NIFTY EXTENDS CONSOLIDATION

NIFTY EXTENDS CONSOLIDATION

WORLD MARKETS

Dow rose 0.5% while S & P 500 and Nasdaq added 0.3% each with the S & P 500 coming within half a percent of the record high hit in January.

Dow got a boost from 2% higher Caterpillar while Nasdaq was aided by Amazon and Tesla. Shares of Tesla surged more than 10% after CEO Elon Musk said he was considering taking the company private.

US crude rose 16 cents to $69.17/bbl.

European markets gained 0.4%-1.3%.

AT HOME

Benchmark indices ended little changed after trading in a narrow range through the session. Sensex settled 26 points lower at 37665 while Nifty added 2 points to finish at 11389. BSE mid-cap and small-cap indices however ended lower by 0.2% each. BSE Metal and Consumer Durable indices surged 1.3% and 1.2% respectively, becoming top gainers among the sectoral indices while Oil & Gas and Energy indices were the top losers, down 1% and 0.9% respectively.

FIIs net bought stocks and index futures worth Rs 315 cr and 131 cr respectively but net sold stock futures worth Rs 21 cr. DIIs were net sellers to the tune of Rs 320 cr.

Rupee appreciated 20 paise to end at 68.68/$.

M & M posted 67% rise in June quarter net profit at Rs 1257 cr. Revenue rose 23% to Rs 13358 cr. EBITDA rose 47% to Rs 2110 cr and operating margin expanded 140 bps to 15.8%.

OUTLOOK

Today morning, Hang Seng and Nikkei are up 0.4% and 0.2% respectively while Shanghai is down 0.2%. SGX Nifty is suggesting a flattish start for our market.

In yesterday's report we had mentioned that 11428, the top made on Monday, is the immediate hurdle, upon crossover of which 11550 would be the next target to eye.

Nifty, after touching a high of 11429 in the initial trade, slipped to end at 11389.

Roughly, 11430 continues to be immediate hurdle, a crossover of which is required for a fresh upmove and if that happens 11500-11550 would be the next target zone.

11300 is the immediate support below which 11235, the low made last week, would be the important support to eye.