Commission.
Major Gainers on Nifty: ICICI BANK, BHEL, BPCL, KOTAK MAHINDRA BANK, ULTRATECH CEMENT
Major Losers on Nifty: INFOSYS, NTPC, HINDALCO, LUPIN
Global Markets Updates:
European shares were upbeat after a historic deal over Iran's nuclear program bolstered risk appetite.
Both DOW and NASDAQ futures were trading positive at this evening with both indices were in Green.
Prediction
RSI was at 51, MACD positive below signal line; India VIX was at 21~ which all Indicate that market see some
more volatile session ahead of November FNO expiry.
Today, Nifty closed above 5DMA (6087), 50DMA (6050) but below 20DMA (6153), 200DMA (5864) which all
indicate that market will be volatile ahead of FNO expiry.
Markets closed in Positive terrain with major sectors closing in GREEN. But, BSE CGS was the BEST
performing Sector today.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.