Sensex and Nifty registered record closing highs on Wednesday, November 27.
Renewed buying interest was seen towards the end of the session that pushed Nifty beyond the daily upper Bollinger Band. Experts think the Bands are now about to get into an expansion phase. This will assist the price action on the way up.
According to the pivot charts, key support level for Nifty is placed at 12,065.63, followed by 12,030.57. If the index continues moving up, key resistance levels to watch out for are 12,125.33 and 12,149.97.
Nifty Bank closed 0.50 percent up at 31,875.95. The important pivot level, which will act as crucial support for the index, is placed at 31,768, followed by 31,660.1. On the upside, key resistance levels are placed at 31,950.3 and 32,024.7.
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:
US Markets
The US dollar rose and a gauge of global equities pushed closer to an all-time high on Wednesday after a batch of US economic data brightened the economic outlook and investors remained bullish on prospects for a US-China trade accord.
The Dow Jones Industrial Average rose 42.32 points, or 0.15%, to 28,164. The S&P 500 gained 13.11 points, or 0.42%, to 3,153.63 and the Nasdaq Composite added 57.24 points, or 0.66%, to 8,705.18.
Asian Markets
Asian share markets wobbled on Thursday as concerns that tensions over Hong Kong could stymie a US-China trade deal cast a pall over Thanksgiving cheer from unexpectedly positive US economic data.
MSCI's broadest index of Asia-Pacific shares outside Japan was little changed in early trade, while Japan's Nikkei flitted in and out of positive territory. Australia’s S&P/ASX 200 touched a record intraday high in early trade, and was up 0.3%.
SGX Nifty
Trends on SGX Nifty indicate a negative opening for the broader index in India, with a 14 points loss or 0.12 percent. The Nifty futures were trading around 12,110-level on the Singaporean Exchange.
Oil drops as US inventory build, record output rekindles supply worries
Oil prices fell on Thursday, extending losses from the previous session after official data showed US crude and gasoline stocks rose against expectations and production hit a record.
Brent crude futures were down 16 cents, or 0.3%, at $63.90 a barrel by 0141 GMT, having dropped 0.3% on Wednesday. US West Texas Intermediate crude fell 21 cents, or 0.4%, to $57.90, after falling 0.5% in the previous session.
Govt chalks out plan for Rs 100 lakh cr investment in infra over 5 years: Piyush Goyal
The Centre has chalked out a plan envisaging an investment of Rs 100 lakh crore in the infrastructure sector over the next five years, Union Minister Piyush Goyal said on Wednesday.
"The investment will transform availability and quality of infrastructure at airports, roads, highways, railways, ports... All infrastructure-related sectors (aviation, shipping, electricity, and oil & gas) are going to see a huge thrust in the next five years," Goyal said.
Auto industry problems essentially derived from SC order to upgrade to BS-VI: FM
Finance Minister Nirmala Sitharaman on November 27 said the automobile industry's problems are essentially derived because of the Supreme Court's order to upgrade to BS-VI emission norms, thereby resulting into a churn in the sector. Sitharaman, while speaking in the Rajya Sabha, said the auto sector is among the industries that are facing headwinds but have responded to the challenges.
"The problem in the automobile sector was essentially derived because of the emission orders which came from the Supreme Court which said BS-IV should be done away with and with two years' time given BS-VI standards should come into place," the finance minister said during a discussion on economic situation.
She further said the government also took a considered decision that from BS-IV emission standards, the country should go directly to BS-VI norms, which come into play from April 1, 2020.
Rupee settles 15 paise higher at 71.35 against US dollar
The Indian rupee settled 15 paise higher at 71.35 against the US dollar on November 27, as gains in domestic equities and sustained foreign fund inflows strengthened investor sentiments. Forex traders said the rupee appreciated for the second straight day on foreign inflows in primary as well as secondary equity market.
At the interbank foreign exchange market, the rupee opened strong at 71.43 against the US dollar. During the day, the domestic unit fluctuated between a high of 71.30 and a low of 71.48.
