Monday, June 18, 2018

10755-10893 IS THE IMMEDIATE RANGE


10755-10893 IS THE IMMEDIATE RANGE

WORLD MARKETS

US indices fell 0.1%-0.3% after the Trump administration said it will impose a 25% tariff on up to $50 billion in Chinese goods.

Trump also said the U.S. would impose more tariffs on Chinese goods if China retaliates with duties of its own on American products. China promptly responded saying it will implement tariffs on the same scale as the U.S.

Treasury yield fell, with the benchmark 10-year note yield at 2.93%. The short-term two-year note yield also slipped to 2.55%.

Oil tumbled with WTI down $1.83 or 2.7% to $65.06 and Brent off $2.46 or 3.2% to $73.48 a barrel after Russian Energy Minister said his country and Saudi Arabia supported a gradual increase in production after restricting output for 18 months.

European markets fell 0.5%-1.7% with FTSE leading the losses.

AT HOME

After falling about half a percent, benchmark indices recouped all the losses and some more in late noon rebound to end marginally higher. Sensex settled at 35622, up 22 points while Nifty added 10 points to finish at 10817. BSE mid-cap and small-cap indices however ended lower by 0.4% and 0.5% respectively. BSE IT index soared 2.2%, becoming top gainer among the sectoral indices, followed by 1.9% higher Healthcare index. Metal and Realty indices were the top losers, down 1.5% and 1.2% respectively.

FIIs net sold stocks worth Rs 1525 cr but net bought index futures and stock futures worth Rs 604 cr and 385 cr respectively. DIIs were net buyers to the tune of Rs 561 cr.

Rupee depreciated 39 paise to end at 68.01/$.

For the week, Sensex and Nifty gained half a percent, extending the winning streak to fourth straight week.

India's trade deficit in May widened to $14.6 bn from $13.72 bn in April. Imports rose 14.9% y-o-y to $43.5 bn and exports rose 20.2% to $28.9 bn.

OUTLOOK

Markets in China, Hong Kong, Taiwan and Indonesia are closed today for holidays. Nikkei is down 0.6%. SGX Nifty is suggesting about 40 points lower start for our market.

Last week, after achieving the 10870 target on Wednesday, Nifty eased to touch a low of 10755 on Friday from where it rebounded to end the week at 10817.

10755, the bottom made last week, is the immediate support below which 34-DMA, placed around 10700 would be the next support to eye. 10893, the top made last week, is the immediate hurdle above which 10930, the top made in May, would be the next hurdle to eye.

Friday, June 15, 2018

NIFTY REBOUNDS AFTER TESTING 10775 SUPPORT


NIFTY REBOUNDS AFTER TESTING 10775 SUPPORT

WORLD MARKETS

Dow fell 0.1% while S & P 500 and Nasdaq rose 0.2% and 0.8% respectively with Nasdaq hitting a record high as dealmaking activity lifted technology and media shares.

Bank stocks fell after the ECB said it would hold off on raising rates until next year, sending treasury yields lower. The benchmark 10-year yield fell to 2.94%.

US retail sales rose 0.8% in May, well above estimate of 0.4% and marking the biggest gain since November. Weekly jobless claims fell to a near 44½-year-low last week

US crude rose 25 cents to settle at $66.89 while Brent fell 80 cents to $75.94 a barrel.

The ECB said its current 30 billion euros in monthly purchases would be halved to 15 billion euros in the last three months of the year. In addition, the central bank indicated that a rate hike would be unlikely before the summer of 2019. The euro tanked after the ECB announcement to trade near $1.15 from levels above $1.18 seen before the central bank's announcement.

European markets climbed 0.8%-1.4%.

AT HOME

Benchmark indices fell about four tenth of a percent, breaking 3-day winning streak. Sensex lost 139 points to settle at 35600 while Nifty finished at 10808, down 48 points. BSE mid-cap index fell 0.1% while small-cap index rose 0.1%. BSE IT and Consumer Durable indices fell 1.4% and 0.9% respectively, becoming top losers among the sectoral indices while Healthcare index soared 1.5%, becoming top gainer, followed by marginally higher Auto, Energy and Consumer Discretionary Goods & Services indices.

FIIs net sold stocks, index futures and stock futures worth Rs 1373 cr, 1304 cr and 675 cr respectively. DIIs were net buyes to the tune of Rs 576 cr.

Rupee appreciated 2 paise to end at 67.62/$.

