SENSEX 16730.94 -108.69
NIFTY 5035.80
-37.15
NASDAQ 2538.21 -16.99
|
UPDATEDTIME 09.28 PM 16 AUGUST
2011
|
Benchmarks
ended in the negative territory but off day's low after institutional investors
turned sellers in the last half an hour of trade. Weak cues from Europe, US and
concerns of possible rate hike by the RBI pushed bulls on the back foot.
India's WPI inflation for the month of July eased slightly to 9.22 percent against 9.44 per cent a month ago. May WPI inflation has been revised upwards to 9.56 per cent vs 9.06 per cent. The inflation level remains stubbornly above the comfort levels. Though there is some dip in inflation, it still continues to remain above the comfort zone.
"Despite steep increase in policy rates, core inflation has remained stubbornly high at 7.5%. However, full impact of rate hikes is likely to reflect in the next couple of months, in our view. Having said that, the upside risks to inflation continue to persist.
We expect inflation to remain at the elevated levels for a few more months and the RBI is likely to maintain its hawkish tone and may raise key policy rates by 25bps on Sept16, 2011.
Meanwhile, Finance Minister Pranab Mukherjee has said that inflation would ease further on back of good monsoon. "I am quite confident that good monsoon will ensure moderation of inflationary pressure.
Bombay Stock Exchange's Sensex ended at 16730.94, down 108.69 points or 0.65 per cent. The 30-share index touched intraday low of 16673.52 and high of 17035.49 intraday.
National Stock Exchange's Nifty closed at 5035.80, down 37.15 points or 0.73 per cent. The broader index touched a high of 5132.20 and low of 5015.40 in trade today.
Technically the level of 5240/17770 will act as a major hurdle for the market. On the lower side 4980/5000 will act as a major support for the market and dismissal of the 4980 may result into quick sell off to 4800 minimum and maximum to 4600 levels.
Closing above the level of 5250 can take index to the level of 5400. As the market is in falling trending wave we may expect these levels in a next 7 to 8 weeks of time and that may increase the possibility of further more damage in terms of "capital" and "confidence".
Secondly, from here we have to keep a close watch on Domestic issues as from here global cues may remain insignificant unless and until more downgrades comes for developed countries.
BSE Midcap Index was down 1.79 per cent and BSE Smallcap Index declined 2.10 per cent.
Amongst the sectoral indices, BSE Realty Index was down 5.38 per cent, BSE Metal Index declined 1.96 per cent and BSE Bankex slipped 1.20 per cent. BSE IT Index was up 0.90 per cent.
Jaiprakash Associates (-7.83%), DLF (-5.92%), Hindalco Industries (-4.31%), HDFC (-3.50%) and Cipla (-2.83%) were the top Sensex losers.
Fund selling was seen in ADAG stocks in the last half an hour of trade. Reliance Communications (-7.59%), Reliance Infrastructure (-7.29%), Reliance Power (-7.29%) and Reliance Capital (-7.03%) were the worst hit on the NSE.
TCS (2.40%), BHEL (2.30%), Bharti Airtel (1.73%), ITC (0.86%) and Infosys Technologies (0.77%) were amongst the major gainers.
Market breadth was negative on the BSE with 1984 losers against 849 gainers.
The European markets were in the red ahead of meeting between French President Nicolas Sarkozy and German Chancellor Angela Merkel in Paris on eurozone crisis.
The US stock futures also indicated a negative open. Dow Jones futures was down 96 points, S&P 500 declined 14 points and Nasdaq slipped 25 points.
India's WPI inflation for the month of July eased slightly to 9.22 percent against 9.44 per cent a month ago. May WPI inflation has been revised upwards to 9.56 per cent vs 9.06 per cent. The inflation level remains stubbornly above the comfort levels. Though there is some dip in inflation, it still continues to remain above the comfort zone.
"Despite steep increase in policy rates, core inflation has remained stubbornly high at 7.5%. However, full impact of rate hikes is likely to reflect in the next couple of months, in our view. Having said that, the upside risks to inflation continue to persist.
We expect inflation to remain at the elevated levels for a few more months and the RBI is likely to maintain its hawkish tone and may raise key policy rates by 25bps on Sept16, 2011.
Meanwhile, Finance Minister Pranab Mukherjee has said that inflation would ease further on back of good monsoon. "I am quite confident that good monsoon will ensure moderation of inflationary pressure.
Bombay Stock Exchange's Sensex ended at 16730.94, down 108.69 points or 0.65 per cent. The 30-share index touched intraday low of 16673.52 and high of 17035.49 intraday.
National Stock Exchange's Nifty closed at 5035.80, down 37.15 points or 0.73 per cent. The broader index touched a high of 5132.20 and low of 5015.40 in trade today.
Technically the level of 5240/17770 will act as a major hurdle for the market. On the lower side 4980/5000 will act as a major support for the market and dismissal of the 4980 may result into quick sell off to 4800 minimum and maximum to 4600 levels.
Closing above the level of 5250 can take index to the level of 5400. As the market is in falling trending wave we may expect these levels in a next 7 to 8 weeks of time and that may increase the possibility of further more damage in terms of "capital" and "confidence".
Secondly, from here we have to keep a close watch on Domestic issues as from here global cues may remain insignificant unless and until more downgrades comes for developed countries.
BSE Midcap Index was down 1.79 per cent and BSE Smallcap Index declined 2.10 per cent.
Amongst the sectoral indices, BSE Realty Index was down 5.38 per cent, BSE Metal Index declined 1.96 per cent and BSE Bankex slipped 1.20 per cent. BSE IT Index was up 0.90 per cent.
Jaiprakash Associates (-7.83%), DLF (-5.92%), Hindalco Industries (-4.31%), HDFC (-3.50%) and Cipla (-2.83%) were the top Sensex losers.
Fund selling was seen in ADAG stocks in the last half an hour of trade. Reliance Communications (-7.59%), Reliance Infrastructure (-7.29%), Reliance Power (-7.29%) and Reliance Capital (-7.03%) were the worst hit on the NSE.
TCS (2.40%), BHEL (2.30%), Bharti Airtel (1.73%), ITC (0.86%) and Infosys Technologies (0.77%) were amongst the major gainers.
Market breadth was negative on the BSE with 1984 losers against 849 gainers.
The European markets were in the red ahead of meeting between French President Nicolas Sarkozy and German Chancellor Angela Merkel in Paris on eurozone crisis.
The US stock futures also indicated a negative open. Dow Jones futures was down 96 points, S&P 500 declined 14 points and Nasdaq slipped 25 points.
Regards
RAKESH MAKIN
+91 9915684997,
9041667797(DIRECT)
OFF
0172-4657997
PANCHKULA (Haryana).
Email:makin_97@yahoo.com
Group mail id: makin97NSEtips@yahoogroups.co.in
No comments:
Post a Comment