17800-17345 CONTINUES TO BE IMMEDIATE RANGE

 

17800-17345 CONTINUES TO BE IMMEDIATE RANGE

 

WORLD MARKETS

 

US indices climbed 1%-1.7% ahead of Federal Reserve Chair Jerome Powell’s Jackson Hole speech.

 

Jobless claims drifted lower in the week ending Aug. 20. A revision for second-quarter GDP showed a smaller decline.

 

US 10-year treasury yield fell 8 bps to 3.03%. Dollar index fell 0.2% to 108.42. Gold rose 0.4% to $1758 per ounce.

 

Brent crude settled at $99.34 a barrel, shedding $1.88, or 1.9% and WTI crude settled at $92.52 a barrel, losing $2.37, or 2.5%.

 

In Europe, FTSE and DAX gained 0.1% and 0.4% respectively while CAC fell 0.1%. Germany’s Ifo Institute’s Business Climate Index fell in August to 88.5, down from 88.7 in July.

 

AT HOME

 

After rising seven tenth of a percent in the first half, benchmark indices tumbled later to end with cuts of half a percent, snapping a 2-day winning streak. Sensex settled at 58774, down 310 points while Nifty lost 82 points to finish at 17522. Nifty mid-cap index fell 0.1% but small-cap index gained 0.4%. BSE Realty and Consumer Durables indices gained 1.5% and 0.9% respectively, becoming top gainers among the sectoral indices while IT and Teck indices were the top losers, down 0.9% each.

 

FIIs net bought stocks worth Rs 369 cr but net sold index futures and stock futures worth Rs 2011 cr and 1780 cr respectively. DIIs were net sellers to the tune of Rs 334 cr.

 

Rupee depreciated 7 paise to end at 79.88/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.25%-1% and SGX Nifty is suggesting around 85 points higher start for our market.

 

In yesterday's report we had said that 17345, the low made Tuesday, continued to be immediate support and 17800 continued to be immediate hurdle.

 

Nifty, after touching a high of 17726, plunged to 17487 before closing at 17522. The benchmark is set to open near 17600 today.

 

17800 continues to be important immediate hurdle, a crossover of which is required for confirming a "Buy" on hourly chart; 17345, the low made Tuesday, continues to be immediate support.

 

39471, the top made yesterday, is immediate hurdle for Banknifty, above which, 39759, the top made last week, would be next target; 38600-38550 is immediate support zone.