India's wholesale inflation grew 4.43% in May, up from 3.18% in April and hitting a 14-month high, driven by some food items and fuel prices.

OUTLOOK

Today morning, Nikkei is up 0.3% while Shanghai and Hang Seng are flat. SGX Nifty is suggesting about 20 points lower start for our market.

In yesterday's report we had said that 10930, the top made in May, is an important resistance to eye and had advised keeping a stop-loss of 10775 in long positions.

Nifty, after touching a low of 10773, recovered to end at 10808 and is set to open below 10800 today. 10773, the low made yesterday, continues to be immediate support below which 34-DMA, placed around 10700, would be the next important support to eye.

Thursday, June 14, 2018

NIFTY RETREATS AFTER ACHIEVING 10870 TARGET; TRAIL STOP-LOSS TO 10775


NIFTY RETREATS AFTER ACHIEVING 10870 TARGET; TRAIL STOP-LOSS TO 10775

WORLD MARKETS

US indices fell 0.1%-0.5% after digesting Fed decision and comments.

The Federal Reserve hiked interest rates 25 basis points as widely expected, but suggested two more increases are likely this year. The Fed changed several phrases from its prior memos, citing more optimistic economic growth and higher inflation expectations. According to the Fed's dot plot, which tracks participant expectations for interest rates, members now expect four hikes this year, up from the three previously expected.

U.S. Treasury yields rose with the yield on the benchmark 10-year note crossing the 3%, before retreating back to 2.977%. The two-year Treasury note yield hit its highest level since 2008. The dollar index initially rose above 94 before backing off to 93.57.

WTI crude rose 28 cents to $66.64 after U.S. commercial crude inventories fell by 4.1 million barrels in the week to June 8.

In Europe, FTSE and CAC were flat while DAX and Italy gained 0.4% each.

AT HOME

After gaining about half a percent, benchmark indicess slipped in late noon trade to end higher by just 0.1%. Sensex settled at 35739, up 46 points while Nifty added 14 points to finish at 10856. BSE mid-cap and small-cap indices fell 0.5% and 0.2% respectively. BSE IT and Teck indices climbed 1.3% and 0.9% respectively, becoming top gainers among the sectoral indices while Telecom index was the top loser, down 1.3%, followed by 0.7% lower Capital Goods index.

FIIs net sold stocks and index futures worth Rs 71 cr and 297 cr respectively but net bought stock futures worth Rs 88 cr. DIIs were net buyers to the tune of Rs 487 cr.

Rupee depreciated 16 paise to end at 67.64/$.

The Union Cabinet yesterday approved foreign direct investment (FDI) worth Rs 24,000 crore for HDFC Bank.

OUTLOOK

Today morning, Asian markets are trading with cuts of 0.2%-0.4% and SGX Nifty is suggesting about 30 points lower start for our market.

At the risk of repeating, we had been working with target of 10870, where a trendline adjoining tops made in January and May is placed, after 10770 hurdle was taken out.

Nifty yesterday touched a high of 10893 before closing at 10856, achieving this target and vindicating our view.

After a good run up since late May, Nifty is now close to 10930 mark, which was the top made in May and is also the immediate previous top on the weekly chart and hence an important resistance to eye. Upon crossover of 10930, 11171, the top made in January, would be the next target to eye.

10775 is the immediate support on the hourly chart, with the stop-loss of which, trading longs should be held on to.

Wednesday, June 13, 2018

NIFTY NEARS 10870 TARGET; TRAIL STOP-LOSS TO 10770


NIFTY NEARS 10870 TARGET; TRAIL STOP-LOSS TO 10770

WORLD MARKETS

Dow ended flat while S & P 500 and Nasdaq gained 0.2% and 0.6% respectively after digesting Trump-Kim agreement and awaiting Fed decision.

Trump and North Korea leader Kim Jong Un signed an agreement that pledged to create a lasting "peace regime" on the Korean Peninsula, although the statement was criticized for lacking in detail.

US consumer prices rose 2.8% y-o-y in May, the biggest advance since February 2012, after rising 2.5% in April. Cor CPI was up 2.2%.

U.S. Treasury yields rose following the report, with the benchmark 10-year note rate at 2.966%.

In Europe, DAX was flat while FTSE and CAC fell 0.4% each.

