11700-11550 CONTINUES TO BE IMMEDIATE RANGE

11700-11550 CONTINUES TO BE IMMEDIATE RANGE

WORLD MARKETS

US indices climbed 0.5%-1% after J.P. Morgan posted strong earnings and Chevron said it will buy Anadarko in a $33 billion cash and stock deal.

In addition to J.P. Morgan, Wells Fargo also reported better-than-expected results, but the stock turned south on the back of the lender’s tepid outlook for net interest income. Disney shares surged more than 11% after the media giant unveiled a streaming service at a lower price point than Netflix. Shares of Netflix, meanwhile, dipped 4.5%.

US crude rose 31 cents to $63.89/barrel while Brent rose 72 cents or 1% to $71.55.

European markets gained 0.3%-0.8%. Eurozone industrial output fell by less than expected 0.2% in February. While production fell in Germany, France and Italy, the euro zone’s second and third biggest economies, saw industrial output increase.

Data earlier showed Chinese exports rebounded in March, growing 14.2% in dollar terms and topping prediction of a 7.3% gain, but imports shrank for the fourth straight month and at a sharper pace.

AT HOME

A sharp surge in noon trade helped benchmark indices end higher by four tenth of a percent on the last day of the week. Sensex settled at 38767, up 160 points while Nifty added 46 points to finish at 11643. BSE mid-cap and small-cap indices rose 0.3% and 0.4% respectively. BSE FMCG and Utilities indices gained 1.7% and 1.1% respectively, becoming top gainers among the sectoral indices while Telecom index fell 1%, becoming top loser, followed by 0.4% lower Capital Goods and Consumer Durable indices.

FIIs net bought stocks worth Rs 897 cr but net sold index futures and stock futures worth Rs 436 cr and 414 cr respectively. DIIs were net sellers to the tune of Rs 16 cr.

Rupee depreciated 23 paise to end at 69.15/$.

For the week, Sensex and Nifty fell 0.2% each, breaking seven-week winning streak.

India's Industrial output growth hit the lowest level in 20 months, coming in at 0.1% in February, down from 1.4% in January. Retail inflation meanwhile rose to a 5-month high at 2.86% in March, up from 2.57% in February.

TCS reported healthy set of numbers as profit and revenue beat street but margin contracts.

Infosy was a mixed bag as net profit was a beat but guidance disappointed.

OUTLOOK

Today morning, key Asian markets are trading with gains of 1.1%-1.8% but SGX Nifty is suggesting is suggesting about 25 points lower start for our market.

For past couple of days we have been mentioning that 11700 is the immediate hurdle while 11550 is the immediate support to eye.

That continues to be the view. If 11700 is taken out, 11760, followed by 11810 would be the upside targets to eye.

IF 11550 breaks, 11480-11460 would be the next support zone.