9530 IS THE IMMEDIATE HURDLE; 9360 IMMEDIATE SUPPORT

9530 IS THE IMMEDIATE HURDLE; 9360 IMMEDIATE SUPPORT

WORLD MARKETS                             

US indices gained 0.5%-0.7% on Friday on hopes that concerns around Donald Trump's presidency may have been exaggerated.

U.S. Treasuries fell, with the benchmark 10-year note yield advancing to 2.233% and the two-year note yield near 1.27%. The U.S. dollar index fell about 0.7% to 97.12.

European markets gained 0.4%-1.4%. The Greek parliament passed new austerity measures on Friday aimed at unlocking debt relief from Athens' creditors.

For the week, US indices fell 0.5%-0.6%. In Europe, FTSE gained 1.1% but DAX and CAC fell 0.6% and 1.1% respectively. In Asian, Shanghai and Hang Seng gained 1% and 0.2% respectively but Nikkei plunged 1.9%.

U.S. President Donald Trump's first foreign trip began in Saudi Arabia during the weekend and an arms deal worth $350 billion was inked on Saturday between the two countries.

North Korea test-fired an intermediate-range ballistic missile yesterday.

AT HOME

After gaining about eight tenth of a percent in first hour or so, benchmark indices gave away all the gains later to end little changed. Sensex settled at 30465, up 30 points while Nifty lost 2 points to finish at 9428. BSE mid-cap and small-cap indices tumbled 0.7% and 0.9% respectively. BSE FMCG index soared 1.9%, becoming top gainer among the sectoral indices, followed by 0.4% rise in Bankex. Consumer Durable and Consumer Discretionary Goods & Services indices were the top losers, down 1% and 0.9% respectively.

FIIs net sold stocks worth Rs 989 cr but net bought index futures and stock futures worth Rs 333 cr and 671 cr respectively. DIIs were net buyers to the tune of Rs 349 cr.

Rupee appreciated 21 paise to end at 64.64/$.

For the week, Sensex and Nifty gained 0.9% and 0.3% respectively, extending the winning streak to second consecutive week.

SBI reported 122% y-o-y rise in net profit for March quarter at Rs 2814 cr. NII surged 17.3% to Rs 18071 cr. Asset quality improved with Gross NPA ratio falling to 6.9% from 7.23% q-o-q and Net NPA ratio falling to 3.7% from 4.2%.

OUTLOOK

Japan trade data showed April exports rose 7.5% on year, below expectations of 7.8%. Imports, however, rose 15.1%, above the forecast of 14.8%.

Today morning, except a modestly lower Shanghai, other Asian markets are trading with modest gains and SGX Nifty is suggesting about 20 points higher start for our market.

On Friday, we had said that having breached immediate support of 9430, next support for Nifty would come at 20-DMA, which was placed around 9350.

The benchmark, after touching a low of 9390, reversed to end at 9428 and is set to open higher today.

9530, the top made last week, continues to be immediate hurdle,a crossover of which is required for a fresh upmove. If that happens, 9675 would be the next target to eye.

20-DMA has now moved up to 9360 and would be the immediate support to eye. If that is taken out, 34-DMA, placed around 9300, would be the next important support to eye.

GAIL will report its quarterly earnings today.