16176-16146 CONTINUES TO BE IMMEDIATE SUPPORT ZONE; 16350 IMMEDIATE HURDLE

 

16176-16146 CONTINUES TO BE IMMEDIATE SUPPORT ZONE; 16350 IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow and S & P 500 fell 0.3% and 0.1% respectively amid concerns about a resurgence in Covid-19 cases. Nasdaq inched up 0.2%.

 

Energy stocks led the declines as oil extended last week's steep cuts. WTI crude fell 2.64% to settle at $66.48 per barrel and Brent crude settled at $69.04 per barrel for a loss of 2.35%

 

Back in the US, job openings jumped to 10.1 million for the month of June, versus the 9.1 million expected.

 

US 10-year treasury yield rose 3.7 bps to 1.325%. Dollar index inched up 0.1% to 92.937, its highest since July 23. Spot gold tumbled 2.1% to $1,725.96 per ounce to hit it's lowest in over 4-months.

 

In Europe, FTSE inched up 0.1% while DAX and CAC eased 0.1% each.

 

Data out of China showed the country’s export growth unexpectedly slowed in July while imports also lost momentum.

 

AT HOME

 

After rising half a percent at the open, Sensex and Nifty gave away a chunk of the gains to end higher by 0.2% and 0.1% respectively. Sensex settled at 54402, up 125 points while Nifty added 20 points to finish at 16258. Nifty mid-cap and small-cap indices slipped 0.7% and 0.9% respectively. BSE Metal and Telecom indices tumbled 1.5% and 1.3% respectively, becoming top loser among the sectoral indices while Bankex and IT indices were the top gainers, up 0.6% and 0.4% respectively.

 

FIIs net bought stocks and index futures worth Rs 212 cr and 257 cr respectively but net sold stock futures worth Rs 435 cr. DIIs were net sellers to the tune of Rs 716 cr.

 

Rupee depreciated 10 paise to end at 74.26/$.

 

Can Fin Homes, IndiaMart InterMesh, MCX, Polycab, Dixon Technologies, Hindustan Aeronautics Limited (HAL), Indian Energy Exchange Limited (IEX), Ipca Laboratories Limited, Oracle Financial Services Software Limited (OFSS), and Syngene International will be included in the F&O segment from August 27.

 

OUTLOOK

 

Today morning, Nikkei is up 1% while Hang Seng and Shanghai are marginally in the red. SGX Nifty is suggesting a flattish start for our market.

 

In yesterday's report we had said that 16349, the top made last week, was the immediate hurdle while 16176-16146, the gap created by Wednesday’s gap-up opening, was the immediate support zone.

 

Nifty, after touching a low of 16179, rebounded to close at 16258.

 

16176-16146, the gap created by Wednesday’s gap-up opening, continues to be immediate support zone.

 

16349, the top made last week, continues to be immediate hurdle, upon crossover of which, 16500 would be the next target.