AT HOME

Benchmark indices gained about half a percent to close at the highest level since 1st February, marking the highest close in nearly four and a half months. Sensex added 209 points to settle at 35692 while Nifty finished at 10842, up 55 points. BSE mid-cap and small-cap indices gained 0.9% and 0.5% respectively. BSE Healthcare and Capital Goods indices climbed 1.9% and 1.2% respectively, becoming top gainers among the sectoral indices while Metal index was the top loser, down 0.6%, followed by 0.3% lower Telecom and Basic Material indices.

FIIs net sold stocks and index futures worth Rs 1169 cr and 494 cr respectively but net bought stock futures worth Rs 445 cr. DIIs were net buyers to the tune of Rs 1327 cr.

Rupee depreciated 6 paise to end at 67.48/$.

India’s industrial production grew 4.9% in April, as compared with 4.4% jump in March. Retail inflation hit a four-month high of 4.87% in May from April’s 4.58% driven by costlier food and fuel. Core inflation — comprising non-food and non-fuel components — was at a 45-month high, at 6.17%.

OUTLOOK

Today morning, Nikkei is up 0.3% but Hang Seng and Shanghai are down nearly half a percent. SGX Nifty is suggesting about 15 points lower start for our market.

At the risk of repeating, we have been working with target of 10870, where a trendline adjoining tops made in January and May is placed, after 10770 hurdle was taken out.

Nifty yesterday touched a high of 10856 before closing at 10842, nearly achieving this target and vindicating our view.

10870 continues to be immediate hurdle, a crossover of which is required for a fresh upmove. 10930, the top made in May, would be the next target if that happens.

Meanwhile, immediate support on the hourly chart has moved up to 10770, with the stop-loss of which, trading longs should be held on to.

The Federal Reserve ends its two-day meeting today and is widely expected to announce a rate hike. Markets will also be looking for clues on the central bank's rate hike trajectory this year.

Tuesday, June 12, 2018

NIFTY RETREATS FROM THE VICINITY OF 10870 HURDLE; 10710 IS THE IMMEDIATE SUPPORT


NIFTY RETREATS FROM THE VICINITY OF 10870 HURDLE; 10710 IS THE IMMEDIATE SUPPORT

WORLD MARKETS

Dow ended flat while S & P 500 and Nasdaq gained 0.1% and 0.2% respectively, shrugging off concerns over a tumultuous G-7 meeting over the weekend at which Trump lashed out at U.S. allies and looking forward to other events during the week.

U.S. Treasurys slipped across the board, with the yield on the benchmark 10-year note rising to 2.95%.

The highly anticipated meeting between Trump and North Korea leader Kim Jong Un takes place today in Singapore. The two are expected to discuss future relations and denuclearization, alongside other subjects.

The Fed begins its two-day policy meeting on today, with markets expecting a quarter-point interest rate hike announcement tomorrow.

Main European markets gained 0.4%-0.7% while Italy soared 3.4% after Italian Finance Minister, speaking to a local newspaper over the weekend, reaffirmed his government's commitment to the euro.

AT HOME

After gaining about three tenth of a percent, benchmark indices slipped in the late noon trade to end just marginally higher. Sensex settled 40 points higher at 35483 while Nifty finished at 10786, up 19 points. BSE mid-cap index fell 0.1% while the small-cap index rose 0.5%.vBSE Telecom and Consumer Durable indices climbed 1.6% and 1% respectively, becoming top gainer among the sectoral indices while Realty and Metal indices were the top losers, down 0.7% and 0.4% respectively.

FIIs net sold stocks worth Rs 1157 cr but net bought index futures and stock futures worth Rs 472 cr and 86 cr respectively. DIIs were net buyers to the tune of Rs 1063 cr.

Rupee appreciated 8 paise to end at 67.42/$.

OUTLOOK

Today morning, Nikkei is up about 0.7% while Hang Seng and Shanghai are marginally in the green. SGX Nifty is suggesting a flattish start for our market.

Readers would recall that we had given target of 10870, where a trendline adjoining tops made in January and May is placed, after 10770 resistances was taken out.

The benchmark yesterday touched a high of 10850, coming in very close to 10870 target, from where it slipped to end at 10786.

10870 continues to be immediate hurdle, a crossover of which is required for a fresh upmove. If that happens, 10930, the top made in May, would be the next target to eye.

10710 is the immediate support on the hourly chart, with the stop-loss of which, trading longs should be held on to.

April IIP will be released today and is expected to show a print of 5.4%, up from previous reading of 4.4%. May CPI too will be out today and is likely to be at 5%, hardening from previous reading of 4.58%.

