Bears finally and decisively took charge of Dalal Street Thursday with the Nifty50 extending early losses and breaking the psychological 11,300-mark on profit booking.
The index closed sharply lower, forming 'Bearish Belt Hold' pattern on the daily candlestick chart. Weak global cues amid renewed trade war concerns dented market sentiment.
The 50-share NSE Nifty after opening at 11,328.90 which was also an intraday high traded sharply lower to break the 11,300-mark and hit an intraday low of 11,234.95.
The index closed 101.50 points lower at 11,244.70, but the broader markets outperformed frontliners with the Nifty Midcap index rising 0.1 percent. India VIX moved up by 0.45 percent at 12.58. Overall lower volatility suggests that bulls are likely to hold the market on declines near to major support zones.
According to Pivot charts, the key support level is placed at 11,210.17, followed by 11,175.63. If the index starts moving upwards, key resistance levels to watch out are 11,304.07 and 11,363.43.
The Nifty Bank index closed at 27,355.95, down 240.65 points on Thursday. The important Pivot level, which will act as crucial support for the index, is placed at 27,293.24, followed by 27,230.57. On the upside, key resistance levels are placed at 27,453.24, followed by 27,550.57.
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.
S&P 500, Nasdaq rise as Apple hits $1 tn mark
Technology stocks pushed the S&P 500 and Nasdaq higher on Thursday, driven by Apple shares as the iPhone maker became the first publicly traded US company worth a trillion dollars.
The Dow Jones Industrial Average fell 7.66 points, or 0.03 percent, to 25,326.16, the S&P 500 gained 13.86 points, or 0.49 percent, to 2,827.22 and the Nasdaq Composite added 95.40 points, or 1.24 percent, to 7,802.69.
Asia stocks restrained, dollar at 2-week high as trade war saps confidence
Asian stocks were steady on Friday, with gains from the tech-led rise on Wall Street capped by the latest exchange of trade threats between Beijing and Washington, while safehaven flows lifted the dollar to a two-week high.
MSCI’s broadest index of Asia-Pacific shares outside Japan inched down 0.03 percent. Japan's Nikkei added 0.25 percent and South Korea's KOSPI edged up 0.32 percent, drawing some support from overnight gains by US stocks.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 44.5 points or 0.39 percent. Nifty futures were trading around 11,322-level on the Singaporean Exchange.
India likely to postpone raising tariffs on US goods
India plans to delay the imposition of retaliatory duties on US goods, the trade ministry said on Thursday, to allow time to resolve disputes that worsened after President Donald Trump imposed tariff hikes on steel and aluminium.
In June, New Delhi, incensed by Washington's refusal to exempt it from these new tariffs, announced it would raise import tax on some US products including almonds, walnuts and apples. An Indian commerce ministry spokesman said the government proposed to put the new tariffs, which were due to go into effect on August 4, on hold.
Trade differences between India and the United States have been rising since Trump took office. Bilateral trade rose to $115 billion in 2016, but the Trump administration wants to reduce its $31 billion deficit with India, and is pressing New Delhi to ease trade barriers.
Apple hits $1 tn stock market valuation
Apple Inc became the first USD 1 trillion publicly listed US company on Thursday, crowning a decade-long rise fueled by its ubiquitous iPhone that transformed it from a niche player in personal computers into a global powerhouse spanning entertainment and communications.
The tech company's stock jumped 2.8 percent to as high as USD 207.05, bringing its gain to about 9 percent since Tuesday when it reported June-quarter results above expectations and said it bought back USD 20 billion of its own shares.
Oil edges lower as supply concerns return
Oil prices edged lower on Friday after strong gains the previous day, easing on persistent supply concerns as Russia increased production in July and Saudi Arabia cut the price of crude for its Asian customers.
Brent crude futures were down 13 cents, or 0.2 percent at USD 73.32 a barrel by 0052 GMT, after rising 1.5 percent on Thursday. US crude was off by 5 cents at USD 68.91, after gaining nearly 2 percent in the previous session.
Bank of England raises rates above crisis lows, signals no rush for next hike
The Bank of England pushed interest rates above their financial crisis lows on Thursday, but signalled it was in no hurry to raise them further as Britain heads for Brexit next year with no clear plan for leaving the European Union.
The BoE's nine rate-setters were unexpectedly unanimous in their vote to raise rates to 0.75 from 0.50 percent, the level at which they have spent most of the past decade, apart from a period after the 2016 Brexit vote when they were cut even lower. Economists polled by Reuters had mostly expected a 7-2 vote in favour of a hike.
India's real interest rates will fall 150 bps between 2020 and 2030: IMF
Real interest rates in India may drop by more than 150 basis points over the next decade, the International Monetary Fund has said in a report. A decline in the India's dependent youth (those from ages 0-15 years) between 2020 and 2030 is expected to result in a reduction of long-term interest rates in the country.
The working paper, titled "Demographics and Interest Rates in Asia", stated that there are three key factors that affect domestic interest rates -- the degree of openness in an economy, the state of ageing, and the rate of ageing of the country's population.
Rupee plunges 27 paise, hits 1-week low of 68.70 vs USD
The rupee sank 27 paise to close at a one-week low of 68.70 against the US dollar yesterday amid a ratcheting up of global trade war rhetoric. Sentiment turned fragile after US officials confirmed a proposal to raise tariffs on USD 200 billion worth of Chinese imports from 10 percent to 25 percent.
Earlier, the rupee resumed higher at 68.37 against Wednesday's close of 68.43 at the Interbank Foreign Exchange (forex) market. It later strengthened to a fresh one-month high of 68.26 on heavy dollar unwinding, well supported by falling crude prices.
82 companies to report June quarter numbers today
As many as 82 companies will report their results for the quarter ended June on Friday which include companies like Berger Paints, Bharat Gears, Den Networks, JBF Industries, Bank of Maharashtra, Manglam Cement, Nestle India, SAIL, Shipping Corp, SJVN, Titan Company, and VIP Industries among others.
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 August 3, Adani Power is present in this list.
With inputs from Reuters & other agencies
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