US third-quarter GDP growth revised up to 2.1%
US economic growth picked up slightly in the third quarter, rather than slowing as initially reported, amid a stronger pace of inventory accumulation and a less steep decline in business investment. Gross domestic product increased at a 2.1% annualized rate, the Commerce Department said in its second estimate of third-quarter GDP on Wednesday. That was up from the 1.9% pace estimated last month.
The economy grew at a 2.0% pace in the April-June period. Economists polled by Reuters had forecast third-quarter GDP growth would be unrevised at 1.9%.
Trai moots idea of tariff calculator, more transparent disclosures
Telecom regulator TRAI on November 27 invited public views on enhancing transparency in disclosure of phone services rates and mooted an idea of introducing tariff calculator to help customers find the best plans to suit their usage.
Telecom Regulatory Authority of India (TRAI) has sought views on higher transparency in details of unlimited data plans, where promised speed is provided only up to a certain level of usage and information is concealed in service thereafter.
"The transparency in communication is not only relevant to ensure that consumers benefit from the access to critical information regarding the product/service but also to maintain and increase the competition intensity, vital for growth and development of the sector," TRAI said in its consultation paper on transparency in publishing of tariff offers.
Sebi lays guidelines for listed REIT, InvIT on preferential issue, institutional placement
Markets regulator Sebi on November 27 came out with a framework pertaining to preferential issue as well as institutional placement of units by a listed REIT and InvIT. In a circular, the regulator has specified manner of issuance of units under preferential issue as well as institutional placement by listed real estate investment trust (REIT) and infrastructure investment trust (InvIT) and lock-in period.
Sebi said the issuer will have to disclose objects of the issue, related-party transactions, valuation, financial details, review of credit rating and grievance redressal mechanism in the placement document.
TRAI unlikely to intervene in tariffs, floor price for now: Sources
With large telecom operators planning a rate hike in coming days, TRAI is unlikely to make an immediate intervention on tariff issues, including fixation of any floor price as of now despite industry's demands, sources said. Sources aware of TRAI's views on the issue said that making any fresh move on floor prices or intervention does not make sense at this point, given that operators have already announced plans to hike tariffs in coming days.
Sources said any move by TRAI now may "derail" the process that has been initiated at the operators' end. The regulators considers intervention to be the "last resort".
There won't be any recession ever, FM Nirmala Sitharaman says while acknowledging slow economic growth
Finance Minister Nirmala Sitharaman, on November 27, said that economic growth might have slowed down but there was no impending threat of a recession. She said this in response to a discussion in the Rajya Sabha on the economic situation of the country.
"Growth may have come down, but not a recession yet, and won't be a recession ever," FM Sitharaman said.
Defending the current state of the Indian economy, the finance minister said that every step that had been taken by the government was aimed at development. She cited macro-economic data to draw a comparison between the growth situation between the five years from 2009 to 2014 under the UPA-II government and the next five years under the BJP-led NDA regime.
Investors pump Rs 24,000 cr in equity mutual funds in July-Sept: Report
Investors pumped nearly Rs 24,000 crore in equity mutual funds during July-September quarter this year, a surge of 35 per cent from the preceding quarter, mainly due to the rollback of FPI surcharge, corporate tax cut and anticipation of more reforms, according to a report. The inflow pushed the asset base of equity mutual funds (MFs) to Rs 7.24 lakh crore by September-end from Rs 7.23 lakh crore at the end of June.
According to a Morningstar report, equity category witnessed flows to the tune of Rs 23,874 crore in September quarter as compared to an inflow of Rs 17,680 crore in June quarter. Over 25 percent (more than Rs 6,000 crore) of the net flows have been directed toward the large-cap category as investors preferred to put money in the top 100 stocks by market capitalisation because the segment has been the most resilient over the past year.
FII & DII data
Foreign institutional investors (FIIs) bought shares worth Rs 42.93 crore, while domestic institutional investors (DIIs) also bought shares of worth Rs 439.51 crore in the Indian equity market on November 27, provisional data available on the NSE showed.
Stock under F&O ban on NSE
Yes Bank is under the F&O ban for November 28. 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
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