22224 CONTINUES TO BE IMMEDIATE SUPPORT; 22526 IMMEDIATE HURDLE

 

22224 CONTINUES TO BE IMMEDIATE SUPPORT; 22526 IMMEDIATE HURDLE

 

WORLD MARKETS

 

U.S. indices climbed 0.6%-1.5%, with the S & P 500 posting new closing high, as technology stocks surged after digesting retail inflation data.

 

The consumer price index climbed 0.4% in February and 3.2% y-o-y, as against expected figures of 0.4% and 3.1% respectively. Core inflation, which strips out food and energy from the headline reading, rose 0.4%, compared to a forecast gain of 0.3%.

 

U.S. 10-year treasury yield rose 5 bps to 4.15%. Dollar index inched up 0.1% to 102.92. Gold fell 1.1% to $2157 per ounce.

 

WTI crude futures fell 0.5% to $77.56 a barrel and Brent futures shed 0.4% to settle at $81.92 a barrel.

 

European markets gained 0.6%-1.2%.

 

AT HOME

 

Sensex gained 0.2% while Nifty ended flat after a choppy session. Sensex settled at 73667, up 165 points while Nifty inched up 3 points to finish at 22335. Nifty mid-cap and small-cap indices tumbled 1.4% and 2% respectively, with the latter erasing all the gains of calendar 2024. Except 0.6% and 0.04% higher IT and Private Bank indices, all the NSE sectoral indices ended lower, with Realty and PSU Bank indices being the top losers, down 3.7% and 2.6% respectively.

 

FIIs net bought stocks, index futures and stock futures worth Rs 73 cr, 442 cr and 2095 cr respectively. DIIs were net buyers to the tune of Rs 2358 cr.

 

Rupee depreciated 1 paise to end at 82.77/$.

 

India's retail inflation cooled to 5-month low of 5.09% in February from 5.1% in January. Core CPI fell to 3.3% from 3.6%. Industrial output in January eased to 3.8% from upwardly revised 4.2% in December.

 

OUTLOOK

 

Today morning, Hang Seng is up 0.2% while Nikkei and Shanghai are down 0.2% and 0.4% respectively. GIFT Nifty is suggesting a marginally higher start for our market.

 

In yesterday's report we had said that 22224, the low made last week, was the next downside level/support to eye while 22526, the top made Monday, was the immediate hurdle.

 

Nifty fell to 22256 before closing at 22335.

 

22224, the low made last week, continues to be immediate support to eye; 22526, the top made Monday, continues to be immediate hurdle.

 

For Banknifty, 46884, the low made yesterday, which coincided with the 50% retracement level of the recent 45661-48161 upmove, is the immediate support, upon breach of which, 46600, the 61.8% retracement level, would be next downside levels to eye; 47812, the top made yesterday, is the immediate resistance zone.

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