Monday, June 11, 2018

10875 CONTINUES TO BE IMMEDIATE TARGET; 10675 CONTINUES TO BE IMMEDIATE SUPPORT


10875 CONTINUES TO BE IMMEDIATE TARGET; 10675 CONTINUES TO BE IMMEDIATE SUPPORT

WORLD MARKETS

US indices gained 0.1%-0.3% amid trade tensions as the G-7 summit kicked off.

In a fresh tweet, Trump accused France and Canada of levying "massive tariffs" and establishing "non-monetary barriers." This came after French President Emmanuel Macron said that While Trump may not mind being isolated, "we don't mind being six, if needs be,”.

In Europe, CAC was flat while FTSE and DAX fell 0.3% each. Italy tumbled 1.9%

For the week, US indices gained 1.2%-2.8%. In Europe, FTSE and CAC fell 0.3% each while DAX was up 0.3%. In Asia, Nikkei and Hang Seng soared 2.4% and 1.5% respectively while Shanghai was down 0.3%.

U.S. President Donald Trump on the weekend withdrew his support for a G-7 declaration and criticized Canadian Prime Minister Justin Trudeau for being "dishonest and weak."

AT HOME

After falling about half a percent in the first half, benchmark indices recouped most of the losses later to end just marginally lower. Sensex settled at 35443, down 19 points while Nifty finished 1 point lower at 10767. BSE mid-cap and small-cap indices gained 0.4% and 0.6% respectively. BSE Healthcare index soared 3.6%, becoming top gainer among the sectoral indices, followed by 0.8% lower IT and Energy indices each. Power and Metal indices were the top losers, down 0.7% and 0.4% respectively.

FIIs net sold stocks and index futures worth Rs 222 cr and 853 cr respectively but net bought stock futures worth Rs 127 cr. DIIs were net buyers to the tune of Rs 459 cr.

Rupee depreciated 38 paise to end at 67.50/$.

For the week, Sensex and Nifty gained 0.6% and 0.7% respectively, extending the winning streak to third straight week.

Sun Pharma soared after the US Food and Drug Administration (USFDA) updated the status of the company’s Halol facility to VAI (voluntary action initiated) which would imply that there would be no re-inspection required at its Halol unit.

The National Stock Exchange (NSE) on Saturday decided to introduce additional surveillance measures for 60 companies that are undergoing insolvency resolution process (IRP) as per the Insolvency and Bankruptcy Code (IBC).

OUTLOOK

Today morning, Nikkei is up 0.3%, Hang Seng is flat and Shanghai is down 0.5%. SGX Nifty is suggesting about 25 points higher start for our market.

After Nifty crossed 10770 hurdle, we have been working with target of around 10875, where a tendline adjoining tops made in January and May is placed. Nifty, after touching a high of 10818 on Thursday, slipped to end at 10768 and ended flat on Friday.

10875 continues to be upside target as well as hurdle to eye. 10675 continues to be immediate support, with the stop-loss of which, trading longs should be held on to.

Friday, June 8, 2018

STAY LONG WITH THE STOP-LOSS OF 10675


STAY LONG WITH THE STOP-LOSS OF 10675

WORLD MARKETS

Dow rose 0.4% while S & P 500 and Nasdaq fell 0.1% and 0.7% respectively with the Nasdaq snapping a four-day winning streak. Dow was boosted by gains in McDonald's, which rose more than 4%.

Oil rose on worries about a drop in Venezuelan exports with WTI up 1.9% to $65.95 and Brent up 2.7% to $77.36.

Commerce Secretary Wilbur Ross said that the U.S. struck a deal with China's ZTE to end American sanctions against the company.

The 10-year U.S. Treasury note yield declined to 2.92% from around 2.97% seen on the day before.

Emerging markets, led by Brazil, sold-off. Brazillian real plunged against the dollar and the iShares MSCI Brazil ETF (EWZ) nosedived 5.1% on capital flows concerns.

European markets, except a 0.4% higher Spain, ended with modest cuts. German industrial orders dropped 2.5% in the month of April after falling 1.1% in the previous month, marking fourth consecutive negative reading. Eurozone grew 0.4% in the first quarter of the year — the lowest level since the third quarter of 2016.

AT HOME

Benchmark indices gained eight tenth of a percent, extending the winning streak to second straight day and closing at the highest level since 15th May. Sensex added 284 points to settle at 35463 while Nifty finished at 10768, up 83 points. BSE mid-cap and small-cap indices climbed 1.4% and 2% respectively. Except 0.2% lower Consumer Durable index, all the BSE sectoral indices ended in green with Realty index leading the tally, up 2.8%, followed by 1.6% higher Basic Material index.

