The Nifty, which started off the week on a positive note, maintained uptrend throughout the session and managed to hold on to 10,850 levels at close on Monday, backed by positive global cues.
The index made a bullish candle which looked like a 'Hanging Man' kind of pattern. The Nifty, which opened at 10,838.30, jumped to hit an intraday high of 10,860.35, before closing 80.20 points higher at 10,852.90.
India VIX fell 0.68 percent to 12.36 levels. VIX has been falling down from last five trading sessions and lower volatility indicates bullish stance of market till it remains below 13.50 zones.
According to Pivot charts, the key support level is placed at 10,819.97, followed by 10,787.03. If the index starts moving upwards, key resistance levels to watch out are 10,873.07 and 10,893.23.
The Nifty Bank index closed at 26,753.3. The important Pivot level, which will act as crucial support for the index, is placed at 26,649.53, followed by 26,545.77.
On the upside, key resistance levels are placed at 26,819.13, followed by 26,884.96.
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.
US markets end higher; Dow, S&P 500 post best session in over a month
US stocks rose on Monday, giving the Dow and S&P 500 their biggest gains in more than a month, as bank shares jumped ahead of earnings reports later this week. The S&P banks index climbed 2.7 percent, registering its biggest daily percentage gain since March 26. The S&P 500 financial index rose 2.3 percent, leading gains among sectors.
The Dow Jones Industrial Average rose 320.11 points, or 1.31 percent, to 24,776.59, the S&P 500 gained 24.35 points, or 0.88 percent, to 2,784.17 and the Nasdaq Composite added 67.81 points, or 0.88 percent, to 7,756.20.
Asia shares extend rally
Asian shares sought to rally for a third session on Tuesday as hopes for upbeat corporate earnings buoyed Wall Street, while several high-profile resignations from Britain’s government kept sterling on the defensive.
MSCI’s broadest index of Asia-Pacific shares outside Japan put on 0.2 percent in early trade, adding to a 1.3 percent rise on Monday. Japan's Nikkei climbed 0.8 percent and South Korea 0.6 percent, while E-mini futures for the S&P 500 firmed 0.1 percent.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 32.5 points or 0.3 percent. Nifty futures were trading around 10,902-level on the Singaporean Exchange.
Brent leads crude prices higher as Norway oil workers prepare to strike
Oil prices rose on Tuesday on escalating concerns about potential supply shortages, with Brent crude leading the way as hundreds of oil workers in Norway are set to strike later in the day after failed wage talks.
Brent crude had added 25 cents, or 0.3 percent, to USD 78.32 per barrel following a 1.2-percent climb on Monday. US light crude futures were up by 17 cents, or 0.2 percent, at USD 74.02. They gained 5 cents to settle at USD 73.85 a barrel the session before.
RBI raises Centre's WMA advances to Rs 70K cr for Q2
The Reserve Bank has set the 'ways and means advances' (WMA) limit at Rs 70,000 crore for the central government for the July-September quarter, up from Rs 60,000 crore in the previous quarter. 'WMA' are temporary advances given by the RBI to the government to tide over any mismatch in receipts and payments.
"It has been decided, in consultation with the Government of India, that the limits for Ways and Means Advances (WMA) for the second quarter of the financial year 2018-19 (July 2018 to September 2018) will be Rs 70,000 crore," the RBI said in a statement.
Hiring activity sees 9% rise in June: Report
Hiring activity registered nine percent rise in June driven by significant growth in real estate, automobile and telecom sectors, says a report. Naukri Job Speak Index for June 2018 stood at 2,047, registering 9 percent rise compared to the previous year when it stood at 1,885.
“Non-IT sectors viz auto, auto ancillary, real estate, construction and BFSI continue to lead the growth. We can expect the job market to be cautiously optimistic and move further north in the months to come,” Naukri.com chief sales officer V Suresh said.
