The Nifty50 after opening above psychological 11,000-mark hit a fresh five-month high following strong global cues, but saw some profit booking in later part of the session on Thursday.
The index formed a ‘Shooting Star’ kind of pattern on the daily charts. Traders turned cautious ahead of June retail inflation and May industrial output data due later in the day.
The BSE Sensex surpassed its previous life time high of 36,443 and made a new record high of 36,699 levels intraday, before ending at all-time closing high of 36,548.41 (up 282.48 points).
The Nifty50 after opening at 11,006.95 rallied 130 points to hit a fresh five-month high of 11,078.30, but traders preferred to book some profits in later part of the session. It closed 74.90 points higher at 11,023.20 and is 148 points away from its all-time high of 11,171.55 seen in January.
Some profit booking at higher levels made traders cautious about coming sessions. Hence the index needs to hold 11,000-mark for further uptrend but if it falls below that level, then there could be some selling pressure, experts said.
According to Pivot charts, the key support level is placed at 10,989.17, followed by 10,955.13. If the index starts moving upwards, key resistance levels to watch out are 11,067.77 and 11,112.33.
The Nifty Bank index closed at 27,026.55, up 210.35 points on Thursday. The important Pivot level, which will act as crucial support for the index, is placed at 26,920.2, followed by 26,813.8. On the upside, key resistance levels are placed at 27,148.9, followed by 27,271.2.
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 bounces back led by technology, industrials
US stocks climbed on Thursday as top technology names hit record highs and industrials rebounded from losses driven by trade worries the day before. The Dow Jones Industrial Average rose 224.44 points, or 0.91 percent, to 24,924.89, the S&P 500 gained 24.27 points, or 0.87 percent, to 2,798.29 and the Nasdaq Composite added 107.31 points, or 1.39 percent, to 7,823.92.
Asian shares extend recovery
Asian shares were higher on Friday following gains on Wall Street overnight, as concerns over an escalating US trade war with China took a breather. MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.2 percent, building on a 0.6 percent rise on Thursday, after US stocks ended the day higher.
Australian shares also gained 0.2 percent, while Japan's Nikkei stock index was 1.2 percent higher.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 12 points or 0.11 percent. Nifty futures were trading around 11,035-level on the Singaporean Exchange.
No trade talks unless US 'takes gun off' China's head: Beijing
The United States should "take the gun off" China's head and start keeping its word in order to have useful talks on ending a trade war, Beijing's deputy commerce minister said today.
Wang Shouwen, representing China during the country's policy review at the World Trade Organization this week, noted that the US "started the war" which has seen escalating threats to slap reciprocal tariffs on goods worth hundreds of billions of dollars. "We have had talks and those talks produced good progress but this progress was ignored by one party and that party went ahead with a trade war," Wang told reporters in Geneva.
Retail inflation touches 5-month high, factory output slows
India’s retail inflation grew 5 percent in June, a five-month high, from May’s 4.87 percent on the back of rising fuel prices, data released by statistics office showed. Consumer food price inflation, a metric to gauge changes in monthly kitchen costs, growth slowed to 2.91 percent in June from 3.10 percent in May, but still increased from (-)2.12 percent in June 2017.
“Although the CPI inflation rose to 5 percent in June 2018, led by fuel and light, miscellaneous items, and clothing and footwear, it nevertheless came in well below market expectations of 5.3 percent, offering some relief in terms of the immediate outlook for the inflation trajectory and bond yields," Aditi Nayar, Principal economist at ICRA said in a note.
Donald Trump in London on his maiden UK visit
US President Donald Trump arrived in London today on his maiden visit to the UK during which he will hold bilateral talks with British Prime Minister Theresa May over closer post-Brexit ties, amid mass protests planned around Britain against his controversial policies.
Trump's visit to the UK, the 12th US President to make such a tour, comes amid what he described as "turmoil" for the UK government, as Prime Minister May faces down rebellion from within her own party over her Brexit strategy.
Brent oil rises on concerns about spare capacity
Brent crude strengthened late on Thursday, recouping some of its losses from the previous session, as market focus returned to concerns about spare capacity following a warning from the International Energy Agency (IEA).
Brent crude oil gained USD 1.05 a barrel to settle at USD 74.45, rebounding from a session low of USD 72.67. On Wednesday, the global benchmark slumped USD 5.46, or 6.9 percent, its biggest one-day fall in two years. US crude settled down 5 cents at USD 70.33 a barrel, after losing 5 percent the previous session.
Rupee climbs to 1-week high
The rupee yesterday surged by 20 paise to end at a one-week high of 68.57 against the US dollar buoyed by a steep fall in crude prices and a strong rally in equity markets. It touched a high of 68.50 in early trade.
The rupee opened higher at 68.67 against last close of 68.77 at the Interbank Foreign Exchange (forex) market on sustained selling of the greenback by banks and exporters. It later marched ahead to hit a session high of 68.50 in mid-afternoon deals before ending at 68.57, revealing a healthy gain of 20 paise, or 0.29 percent.
Sebi bars stock brokers from accepting cash from clients
Sebi yesterday barred stock brokers from directly accepting cash from their clients as it looks to promote digital payments. Besides, stock brokers are not permitted to receive cash deposits in their bank accounts from clients.
"In view of the various modes of payment through electronic means available today, it is directed that stock brokers shall not accept cash from their clients either directly or by way of cash deposit to the bank account of stock broker," the regulator said in a circular.
HCL Tech announces Rs 4K cr buyback at Rs 1,100 per share
HCL Technologies Thursday said it would buyback fully paid up equity shares of the company, amounting to Rs 4,000 crore at Rs 1,100 per share. The buyback is for up to 3.63 crore fully paid up equity shares representing 2.61 percent of the total shares of the company.
The buyback is at a premium of 9.4 percent to HCL Technologies' closing price on Thursday. Analysts were largely expecting HCL's buyback to be nearly equal to the Rs 3,500 crore it announced last year. That time, at Rs 1,000 per share, the buyback was at a premium of 17 percent to HCL's stock price.
Infosys Q1: Company likely to report 8.5% YoY rise in net profit
India's second-largest software services exporter, Infosys is expected to post 1.2-3.1 percent sequential growth in constant currency revenue in the June quarter. A Reuters poll of analysts sees profit at Rs 3,747.6 crore. Infosys is likely to report 8.5 percent YoY rise in net profit to Rs 3784.20 crore for the quarter ended June, according to estimates by Motilal Oswal.
Analysts expect the margin to decline marginally to around 23 percent because of the impact of wage hikes and increased visa costs, offset partially by a weaker rupee. Analysts largely expect Infosys to maintain constant currency revenue growth forecast of 6-8 percent for the year.
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 13, Jet Airways is present in this list.
From inputs from Reuters & other agencies
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