Benchmark indices snapped their winning streak of four consecutive sessions on January 15 as investors embarked on profit-booking after the December quarter numbers of some banks dented sentiments.
The market traded volatile and finally settled marginally lower, taking a pause after the recent surge. The bias was negative from the beginning due to weak Asian cues ahead of the US-China trade deal. Also, the decline in the banking pack further dragged the index lower.
Sensex closed 80 points, or 0.19 percent, down at 41,872.73, while Nifty finished 19 points, or 0.15 percent, lower at 12,343.30.
According to the pivot charts, the key support level for Nifty is placed at 12,296.33, followed by 12,249.37. If the index moves up, key resistance levels to watch out for are 12,372.73 and 12,402.17.
Nifty Bank closed 0.77 percent down at 31,824.90. The important pivot level, which will act as crucial support for the index, is placed at 31,663.17, followed by 31,501.43. On the upside, key resistance levels are placed at 31,993.77 and 32,162.63.
Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines across news platforms which could impact Indian as well as international markets:
The Dow ended above 29,000 for the first time on Wednesday and the S&P 500 also closed at a record high after the United States and China signed a Phase 1 trade agreement and pledged to resolve a tariff dispute that has roiled Wall Street for over a year.
The Dow Jones Industrial Average rose 0.31% to 29,030.22 points, ending above 29,000 for the first time. The S&P 500 gained 0.19% to 3,289.3, its highest ever close. The Nasdaq Composite added 0.08% to 9,258.70, just short of its record high close set on Monday.
World stocks inched to a record high on Thursday after the United States and China signed a deal to defuse their 18-month trade war, which has weighed on global economic growth and hampered investments.
MSCI’s broadest index of world stocks firmed 0.04% in early trade after closing at record level on Wednesday while its index on Asia-Pacific shares outside Japan rose 0.10%. Japan's Nikkei rose 0.14% while Australian shares were 0.6% higher.
Trends on SGX Nifty indicate a flat opening for the broader index in India, with a 8.5 points loss or 0.07 percent. The Nifty futures were trading around 12,351-level on the Singaporean Exchange.
Oil prices rise as China agrees to more US energy purchases
Oil prices rose on Thursday, propelled higher by the long-anticipated signing of an initial trade deal between Washington and Beijing that sets the stage for a potentially huge increase in energy supplies from the United States to China.
Brent was 33 cents, or 0.5%, higher at $64.33 a barrel by 0118 GMT, while US crude was up by 28 cents, or 0.5%, at $58.09 a barrel.
Rupee settles 5 paise higher at 70.82 against US dollar
The rupee pared its early losses to settle 5 paise higher at 70.82 against the US dollar on Wednesday, ahead of the signing of phase 1 trade agreement between the US and China. Forex traders said market participants traded cautiously ahead of the signing of the first phase of the much-anticipated US-China trade deal.
At the interbank foreign exchange, the rupee opened on a weak note at 71.01 against the US dollar. The local unit, however, pared the early losses and after witnessing a high of 70.80. Finally, it closed at 70.82 against the US dollar, higher by 5 paise over its previous closing.
Govt likely to take more steps to deal with financial sector problem: NITI Aayog's Rajiv Kumar
The government is likely to take more measures to deal with the problem of financial sector, NITI Aayog vice chairman Rajiv Kumar said on January 15. Speaking at the book release of former Sebi chairman U K Sinha, Kumar said this is a very different type of situation that the country facing.
"Credit markets are jammed. It continues despite government's best efforts in the sense of assuring people...I believe some other steps are now in pipeline for further such adverse impact not to take place.
Jewellery sector seeks reduction in gold customs duty to 6%
Ahead of the Budget, gems and jewellery industry has sought reduction in import duty on gold to 6 per cent and on cut and polished diamonds to 2.5 per cent to revive the sector. "The high duty of 12.5 per cent on gold coupled with the goods and services tax has made buying jewellery very costly, affecting consumer demand.
After the Budget last year, we have met the finance minister several times and we are positive that the government will look into the industry plight and reduce the customs duty to 6 per cent," All India Gem and Jewellery Domestic Council (GJC) Chairman Anantha Padmanaban said.
Michael Patra takes over as RBI Deputy Governor, central bank rejigs portfolios
The Reserve Bank of India (RBI) on January 15 said that Michael Debabrata Patra took over as Deputy Governor at the central bank for a period of three years. He replaces Viral Acharya who quit the post six months before end of his three-year term. Prior to this appointment, Patra was Executive Director at RBI.
Patra will be looking after Monetary Policy Department, Financial Stability Unit, Financial Markets Operations Department, Financial Markets Regulation Department, Department of Economic & Policy Research, Department of Statistics & Information Management and Corporate Strategy & Budget Department.
Trade deficit narrows in Dec 2019, exports dip for fifth month in a row
The country's exports contracted for the fifth month in a row by 1.8 per cent in December 2019 to $27.36 billion, according to data released by the commerce ministry on January 15.
Imports too declined by 8.83 per cent $38.61 billion, bringing down the trade deficit to $11.25 billion during the month under review. The trade deficit during December 2018 was $14.49 billion.
FII and DII data
Foreign institutional investors (FIIs) bought shares worth Rs 279.53 crore, while domestic institutional investors (DIIs) sold shares of worth Rs 648.34 crore in the Indian equity market on January 15, provisional data available on the NSE showed.
Stock under F&O ban on NSE
Yes Bank is under the F&O ban for January 16. Securities in the 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 agencies