What changed for the market while you were sleeping? 15 things you should know

Bulls were back at Dalal Street on Friday as the Nifty50 started the July series on a positive note, recouped all previous day's losses and closed above 10,700.

The index made a 'Long White Day' pattern on the daily charts and Hammer Candle pattern on the weekly scale.

The 50-share NSE Nifty, which opened higher at 10,612.85 gained momentum in the later part of the session. The index hit an intraday high of 10,723.05, before closing above its crucial 50-DEMA. It ended the first session of July series at 10,714.30, up 125.20 points or 1.18 percent.

The index witnessed a strong reversal from the bearish trend made in last two trading sessions but for bulls to take control, the index needs to close above 10,785 in the coming session for confirmation, experts said.

India VIX fell down by 7.26 percent at 12.93 levels. On the option front, maximum Put open interest (OI) was seen at 10,600 followed by 10,500 strike while maximum Call OI was at 11,000 followed by 10,800 strike.

According to Pivot charts, the key support level is placed at 10,643.4, followed by 10,572.5. If the index starts moving upwards, key resistance levels to watch out are 10,754.1 and 10,793.9.

The Nifty Bank index closed at 26,364.2 on Friday. The important Pivot level, which will act as crucial support for the index, is placed at 26,282.0, followed by 26,199.8. On the upside, key resistance levels are placed at 26,455.7, followed by 26,547.2.

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 ekes out gain

Wall Street's major stock indexes edged higher on Friday, as a surge in Nike Inc shares helped the quarter close out on an upswing while concerns over US international trade relations ebbed. For the quarter, the Dow, the S&P 500 and the Nasdaq all posted gains. The Dow edged up 0.7 percent, the S&P 500 rose 2.94 percent, and the tech-heavy Nasdaq jumped 6.33 percent.

Asian markets trade mixed

Asian stocks were narrowly mixed on Monday, the first trading day of the second half of the year, with trade tensions between the US and its trading partners still a key concern for investors. The Nikkei 225 slipped 0.23 percent as the consumer goods and utilities sectors logged declines.

The Kospi was little changed, with the index last trading lower by 0.06 percent while the S&P/ASX 200 edged up by 0.14 percent.

SGX Nifty

Trends on SGX Nifty indicate a flat opening for the broader index in India, a fall of 0.5 points or 0.02 percent. Nifty futures were trading around 10,691-level on the Singaporean Exchange.

FinMin weighs options for consolidation in banking sector

The Finance Ministry is dusting off merger proposals of public sector banks and has started weighing various options to create few more banks of the size of State Bank of India, sources said.

The presentation talked about advantages and challenges of merger but it also highlighted that fragmented approach of the banks is acting as an impediment in their growth. The ministry wants banks to undertake an internal exercise for the best match and come up with the merger idea for the alternative mechanism (AM) set up for the purpose.

Economy set to touch $5 tn by 2025: President Kovind

President Ram Nath Kovind yesterday said the Indian economy is set for a surge with the GDP size seen at doubling to USD 5 trillion probably by 2025. He was speaking after launching the platinum jubilee celebrations of chartered accountants' apex body ICAI.

Emphasising that adherence to fair taxation system is much more than merely providing revenue to the government, Kovind said chartered accountants are the watchdogs of public trust.

Oil falls as Saudi Arabia boosts supply

Oil prices fell on Monday, with a Reuters survey showing Saudi Arabia has boosted supplies to a near-record 10.7 million barrels per day (bpd) in a sign the world’s top crude exporter wants to make up for disruptions elsewhere.

Brent crude oil futures were at USD 78.52 per barrel down 71 cents, or 0.9 percent, from their last close. US West Texas Intermediate crude futures were down 71 cents, or 1 percent, at USD 73.44 a barrel, after rising more than 8 percent last week.

FDI growth hits 5-year low in 2017-18

Foreign direct investment (FDI) in India seems to be petering out with the inflows growth rate recording a five-year low of 3 percent at USD 44.85 billion in 2017-18. According to the latest data of the Department of Industrial Policy and Promotion (DIPP), FDI in 2017-18 grew by only 3 percent to USD 44.85 billion.

Foreign inflows in the country grew by 8.67 percent in 2016-17, 29 percent in 2015-16, 27 percent in 2014-15, and 8 percent in 2013-14. However, FDI inflows recorded a negative growth of 38 percent in 2012-13. According to experts, it is critical to revive domestic investments and further ease of doing business in the country to attract foreign investors.

