STAY LONG WITH THE STOP-LOSS OF 15673

 

STAY LONG WITH THE STOP-LOSS OF 15673

 

WORLD MARKETS

 

Dow and S & P 500 rose 0.7% and 0.3% respectively while Nasdaq inched down 0.1% on Friday.

 

Core personal consumption expenditures price index rose 3.4% y-o-y in May, the biggest rise in almost 30 year. The reading matched the expectation. Month-on-month, it ticked up 0.5%, which was below the 0.6% estimate. University of Michigan’s June consumer sentiment index rose to 85.5 from 82.9 in May.

 

US 10-year Treasury yield rose nearly 4 bps to 1.526%. Dollar index fell 0.26% to 91.598. Spot gold inched 0.1% higher to $1,776.96 per ounce

 

Brent crude rose 18 cents, or 0.2%, to $75.74 a barrel while WTI rose 29 cents, or 0.4% to $73.59 a barrel.

 

In Europe, FTSE and DAX gained 0.4% and 0.1% respectively while CAC eased 0.1%. Germany's GFK consumer sentiment index rose to -0.3 points heading into July, vastly outstripping a consensus forecast of -4.0, and up from -6.9 the previous month.

 

For the week, US indices gained 2.4%-3.4%. Gold gained 0.8%, snapping 3-week losing streak. Brent and WTI climbed 2.9% and 2.6% respectively, extending the winning streak to fifth consecutive week.

 

AT HOME

 

Sensex and Nifty gained 0.4% after a choppy session, extending the winning streak to second consecutive day and registering record closing highs. Sensex added 226 points to settle at 52925 while Nifty finished at 15860, up 70 points. Nifty mid-cap and small-cap indices climbed 1.1% and 0.5% respectively. BSE Metal index climbed 2.8%, becoming top gainer among the sectoral indices, followed by 1.5% higher Bankex. Energy index was the top loser, down 1.8%, followed by 1% lower Oil & Gas and Utilities indices.

 

FIIs net sold stocks and index futures worth Rs 679 cr and 858 cr respectively but net bought stock futures worth Rs 44 cr. DIIs were net buyers to the tune of Rs 1833 cr.

 

Rupee depreciated 4 paise to end at 74.20/$.

 

For the week, Sensex and Nifty gained 1.1% each.

 

OUTLOOK

 

Today morning, Hang Seng is up more than a percent while Nikkei and Shanghai are little changed. SGX Nifty is suggesting a flattish start for our market.

 

In Friday's report we had said that 15674, the low made Wednesday, continued to be immediate support while 15901 continued to be immediate hurdle.

 

Nifty rose to end at 15860.

 

15901, the top made on 15th June, continues to be immediate hurdle, upon crossover of which, 16100 and 16350 would be subsequent targets to eye. 15673, the low made Wednesday, continues to be immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.