FIIS net sold stocks worth Rs 525 cr but net bought index futures and stock futures worth Rs 101 cr and 694 cr respectively. DIIs were net buyers to the tune of Rs 1198 cr.

Rupee depreciated 20 paise to end at 67.12/$.

OUTLOOK

Today morning, Nikkei is marginally in the green while Hang Seng and Shanghai are down about 0.3% each. SGX Nifty is suggesting about 10726 about 46 points lower start for our market.

In yesterday's report we had said that 10770, the top made last week, was the immediate upside target as well as resistance above which, 10875, where a trendline adjoining tops made in January and May is placed, would be the next hurdle to eye.

Nifty crossed 10770 hurdle and surged all the way to 10818, but closed off-the day high at 10765. 10875 continues to be upside target as well as hurdle to eye. Immediate support on the hourly chart is placed around 10675, with the stop-loss of which, trading longs should be held on to.

Thursday, June 7, 2018

10770 IS THE NEXT HURDLE; 10550 SUPPORT


10770 IS THE NEXT HURDLE; 10550 SUPPORT

WORLD MARKETS

US indices gained 0.7%-1.4%.

Financials were be biggest contributors to the gains as the benchmark 10-year Treasury note yield rose to 2.98%, following yields in Europe after the European Central Bank hinted at winding down its asset-purchasing program

ECB's chief economist, Peter Praet said that underlying strength in the euro area economy was making the central bank confident that inflation will move toward target, adding that the institution would next week discuss how it will wind down its 30 billion euro (about $35 billion) monthly-purchase program.

Euro strengthened and European bonds sold off on these comments.

European market, except a marginally lower CAC, gained 0.3%-1%. New Italian Prime Minister Giuseppe Conte presented his coalition's plans to crackdown on immigration and up welfare spending while cutting taxes on Tuesday.

WTI oil fell 1.2% to $64.73 after surprise jump in US crude inventories.

AT HOME

Benchmark indices gained about eight tenth of a percent to break three-day losing streak. Sensex added 275 points to settle at 35178 while Nifty finished at 10684, up 91 points. BSE mid-cap and small-cap indices gained 1.3% and 1.5% respectively. All the BSE sectoral indices ended in green with Telecom and Consumer Durable indices leading the tally, up 3% and 2.3% respectively.

FIIs net sold stocks and index futures worth Rs 81 cr and 491 cr respectively but net bought stock futures worth Rs 314 cr. DIIs were net buyers to the tune of Rs 712 cr.

Rupee appreciated 23 paise to end at 66.91/$.

Monetary policy committee voted unanimously to increase the benchmark repo rate by 25 bps to 6.25%, marking the first rate hike in more than four years.  The MPC however, maintained its stance as ‘neutral'. The committee raised its forecast on consumer inflation for the first half of ongoing fiscal year to 4.8-4.9%, from the 4.4-4.7% forecast earlier. For the second half, the forecast was upped to 4.7% from 4.4%. FY19 GDP growth forecast has been maintained at 7.4%.

Union Cabinet okayed a Rs 8,000 crore bailout package for sugar sector under which a minimum selling price of Rs 29 per kg has been fixed for sugar. The government will also create 30 lakh mt buffer of sugar stock to balance demand and supply mismatch.

OUTLOOK

Today morning, Asian markets are trading with gains of 0.2%-0.9% and SGX Nifty is suggesting about 40 points higher start for our market.

In yesterday's report we had mentioned that 10550 is the immediate support and
10690 is the immediate resistance above which 10770, the top made last week, would be the bigger hurdle to eye.

Yesterday, Nifty, after touching a high of 10698, closed at 10684 and is set to open above 10700 today.

10770, the top made last week, continues to be upside target as well as resistance to eye. Above 10770, 10875, where a trendline adjoining tops made in January and May is placed, would be the next hurdle to eye.

10550 continues to be important immediate support.

Wednesday, June 6, 2018

NIFTY REBOUNDS AFTER ACHIEVING 10558 TARGET; ALL EYES ON MPC


NIFTY REBOUNDS AFTER ACHIEVING 10558 TARGET; ALL EYES ON MPC

WORLD MARKETS

Dow ended marginally in the red while S & P 500 and Nasdaq rose 0.1% and 0.4% respectively amid a continued focus on trade tensions. Nasdaq rose to all-time high as Amazon and Netflix gained.

