15700 IS THE IMMEDIATE SUPPORT; 15900-15962 IS THE RESISTANCE ZONE

 

15700 IS THE IMMEDIATE SUPPORT; 15900-15962  IS THE RESISTANCE ZONE

 

WORLD MARKETS

 

US indices fell 0.2%-1.2%, snapping a five-day winning streak. Nasdaq fell the most.

 

US Fed wraps up it's two-day meeting today and markets would watch out for any comments on when tapering of the central bank’s asset purchases could begin.

 

3 big Tech companies reported quarterly results after market closed. Apple beat top- and bottom-line estimates and said iPhone sales jumped 50% y-o-y. Google-parent Alphabet registered a 69% jump in advertising revenue, while Microsoft beat earnings despite a dip in revenue from its Windows division.

 

The IMF warned that there’s a risk inflation will prove to be more than just transitory, pushing central banks to take pre-emptive action.

 

The yield on the benchmark 10-year Treasury note fell 4 basis points to 1.236%. The dollar index slipped 0.3%. Spot gold rose 0.2% to $1,800.46 per ounce.

 

Brent crude futures climbed 26 cents, or 0.35%, to $74.76 per barrel while WTI crude futures rose 8 cents to $71.99 a barrel.

 

European markets slipped 0.4%-0.9%

 

AT HOME

 

Benchmark indices slipped half a percent, extending the losing streak to second straight day. Sensex settled at 52578, down 273 points while Nifty lost 78 points to finish at 15746. Nifty mid-cap index fell 0.4% while small-cap index ended flat. BSE Heatlhcare index tumbled 2.9%, becoming top loser among the sectoral indices, followed by 1.5% lower Power index. Metal index climbed 1.7%, becoming top gainer, followed by 0.2% higher Consumer Durables index.

 

FIIs net sold stocks, index futures and stock futures worth Rs 1459 cr, 608 cr and 105 cr respectively. DIIs were net buyers to the tune of Rs 730 cr.

 

Rupee depreciated 4 paise to end at 74.46/$.

 

Dr Reddy plunged after reporting a lower-than-expected quarterly earnings for Q1FY22 and US market regulator SEC's subpoena of documents for CIS geographies.

 

The IMF cut India's FY22 GDP growth forecast to 9.5%, a 300 bps cut from it's April forecast.

 

OUTLOOK

 

Today morning, Nikkei and Shanghai are down nearly a percent each while Hang Seng is up a percent. SGX Nifty is suggesting around 30 points higher start for our market.

 

In yesterday's report we had said that 15726, the low made Thursday, continued to be immediate support,

 

Nifty, after touching a low of 15701, closed at 15746.

 

15701, the low made yesterday, is the immediate support, upon breach of which, 15578, the low made last week, would be the next downside level to eye.

 

15900-15962 is the resistance zone on the way up.

 

Maruti and Nestle will report their quarterly earnings today.