9230 IS THE IMMEDIATE HURDLE; 8909 IMMEDIATE SUPPORT

9230 IS THE IMMEDIATE HURDLE; 8909 IMMEDIATE SUPPORT

WORLD MARKETS

US indices gained 2%-2.8% as oil prices bounced back from a steep sell-off. Senate passing a $484 billion coronavirus relief package to provide additional funding for small businesses, hospitals and coronavirus testing, also boosted the sentiment.

WTI crude for June delivery rose $2.21, or 19.1%, to settle at $13.8 per barrel. Brent crude settled $1.04, or 5.38%, higher at $20.37.

Stocks of Snapchat and Chipotle surged after their earnings beat expectations.

European markets rose 1.2%-2.3%. UK consumer price index came in at 1.5%, compared to 1.7% in February.

AT HOME

After a flattish start, Sensex and Nifty saw a sustained northward move though the session to end higher by 2.4% and 2.3% respectively, breaking two-day losing streak. Sensex settled at 31379, up 742 points while Nifty finished at 9187, up 205 points. BSE mid-cap and small-cap indices however underperformed, gaining just 0.8% and 0.7% respectively. Except 0.9% and 0.8% lower Realty and Capital Goods indices, all the BSE sectoral indices ended in green with Energy index being the top gainer, up 7.4%, followed by 2.6% higher Auto index.

FIIs net sold stocks worth Rs 1326 cr but net bought index futures and stock futures worth Rs 417 cr and 577 cr respectively. DIIs were net buyers to the tune of Rs 864 cr.

Rupee appreciated 17 paise to end at 76.67/$.

OUTLOOK

Today morning, Asian markets are trading with gains of upto 0.8% and SGX Nifty is suggesting a flattish start for our market.

In yesterday's report we had said that below 8909, which was the low made on Tuesday, 8822 and 8700, which were the bottoms made on 16th and 8th April respectively, would be next downside supports/targets to eye while 9044-9230, the gap created by Tuesday’s gap down opening, will act as resistance zone.

Nifty, after touching a low of 8946 in the initial trade, surged to 9209 before closing at 9187.

9230, the upper end of the gap created by Tuesday's gap down opening, continues to be immediate hurdle to eye. Above 9230, 9390, the top made on Monday, would be the bigger hurdle to eye.

8909, the low made on Tuesday, continues to be immediate support.

Bharti Infratel will report its quarterly earnings today.