Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 41 points or 0.35 percent.
The extended selling pressure in late trade dented market sentiment on July 18. The Nifty broke below the crucial support level of 11,600 dragged by weakness across sectors and global trade war worries.
After a two-day rally, the BSE Sensex plunged 318.18 points to 38,897.46 while the Nifty 50 slipped 90.60 points to 11,596.90, forming a bearish candle resembling a Bearish Belt Hold kind of formation on the daily scale. The negative chart pattern and similarity of the reversal pattern indicate more pain ahead for the market, experts feel.
The broader markets also corrected sharply with the Nifty Midcap and Smallcap indices falling 1.7 percent and 1 percent, respectively.
According to the pivot charts, the key support level is placed at 11,560.47, followed by 11,524.03. If the index starts moving upward, the key resistance levels to watch out are 11,655.27 and 11,713.63.
The Nifty Bank closed at 30,430.60, down 304.90 points on July 18. The important pivot level, which will act as crucial support for the index, is placed at 30,283.03, followed by 30,135.46. On the upside, key resistance levels are placed at 30,673.73, followed by 30,916.87.
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 stocks moved higher on Thursday after a slow start as comments from New York Fed President John Williams helped cement expectations for an interest rate cut from the US central bank at the end of the month.
The Dow Jones Industrial Average rose 3.12 points, or 0.01%, to 27,222.97, the S&P 500 gained 10.69 points, or 0.36%, to 2,995.11 and the Nasdaq Composite added 22.04 points, or 0.27%, to 8,207.24.
Asian stocks gained and the dollar sagged on Friday after a top Federal Reserve official all but cemented expectations of a US interest rate cut later this month.
Australian stocks added 0.4%, South Korea’s KOSPI rose 0.8% and Japan’s Nikkei advanced 1%. MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.3%, squaring the previous day’s losses.
Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 41 points or 0.35 percent. Nifty futures were trading around 11,643-level on the Singaporean Exchange.
Rupee settles 15 paise down at 68.97 vs USD
The rupee depreciated by 15 paise to close at 68.97 against the US dollar July 18, amid heavy selling in domestic equities and rising crude oil prices. The rupee opened on a positive note but failed to sustain the gains and settled for the day in the negative territory. This is the third straight day of fall for the rupee, during which it has lost 43 paise.
Forex traders said, foreign fund outflows and weak Asian currencies weighed on the local unit. At the interbank foreign exchange (forex) market, the domestic currency opened at 68.76 per dollar, but lost ground during the day and finally settled at 68.97, down 15 paise over its previous close.
Oil rises after US Navy destroys Iranian drone
Oil prices rose more than 1 percent on Friday after the US Navy destroyed an Iranian drone in the Strait of Hormuz, a major chokepoint for global crude flows, again raising tensions in the Middle East.
Brent crude futures were up 82 cents, or 1.3%, at $62.75 by 0100 GMT. They closed down 2.7% on Thursday, falling for a fourth day. West Texas Intermediate crude futures firmed 61 cents, or 1.1%, at 55.91. They fell 2.6% in the previous session.
SEBI moots stricter disclosures on auditor resignation
Markets regulator Sebi July 18 proposed stricter disclosures, including detailed reasons, on resignation of auditors, amid rising instances of auditors quitting companies. Besides, an auditor would have to provide appropriate disclaimer in case of auditor's resignation is due to non-receipt of information from the company concerned.
The regulator also proposed to further strengthen and clarify the role of audit committees of the listed firms. Sebi came out with proposals as it found that resignation of an auditor before completion of the audit of financial results for the year hampers investor confidence and leaves investors with lack of reliable information for making their financial decisions.
Dollar under pressure after Fed fuels bets on large rate cut
The dollar was on the defensive on Friday after Federal Reserve officials bolstered expectations of an aggressive rate cut this month to address weakening price pressures.
At a central banking conference on Thursday, New York Fed President John Williams argued for pre-emptive measures to avoid having to deal with too low inflation and interest rates.
The dollar stood at 107.42 yen up 0.15% in early trade, having hit a three-week low of 107.21 on Thursday while the euro also slipped 0.15% to $1.12555 from $1.1282. On the week, the dollar is down 0.4% versus the yen and almost flat on the euro.
HDFC m-cap tops Rs 4-lakh cr mark
The market valuation of Housing Development Finance Corporation (HDFC) has crossed the Rs 4-lakh crore mark after a rally in its share price. At the close of trade on Thursday, the market capitalisation (m-cap) of mortgage lender HDFC was at Rs 4,04,384.68 crore on the BSE.
Shares of HDFC rose by 2.52 percent to close at Rs 2,343.85 apiece on the BSE. During the day, it gained 3 percent to Rs 2,357 - its record high.
30 companies to report June quarter numbers today
As many as 30 companies will report their results for June quarter later today which include names like Dabur India, RIL, Bandhan Bank, Hindustan Zinc, L&T Finance Holdings, and Unitech among others.
Five stocks under F&O ban period on NSE
For July 19, DHFL, IDBI Bank, Reliance Capital, Reliance Infrastructure and Tata Elxsi are under the F&O ban period. Securities in ban period under the F&O segment include companies in which security has crossed 95 percent of the market-wide position limit.With inputs from Reuters & other agenciesGet access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.