A few cues from the market in India and abroad that could help you with your trade today.
Recovery in the last hour of trade helped the market close flat on June 13, backed by select major banking & financials. Benchmark indices were down in the morning due to mixed macroeconomic data and weak global markets.
The BSE Sensex slipped 15.45 points to 39,741.36 while the Nifty 50 gained 7.80 points to end at 11,914, forming a 'Hammer' kind of pattern on daily charts, which indicated the decline is being bought near day's low.
According to the Pivot charts, the key support level is placed at 11,843.57, followed by 11,773.13. If the index starts moving upward, key resistance levels to watch out are 11,957.87 and 12,001.73.
The Nifty Bank index closed at 30,976.10, up 10.40 points on June 13. The important Pivot level, which will act as crucial support for the index, is placed at 30,730.57, followed by 30,485.03. On the upside, key resistance levels are placed at 31,129.27, followed by 31,282.44.
Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines from across news agencies.
Wall Street climbs as oil jumps after Gulf tanker attacks
US stocks rose on Thursday after two days of declines, as energy shares rebounded with oil on concerns of a supply disruption following attacks on two tankers in the Gulf of Oman.
The Dow Jones Industrial Average rose 101.94 points, or 0.39%, to 26,106.77, the S&P 500 gained 11.8 points, or 0.41%, to 2,891.64 and the Nasdaq Composite added 44.41 points, or 0.57%, to 7,837.13.
Asia stocks steady after oil surge lifts Wall Street
Asian stocks held their ground on Friday after Wall Street gained on a surge in oil prices as attacks on tankers in the Gulf of Oman stoked US-Iran tensions and raised concerns over supply flows through one of the world’s main sea lanes.
MSCI’s broadest index of Asia-Pacific shares outside Japan was little changed. Australian stocks edged up 0.05% while Japan’s Nikkei dipped 0.1%.
Trends on SGX Nifty indicate a flat to negative opening for the broader index in India, a fall of 17.5 points or 0.15 percent. Nifty futures were trading around 11,902-level on the Singaporean Exchange.
Oil prices ease, but Middle East tanker attacks support
Oil fell on Friday after sharp gains in the previous session when prices were boosted after attacks on two oil tankers in the Gulf of Oman stoked concerns of reduced crude flows through one of the world’s key shipping routes.Brent crude futures were down 17 cents, or 0.3%, at $61.14 a barrel by 0041 GMT. They settled up 2.23% on Thursday, at $61.31, having risen as much as
4.5%. US West Texas Intermediate crude futures were down 39 cents, or 0.8%, at $51.89 a barrel. They closed 2.23% higher at $52.28 a barrel in the previous session.
Rupee skids 16 paise to 69.50 vs USD
Snapping its two-session gaining streak, the rupee dived 16 paise to close at 69.50 against the US dollar June 13 amid a sharp rise in crude oil prices. Brent crude futures, the global oil benchmark, soared 3.84 percent to $62.27 per barrel after attacks on two oil tankers in the Gulf of Oman triggered fears of supply disruptions.
The rupee opened at 69.33 per dollar and fell further to touch a low of 69.56 at the interbank foreign exchange market. The local unit finally settled at 69.50, down by 16 paise over its previous close. The rupee Wednesday closed at 69.34 against the US dollar.
RBI to pump in Rs 12,500 cr liquidity on June 20The Reserve Bank of India said June 13 said it will infuse Rs 12,500 crore into the financial system through bond purchases on June 20. The decision has
taken based on a review of the evolving liquidity conditions and assessment of the durable liquidity needs going forward, the central bank said in a statement.
The purchase of government securities under the Open Market Operation (OMO) for Rs 125 billion (Rs 12,500 crore) will be conducted on June 20, 2019. The government securities to be purchased in the auction would be communicated in due course, the RBI added.
SEBI tightens disclosure norms for credit rating agencies
Markets watchdog Sebi June 13 came out with a strict disclosure framework for credit rating agencies wherein they will be required to provide the probability of default for various rated instruments.The regulator's move comes against the backdrop of rising instances of debt defaults and concerns over the role of credit rating agencies in assessing the
possible risks. Credit rating agencies have also come under the scanner in the IL&FS case.
"...CRAs (credit rating agencies), in consultation with Sebi, shall prepare and disclose standardized and uniform probability of default (PD) benchmarks for each rating category on their website, for one-year, two-year and three-year cumulative default rates, both for short-run and long-run," the circular said.
FICCI for increasing FDI cap in insurance to 74%
The government needs to increase foreign direct investment cap in the insurance sector and multi-brand retail trading for products manufactured and sourced from India for attracting overseas inflows, industry chamber FICCI said on June 13.
"In line with 100 percent FDI in food retail, a similar policy could be considered for multi-brand retail in products that can be fully manufactured in and sourced from India," FICCI said in its pre-Budget suggestions to the government. It said that in the insurance sector, FDI cap can be increased from 49 percent to 74 percent.
Revenue growth hits six quarter low in Q4FY19: ICRA
The earnings released by 642 companies in the Indian corporate sector revealed that the revenue growth in the fourth quarter (January-March) of FY18-19 hit a six-quarter low at 10 percent, ICRA said in its research report. Weak consumer sentiments and softening of commodity prices led to a fall in the revenue growth in the last quarter of FY19, ICRA stated.Further, the revenue growth in consumer-linked sectors in ICRA’s sample was merely 3.8 percent in Q4FY19 on a YoY basis, down from 27.9 percent in
Q3FY19. In comparison, the revenue growth in commodity-linked sectors was at 12.4 percent in Q4FY19 on a YoY basis, down from 51.4 percent in Q3FY19.
Three stocks under F&O ban period on NSE
For June 14, IDBI Bank, Reliance Capital and Reliance Infrastructure are under the F&O ban period. Securities in ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.With inputs from Reuters & other agenciesThe Great Diwali Discount!
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