12790-12730 IS THE SUPPORT ZONE; 13145 IMMEDIATE HURDLE

 

12790-12730 IS THE SUPPORT ZONE; 13145 IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow and S & P 500 fell 0.9% and 0.5% respectively while Nasdaq ended little changed as investors cashed in on gains after a strong month.

 

Fed Chair Jerome Powell called the U.S. economic outlook “extraordinarily uncertain.”

 

Moderna said it will request emergency clearance for its Covid-19 vaccine after new data confirmed it was more than 94% effective.

 

Meanwhile, New York Gov. Andrew Cuomo said the state was implementing emergency hospital measures as cases continue to rise.

 

Earlier, China's official manufacturing PMI for November came in at 52.1— the highest reading in more than three years.

 

Brent January futures dropped 64 cents, or 1.3%, to $47.54 per barrel while  WTI crude for January settled 19 cents, or 0.4%, lower at $45.34 per barrel, on uncertainty about whether OPEC+ would agree to extend its deep output cuts at talks this week.

 

European markets fell 0.3%-1.6% for the day but posted their best monthly gain on record.

 

For the month of November, Dow rallied 11.8%, posting its best one-month performance since January 1987. The S&P 500 and Nasdaq Composite rose 10.8% and 11.8%, respectively, for their strongest monthly advances since April.

 

AT HOME

 

It was a day of consolidation as benchmark indices ended with modest cuts after trading in a narrow range through the session. Sensex settled at 44150, down 110 points while Nifty lost 18 points to finish at 12968. Nifty mid-cap and small-cap indices however soared 2.7% and 3.1% respectively, posting biggest gains in 2-months. BSE Realty and Consumer Durables indices gained 2.7% and 2.4% respectively, becoming top gainers among the sectoral indices while Energy and Teck indices were the top losers, down 1.1% and 1% respectively.

 

FIIs net bought stocks and index futures worth Rs 7713 cr and 1770 cr respectively but net sold stock futures worth Rs 3735 cr. DIIs were net sellers to the tune of Rs 4969 cr. Foreign investors net bought Rs 65,317.13 crore worth of Indian equities in November, the highest-ever inflow in a single month.

 

Rupee depreciated 16 paise to close at 74.05/$.

 

For the week, Sensex and Nifty rose 0.6% and 0.8% respectively, extending the winning streak to fourth straight week.

 

India’s real GDP fell to 7.5% in the July-September quarter compared to a contraction of 23.9% in the three months ended June.

 

The output of eight core infrastructure sectors dropped by 2.5% in October, contracting for the eighth consecutive month.

 

India’s fiscal deficit widened further to Rs 9.53 lakh crore, at nearly 120% of the annual budget estimate, in October.

 

New peak margin norms come into effect from Today, due to which, the maximum intra-day leverage that can be offered by a broker will now be restricted and will keep reducing until September 1, 2021.

 

OUTLOOK

 

Today morning, Nikkei is up 1.3% while Hang Seng and Shanghai are trading with gains of 0.4% and 0.1% respectively. SGX Nifty is trading around 13000, suggesting a marginally lower start when compared to Friday's closed of Nifty future.

 

12790 and 12730 are the bottoms made in last two weeks, making 12790-12730 and important support zone.

 

13145, the top made last week, is the immediate hurdle.

 

Auto companies will report November sales figures today.