India's external debt rises $58.4 bn to $529.7 bn

India's external debt stood at USD 529.7 billion at the end of March 2018, recording an increase of USD 58.4 billion year-on-year, primarily on account of a rise in commercial borrowings, short-term debt and non-resident Indian (NRI) deposits, the RBI said on June 29.

The increase in the magnitude of external debt was partly due to valuation loss resulting from the depreciation of the US dollar against major currencies, the central bank said in a statement. The external debt to GDP ratio stood at 20.5 percent at end-March 2018, higher than its level of 20.0 percent at end-March 2017,it added.

China factory growth slows in June as trade tensions rise

Growth in China's manufacturing sector slowed in June after a better-than-expected performance in May, official data showed, as escalating trade tensions with the United States fuel concerns about a slowdown in the world's second-biggest economy.

The official Purchasing Managers' Index (PMI) released on Saturday fell to 51.5 in June, from 51.9 in May, but it remained well above the 50-point mark that separates growth from contraction for a 23rd straight month. Analysts surveyed by Reuters had forecast the reading would dip marginally to 51.6.

India’s fiscal deficit reaches 55.3% of FY19 target in April-May

India reported on Friday a fiscal deficit of Rs 3.45 trillion (USD 50.37 billion) during the April-May period, or 55.3 percent of the budgeted target for fiscal year 2018-19 compared with 68.3 percent a year ago.

Net tax receipts in the first two months of FY19 were Rs 1.02 trillion, government data showed. India expects to trim the deficit to 3.3 percent of GDP in this fiscal year, after meeting an upwardly revised fiscal deficit target of 3.5 percent of GDP in 2017-18.

Forex reserves dip by $2.25 bn to $407.81 bn

India's foreign exchange reserves declined by USD 2.25 billion to USD 407.81 billion in the week to June 22 on account of fall in foreign currency assets, Reserve Bank of India (RBI) data showed. In the previous week, reserves had decreased by USD 3.04 billion to USD 410.07 billion. In the reporting week, foreign currency assets, a major component of the overall reserves, dipped by USD 2.833 billion to USD 382.499 billion, data showed.

Gold reserves rose by USD 102.9 million to USD 21.331 billion in the reporting week. The country's reserve position with the IMF also increased by USD 475.6 million to USD 2.493 billion, the apex bank said.

FPIs outflow hits 10 year high at Rs 48K cr in H1 2018

Overseas investors have pulled out nearly Rs48,000 crore from Indian capital markets in the first six months of 2018, making it the steepest outflow in a decade, following high crude oil prices and trade war worries.

They withdrew a net sum of Rs41,433 crore from the debt markets, besides, a net amount of Rs6,430 crore from equities during January-June period of the year, taking the total outflow to Rs47,836 crore, latest update with depositories showed.

BSE, BME tie-up to develop commodity derivatives markets

BSE has entered into an agreement with the Bombay Metal Exchange (BME) for the growth and systematic development of commodity derivatives markets in the non-ferrous metals complex.

The BME, with its domain knowledge and unique stakeholders ranging from importers, traders to corporates, will assist the BSE in designing new and innovative deliverable products in commodities like aluminium, copper, zinc, nickel and lead among, others, it said.

RITES, Fine Organic Industries to make stock market debut today

RITES and chemical manufacturer Fine Organic Industries will make their stock market debut today after successfully completing their initial public offerings late last week. Fine Organic Industries initial public offer was subscribed nearly 9 times, while that of RITES garnered strong investor demand, with the issue getting subscribed more than 67 times.

RITES IPO was in a price band of Rs180-185 and is the first state-owned firm to hit the IPO market in the current fiscal. Elara Capital (India), IDBI Capital Markets & Securities, IDFC Bank and SBI Capital Markets were the book running lead managers to the issue. Fine Organic’s IPO price band for the offer was fixed at Rs780-783 per share. JM Financial and Edelweiss Financial Services managed the IPO.

Delhivery plans $350 mn IPO

To survive in the ever increasing competition in the e-commerce sector, and expand its reach among the masses, a logistics startup Delhivery has decided to raise a USD 350 million initial public offering (IPO).

According to a report by Inc42, Delhivery has the backing of investment banking giants such as Goldman Sachs, Morgan Stanley, Citigroup, and Kotak to run the IPO. The Gurugram-headquartered company is looking for a valuation of approximately USD 2-2.8 billion in the IPO. It is expected that it will file its draft red herring prospectus in upcoming months.

