24700 ABOVE 24401; 24100 IS THE IMMEDIATE SUPPORT

 

24700 ABOVE 24401; 24100 IS THE IMMEDIATE SUPPORT

 

WORLD MARKETS

 

U.S. indices gained 0.2%-0.9% on Friday, with S & P 500 and Nasdaq posting record closes as the latest jobs report reignited hopes for rate cuts from the Federal Reserve.

 

Nonfarm payrolls increased by 206,000 for the month, better than the 200,000 forecast, though less than the downwardly revised gain of 218,000 in May. The unemployment rate unexpectedly climbed to 4.1%, the highest level since October 2021 as against expectation of being unchanged at 4%.

 

U.S. 10-year treasury yield fell 7 bps to 4.282%. Dollar index fell quarter of a percent to 104.87. Gold jumped 1.5% to $2391 per ounce.

 

WTI crude futures fell 0.9% to $83.16 while Brent futures fell 1% to $86.54 a barrel.

 

In Europe, FTSE and CAC fell 0.4% and 0.3% respectively while DAX inched up 0.1%.

 

For the week, U.S. indices gained 0.7%-3.5% with Nasdaq on the top. Oil posted fourth straight weekly gain.

 

AT HOME

 

After falling half a percent in the initial trade, benchmark indices rebounded through the session to end little changed. Sensex settled at 79996, down 53 points while Nifty added 21 points to finish at 24323. Nifty mid-cap and small-cap indices climbed 0.8% each, hitting fresh record highs. Nifty Oil & Gas index climbed 1.9%, becoming top gainer among the sectoral indices, followed by 1.3% higher Pharma and Healthcare indices. Bank and Financial Services indices were the top losers, down 0.8% and 0.3% respectively.

 

FIIs net bought stocks worth Rs 1241 cr but net sold index futures and stock futures worth Rs 496 cr and 330 cr respectively. DIIs were net sellers to the tune of Rs 1651 cr.

 

Rupee appreciated 1 paise to end at 83.48/$.

 

For the week, Sensex and Nifty gained 1.2% and 1.3% respectively, extending the winning streak to 5th straight week and hitting fresh record highs.

 

OUTLOOK

 

Today morning, Nikkei is little changed while Hang Seng and Shanghai are down 0.9% and 0.4% respectively. GIFT Nifty is suggesting a flattish start for our market.

 

In Friday's report we had said that 24400-24450 continued to be immediate target/resistance zone and that 24100 continued to be immediate support on hourly chart, with the stop-loss of which, trading longs could be held on to.

 

Nifty, after touching a high of 24401, closed at 24323.

 

24401, the top made last week, roughly coincided with the rising trendline adjoining tops made in May and early June and hence is the immediate hurdle to eye. If this hurdle is crossed, 24650-24700 would be the next target area; 24100 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 53300-53350 is the immediate resistance zone, upon crossover of which, 54300 would be the next upside target to eye. 52290, the low made on Friday, is the immediate support, with the stop-loss of which, trading longs can be held on to.

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