15250, 15431 ABOVE 15100

 

15250, 15431 ABOVE 15100

 

WORLD MARKETS

 

After a negative start, US indices saw a sustained upward move through the session to end with gains of 1%-1.4%, with the Dow closing at a record level.

 

The lower start was on concerns of rising rates as the U.S. 10-year Treasury yield topped 1.4% and hit its highest level since February 2020. However, yield cooled off from higher level after Fed Chair Powell, in his testimony in front of the House Financial Services Committee, continued to downplay the threat of inflation, saying it could take three years to reach the central bank’s target consistently.

 

Brent as well as US WTI crude rose 2.1% each to reach $66.74 and $62.94 a barrel respectively after data showed U.S. crude oil production dropped last week by more than 1 million barrels per day during the rare winter storm in Texas.

 

Dollar index rose 0.3% to reach 90.378. Spot gold was down 0.3% at $1,800.27 per ounce.

 

European markets gained 0.3%-0.8%. German economy grew 0.3% in the final quarter of 2020, on the back of strong exports and construction activity.

 

AT HOME

 

Bulls came back with a vengeance as Sensex and Nifty soared 2.1% and 1.9% respectively on the day which saw extension of trading till 5 pm due to a technical glitch at NSE which lead to trading half for nearly four hours. Sensex settled at 50781, up 1030 points while Nifty added 274 points to finish at 14982. Nifty mid-cap and small-cap indices gained 1% and 0.9% respectively. Except 0.1% lower Utilities and Power indices, all the BSE sectoral indices ended in green with Bankex and Finance indices leading the tally, up 3.7% and 3.3% respectively.

 

FIIs net bought stocks and index futures worth Rs 28793 cr and 443 cr respectively but net sold stock futures worth Rs 322 cr. However, FII cash figure include Bosch and Affle India block deals. DIIs were net sellers to the tune of Rs 230 cr.

 

Rupee appreciated 11 paise to end at 72.35/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.6%-1.6%. SGX Nifty is trading around 15040, suggesting around 40 points higher start when compared to yesterday's close of Nifty future.

 

In yesterday's report, we had reiterated that 14635, the low made Monday, continued to be important immediate support while 15100 continued to be immediate hurdle.

 

Nifty surged to touch a high of 15008 before closing at 14982.

 

15100 continues to be immediate hurdle, a crossover of which will confirm a "Buy" on the hourly chart. 15250 and 15431 would be next upside target if that happens.

 

14635, the low made Monday, continues to be important immediate support.