Rupee recovers from life low, rebounds 33 paise to 68.46

After crashing to life-time lows yesterday, the rupee staged a spirited recovery to end higher by 33 paise at 68.46 against the US dollar today in line with a big relief rally in domestic equities. Propped up by heavy dollar selling intervention by the RBI, the Indian unit touched a fresh intra-day high of 68.35.

Keeping the overall bullish trend, it touched a session high of 68.35 in late morning deals on Friday before concluding at 68.46, showing a steep rise of 33 paise, or 0.48 percent. The RBI, meanwhile, fixed the reference rate for the dollar at 68.5753 and for the euro at 79.8491.

India has enough fire to deal with rupee volatility: Finmin

India has adequate reserves and firepower to deal with the current volatility in rupee, Economic Affairs Secretary S C Garg said. Stressing that the situation is better than 2013, he said basic source of rupee volatility is demand supply mismatch.

"If you expect oil prices to go up, then demand supply mismatch sharpens, it also affects the behaviour of some. If they expect rupee to depreciate, then FIIs (Foreign institutional investors) tend to behave in a certain way, its all linked so it's not isolated. We are not even certain what kind of a storm it is or even it is a storm or whether it will turn out to be a storm," he said.

Electoral bonds’ fourth tranche sale from 2-11 July

The finance ministry on Friday said the fourth tranche of electoral bonds sale will take place from 2-11 July. Electoral bonds are being pitched as an alternative to cash donations made to political parties and bring transparency in political funding.

“The State Bank of India (SBI), in the 4th phase of sale, has been authorised to issue and encash electoral bonds through its 11 authorised branches from July 2, 2018 to July 11, 2018,” the ministry said in a statement. The 11 specified SBI branches are in cities New Delhi, Gandhinagar, Chandigarh, Bengaluru, Bhopal, Mumbai, Jaipur, Lucknow, Chennai, Kolkata and Guwahati.

Auto buzz: Here's how auto cos have reported June sales

Maruti Suzuki reported a 36.3 percent increase in total sales at 1,44,981 units in June as against 1,06,394 units in the year-ago month. The firm's domestic sales stood at 1,35,662 units, up 45.5 percent from 93,263 units in June last year, it said. Sales of mini segment cars, including Alto and WagonR, witnessed a growth of 15.1 percent at 29,381 units from 25,524 units in June 2017, MSI said.

Tata Motors posted a 54 percent jump in domestic sales at 56,773 units in June. The company had sold 36,836 units in the domestic market during the same month last year, Tata Motors said in a filing to the BSE. Domestic sales of commercial vehicles (CV) in June grew by 50 percent to 38,560 units as compared to 25,660 units in June 2017.

M&M reported a 26 percent increase in total sales at 45,155 units in June. It had sold 35,759 units in the same month previous year, M&M said in a statement. In the domestic market, sales were up 23 percent to 41,689 units last month, compared to 33,904 units in June 2017. Exports also
registered a growth of 87 percent at 3,466 units as against 1,855 units in the year-ago month.

Sales of passenger vehicles, including Scorpio, XUV500, Xylo, Bolero and Verito, were up 12 percent at 18,137 units as against 16,212 units in June 2017. Medium and heavy Commercial vehicle sales were up 58 percent at 1,108 units last month against 700 units in the year-ago period, it said.

Royal Enfield, the two-wheeler division of Eicher Motors reported an 18 percent growth in total sales at 74,477 units in June. The company had sold 63,160 units in June last year, Royal Enfield said in a statement.

"Royal Enfield posted strong sales of 74,477 motorcycles in the month of June 2018, recording a growth of 18 percent over the same period last year," the statement.

ATF price cut by 2.7% on falling global rates

Aviation turbine fuel (ATF) price was cut by 2.7 percent as falling international rates brought down rates down from a four-year high. ATF or jet fuel was cut by Rs 1,942 per kilolitre, or 2.7 percent, to Rs 68,086 per kl in Delhi, according to state-owned oil firms.

The reduction comes on back of two successive monthly hikes, the last being a steep 7 percent on June 1 that took rates to four-year high of Rs 70,028 per kl in Delhi. ATF price was on May 1 was raised by Rs 3,890 per kl (6.3 percent) to Rs 61,450 per kl.

With inputs from Reuters & other agencies