17900-17850 CONTINUES TO BE SUPPORT AREA

 

17900-17850 CONTINUES TO BE SUPPORT AREA

 

WORLD MARKETS

 

U.S. indices fell 0.5%-0.8% after the Fed decision, extending the losing streak to third straight day.

 

Federal Reserve raised interest rates by a quarter of a percentage point and signaled it may pause further increases as it dropped the line from the March statement that said, “the Committee anticipates that some additional policy firming may be appropriate.”.

 

U.S. private employers boosted hiring in April and U.S. services sector maintained steady growth in April.

 

US 10-year treasury yield fell 9 bps to 3.341%. Dollar index fell 0.7% to 101.22. Gold jumped 1.3% to $2043 per ounce.

 

Brent futures plunged 4% to $72.33 a barrel, their lowest close since December 2021. WTI fell 4.3%, to $68.60.

 

European markets rose 0.2%-0.8%

 

AT HOME

 

Benchmark indices fell three tenth of a percent each, marking the first negative session in nine. Sensex settled at 61193, down 161 points while Nifty lost 58 points to finish at 18089. Nifty mid-cap index rose 0.3% but small-cap index eased 0.1%. Nifty IT, Metal and PSU Bank indices were the top losers among the sectoral indices, down 1% each while FMCG and Realty indices were the top gainers, up 0.8% and 0.3% respectively.

 

FIIs net bought stocks worth Rs 1338 cr but net sold index futures and stock futures worth Rs 1452 cr and 772 cr respectively. DIIs were net sellers to the tune of Rs 584 cr.

 

Rupee appreciated 6 paise to end at 81.82/$.

 

Titan Q4 numbers were largely in-line with estimate but margin was a miss.

 

OUTLOOK

 

Nikkei is shut today while Hang Seng is up 0.6% and Shanghai is little changed. SGX Nifty is suggesting around 50 points lower start for our market.

 

In yesterday's report we had said that 18252, the top made in January, continued to be next upside target while 17900-17850 was the immediate support area, with the stop-loss of which, trading longs could be held on to.

 

Nifty fell to 18042 before closing at 18089.

 

18252, the top made in January, continues to be next upside target; 17900-17850 continues to be immediate support area, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 43578, followed by 44151, the tops made in January 2023 and December 2022 respectively, are the next upside levels to eye; 42900-42800 continues to be immediate support zone, with the stop-loss of which, trading longs can be held on to.