Media reports suggested that China reportedly agreed to purchase almost $70 billion in U.S. agriculture and energy products from the U.S. if the latter held off on imposing tariffs against Chinese imports.

White House economic advisor Larry Kudlow yesterday said that President Trump was considering separate negotiations with Canada and Mexico as NAFTA negotiations continue.

May ISM non-manufacturing index came in at 58.6, beating the expected print of 57.6.

WTI crude rose 77 cents or 1.2% to $65.52, rebounding from a near two-month low of $64.22 earlier in the session.

European markets, except a 0.1% higher DAX, lost 0.2%-1.2% with Italy being the top loser. The IHS Markit's final composite PMI for Eurozone fell to an 18-month low of 54.1.

AT HOME

Benchmark indices ended lower by three tenth of a percent after a volatile session, extending the losing streak to third consecutive day. Sensex settled 108 points lower at 34903 while Nifty finished at 10593, down 35 points. BSE mid-cap and small-cap indices saw deep cuts of 1.2% and 2.4% respectively.  Except 0.2% and 0.1% higher Energy and Oil & Gas indices respectively, all the BSE sectoral indices ended in red with Telecom and Capital Goods indices leading the tally, down 3.1% and 2% respectively.

FIIs net sold stocks, index futures and stock futures worth Rs 158 cr, 499 cr and 828 cr respectively. DIIs were net buyers to the tune of Rs 474 cr.

Rupee depreciated 3 paise to end at 67.14/$.

India's May Nikkei Services PMI came in at 49.6, down from 51.4 in April.

OUTLOOK

Today morning, Nikkei and Hang Seng are up 0.1% and 0.4% respectively but Shanghai is down 0.2%. SGX Nifty is suggesting a marginally lower start for our market.

After Nifty broke the 10640 support, we had given downside target of 10558, which was the low made last week. Yesterday Nifty touched a low of 10550 before closing at 10593, achieving this target and vindicating our view.

10550 is the immediate support to eye below which 10470, where 34-week moving average is placed, would be the next important support to eye.

10690 is the immediate resistance above which 10770, the top made last week, would be the bigger hurdle to eye.

Key event to watch out would be Monetary Policy Committee's interest rate decision. While most agree that inerest rate hike is coming owing to retail inflation, which is running above RBI's 4% target level, the views are divided over whether the same would happen today or at the next meeting. However, even if it doesn't come today, the MPC is expected to change its stance from "Neutral" to a tightening bias. Markets would watch out for cues to future interest rate hikes.

Tuesday, June 5, 2018

10558 IS THE NEXT SUPPORT; 10765 RESISTANCE


10558 IS THE NEXT SUPPORT; 10765 RESISTANCE

WORLD MARKETS

Dow and Nasdaq gained 0.7% each while S & P 500 rose 0.4%. Nasdaq notched a record close as shares of Apple and Amazon hit new highs.

Retail stocks too contributed to gains. Energy stocks however fell as oil fell with WTI down 1.6% to $64.75 and Brent down 2% at Rs $75.29 a barrel.

European markets, except 0.4% lower Italy, gained 0.1%-1.2%

AT HOME

After gaining about seven tenth of a percent at the open, benchmark indices reversed these gains through the session to end lower by six tenth of a percent. Sensex settled 215 lower at 35011 while Nifty lost 68 points to finish at 10628. BSE mid-cap and small-cap indices tumbled 0.8% and 2.1% respectively. BSE Realty and Power indices nosedived 3.2% and 2.3% respectively, becoming top losers among the sectoral indices while Energy and IT indices were the top gainers, up 0.4% each.

FIIs net sold stocks and stock futures worth Rs 203 cr and 1587 cr respectively but net bought index futures worth Rs 553 cr. DIIs were net buyers to the tune of Rs 338 cr.

Rupee depreciated 5 paise to end at 67.11/$.

OUTLOOK

Today morning, Nikkei is up 0.2% while Hang Seng and Shanghai are little changed. SGX Nifty is suggesting a marginally lower start for our market.

In yesterday's report we had reiterated the view that 10640 is the immediate support, with the stop-loss of which, trading longs should be held on to.

Nifty fell 68 points to settle at 10628, breaking this support. 10558, the low made last week, is the next downside target to eye. 10470, where 34-week moving average is placed, would be the next support below 10558.

10765, where a double top on hourly chart is in place, is the immediate hurdle, a crossover of which is required for a fresh upmove.

RBI's Monetary policy committee begins its two day meeting today.