19150-19200 IS THE UPSIDE TARGET AREA; 18560 CONTINUES TO BE IMMEDIATE SUPPORT

 

19150-19200 IS THE UPSIDE TARGET AREA; 18560 CONTINUES TO BE IMMEDIATE SUPPORT

 

WORLD MARKETS

 

Dow and S & P 500 fell 0.6% and 0.1% respectively but Nasdaq inched up 0.1%. as a big fall in Salesforce weighed on the Dow and markets awaited Friday's jobs data.

 

Salesforce tumbled 8.3% after the software company said its co-CEO would be stepping down soon.

 

Treasury yields and Dollar index fell sharply after data showed that U.S. consumer spending increased solidly in October, while inflation moderated. US 10-year treasury yield fell 10 bps to 3.51%. Dollar index dipped 1.1% to 104.73, it's lowest in 16-weeks. Gold surged 2% to $1802 per ounce.

 

Consumer spending jumped 0.8% in October after an unrevised 0.6% increase in September. The personal consumption expenditures (PCE) price index rose 0.3% after advancing by the same margin in September. In the 12 months through October, the PCE price index increased 6.0% after advancing 6.3% in September. Core Personal Consumption Expenditures Index rose 0.2%, which was below estimate of 0.3%.

 

Brent Crude futures settled 9 cents lower at $86.88 a barrel while WTI futures settled 67 cents higher at $81.22 a barrel.

 

In Europe, FTSE fell 0.2% but DAX and CAC rose 0.6% and 0.2% respectively.

 

AT HOME

 

Benchmark indices rose 0.3% each, extending the winning streak to eight straight day and hit fresh record highs. Sensex settled at 63284, up 184 points while Nifty added 54 points to finish at 18812. Nifty mid-cap and small-cap indices gained 0.8% and 0.4% respectively. Nifty IT index soared 2.4%, becoming top gainer among the sectoral indices, followed by 2.1% higher PSU Bank and Media indices. FMCG and Auto indices were the top losers, down 0.4% and 0.3% respectively.

 

FIIs net sold stocks and index futures worth Rs 1566 cr and 526 cr respectively but net bought stock futures worth Rs 941 cr. DIIs were net buyers to the tune of Rs 2665 cr.

 

Rupee appreciated 21 paise to end at 81.21/$.

 

India's November GST collections stood at Rs. 1.46 lk cr.

 

India's November manufacturing PMI improved to 55.7 from 55.3 in the previous month.

 

OUTLOOK

 

Today morning, Nikkei is down nearly 2% while Hang Seng and Shanghai are down 0.3% and 0.2% respectively. SGX Nifty is suggesting around 40 points lower start for our market.

 

In yesterday's report we had said that 19150 was the next upside target to eye while immediate support on the hourly chart had moved up to 18560, with the stop-loss of which, trading longs could be held on to.

 

Nifty, after touching a high of 18887, eased to end at 18812.

 

19150-19200, the area where a rising a rising trendline adjoining tops made on 6th October and 1st November is placed, continues to be next upside level to eye; Immediate support on the hourly chart has moved up to 18560, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 43900-44000 continues to bee next target area while immediate support on hourly chart has moved up to 42800, with the stop-loss of which, trading longs can be held on to.