GST rules set to get easier as big changes in laws on anvil
A panel comprising government officials has proposed 46 categories of amendments in GST-related laws, with a broader idea to reduce compliance burden, simplify the indirect tax system and bring more entities under the tax net.
Amendments such as the omission of liability to pay tax on the reverse charge, enabling new return filing procedures, allowing more service providers to opt for composition scheme, among others has been suggested. These recommendations are open for public comments till July 15.
Rupee advances 15 paise to 68.72 on weak dollar
The rupee today appreciated further by 15 paise against the US dollarNSE 3.55 % to close at 68.72 on sustained dollar selling by exporters and banks amid a stellar rally in local equities and losses in the greenback.
In the cross currency trade, the rupee bounced back against the euro to settle at 80.53 from 80.69 and also edged higher against the Japanese yen to finish at 62.24 per 100 yens as compared to 62.27 last weekend.
US-China trade war to impact FPI inflows: BofAML
The US-China trade war will impact foreign investment into the country, and the Reserve Bank of India (RBI) will have to sell foreign currencies to defend the rupee at the 69 level to a dollar, a report said yesterday.
"We expect the US-China trade war to further discourage FPI (foreign portfolio investment) flows, although the direct real impact will be limited with exports just 12 percent of GDP," brokerage Bank of America Merill Lynch said in a note. Domestic impact of the trade war will be felt more in the financial markets, it said, adding that the situation is akin to the 2008 global financial crisis.
Telecom ministry clears Idea-Vodafone merger with conditions
The Department of Telecommunications (DoT) on Monday approved the merger of Vodafone India and Idea Cellular that will create the country's largest mobile services operator, an official source said. "DoT has cleared the Vodafone-Idea merger today. They will have to meet conditions for final approval,” the source said.
The department has asked Idea Cellular to pay Rs 3,926 crore in cash for Vodafone spectrum and furnish a bank guarantee of Rs 3,342 crore, the source further said. The combined operations of Idea and Vodafone will create the country's largest telecom operator worth over USD 23 billion (or over Rs 1.5 lakh crore), with a 35 percent market share and a subscriber base of around 430 million.
TCS to report Q1 results today
India’s largest information technology company Tata Consultancy Services will report first-quarter earnings Tuesday, and a majority of the analysts expect the firm to continue its strong performance.
Analysts will watch for commentary on the demand outlook for calendar 2018 budgets, especially for BFS. “However, keenly watched will be the commentary on BFS recovery, green shoots of which were cited in the previous quarter,” said analysts at Motilal Oswal in a note to clients.
IndusInd Bank to report Q1 numbers today
IndusInd Bank is set to kick-off the earnings season for the banking sector on Tuesday. The Romesh Sobti-led bank, run by the Hinduja Group, is likely to report a 21 percent year-on-year growth in net profit at Rs 1,014.7 crore in the April to June quarter as compared to Rs 836.5 crore profit in the same period last year, according to a Reuters poll estimate.
Motilal Oswal expects synergies from the merger of IndusInd Bank with Bharat Financial Inclusion to help net profit grow over 46 percent. This will be the bank’s 41st quarter and profit is expected to rise on the back of healthy interest income and loan growth driven by retail loans.
Lodha Developers gets Sebi's go-ahead for Rs 5,500-cr IPO
Realty major Lodha Developers has received markets regulator Sebi's go-ahead to launch Rs 5,500 crore initial public offering. The company, which had filed preliminary papers with Sebi in April seeking approval to float an initial share-sale, got the regulator's "observations" on July 6, as per the latest update with the markets watchdog.
The approval paves way for the second biggest IPO in the real estate sector after DLF which had raised close to Rs 9,200 crore in 2007 though it initial share-sale offer.
1 stock under ban period on NSE
Securities in ban period for the next day's trade under the F&O segment includes companies in which the security has crossed 95 percent of the market-wide position limit.
For July 10, IDBI is present in this list.
With inputs from Reuters & other agencies
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