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The Nifty which opened with a slight gap on the higher side rose above its crucial resistance level of 9,900 on Wednesday, but failed to close above its crucial level of 9920 levels. The index has recovered by 50 percent of the entire fall from 10,178 to 9,687 and now the next hurdle is 61.80 percent retracement at 9,980-10,000 zones.
The Nifty closed at 9914.9 on Wednesday. According to Pivot charts, the key support level for Nifty is placed at 9,864.27, followed by 9,813.63. If the index starts to move higher, key resistance levels to watch out are 9,951.92, followed by 9,988.93.
The Nifty Bank closed at 24,113.3 on Wednesday. The important Pivot level which will act as crucial support for the index is placed at 24,037.87, followed by 23,962.43. On the upside, the key resistance level is 24,209.57, followed by 24,305.84.
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 extends run of record highs
US stocks edged up to extend their run of record closing highs on Wednesday as data on the services sector added to signs of strength in the economy and prospects for earnings.
The Dow Jones Industrial Average rose 19.97 points, or 0.09 percent, to end at 22,661.64, the S&P 500 gained 3.16 points, or 0.12 percent, to 2,537.74 and the Nasdaq Composite added 2.91 points, or 0.04 percent, to 6,534.63, Reuters reported.
Asian shares edge up slightly after strong US data
Asian shares were a tad firmer on Thursday, taking their cues from strong US data. Japan's Nikkei ticked up 0.1 percent. Trade is expected to remain subdued with China, Hong Kong and South Korea closed for public holidays and analysts cautioning against reading too much into index moves, Reuters reported.
SGX Nifty
The Nifty50 futures on the Singapore Stock Exchange were trading 21.50 points lower at 9926 indicating a flat opening for the domestic market.
Sebi may put default disclosure norms on backburner
Sebi may not be coming out with a circular on loan default disclosure norms any time soon as mounting pressure from banks has made the markets regulator bury it for now, sources told Moneycontrol. Banks have been petitioning the Finance Ministry and Sebi over the last couple of months against such a circular as they believe loan default disclosures will increase their provisioning burden.
Rajnish Kumar appointed SBI's next Chairman
Rajnish Kumar was announced as the new State Bank of India (SBI) Chief with a three-year-tenure on Wednesday. He has been serving as the nominee Director on the Board of SBI since April 26, 2016. Kumar had assumed charge as Managing Director (National Banking Group) on November 2, 2015, prior to which he was the Managing Director (Compliance & Risk) from May 2015.
RBI governor Urjit Patel warns of fiscal stimulus
The Reserve Bank of India (RBI) governor on Wednesday warned that the government needs to be cautious on fiscal stimulus even as the economic growth slows. The MPC warned that any economic stimulus along with farm loan waivers could push up the fiscal deficit by 1 percentage points accelerating inflation. It further said that the combined fiscal deficit to GDP ratio could increase by around 100 basis points in 2017-18.
North Korea threatens Japan with 'nuclear cloud'
North Korea's official news agency has warned Japan to stop its continuous call for pressuring Pyongyang into giving up its nuclear and missile programmes. The agency termed its neighbour’s call as “suicidal” and said that it will bring “nuclear cloud” to the country.
RBI aims to bring more transparency to lending rates
Lending rates will soon be priced in a much more transparent manner as the Reserve Bank of India aims to link the rates to an external benchmark. After the monetary policy announcement on Wednesday, the RBI said that an internal committee report on lending rates has suggested that pricing of lending rates should be switched to an external benchmark in a time-bound manner.
Government may hike import duty on wheat to 20-25%
The government is likely to raise import duty on wheat to 20-25 percent from 10 percent to curb cheap shipments and give positive price signal to farmers who will start sowing winter crop after the Diwali festival. The trade data showed that private traders imported about 8.5 lakh tonnes of wheat since April at 10 per cent import duty, The Economic Times reported.
Over 20 lakh business due to file final GST returns in 6 days
GSTN has been asked to send reminder text messages to 20 lakh businesses which are yet to submit the tax forms. The Group of Ministers asked the GST-Network to brace for the rush of last-minute filers. The last date for filing of final sales returns for July in GSTR-1 form is October 10, while the date for uploading of purchase returns in GSTR-2 is October 31, The Economic Times reported.
GIC Re valued at Rs 80k crore; $1.7 billion IPO largest in insurance
General Insurance Corporation of India (GIC Re) has been valued at Rs 80,000 crore (considering the upper band for the issue) for its upcoming initial public offering (IPO) that opens on October 11 and closes on October 13. With a Rs 11,370 crore IPO (USD 1.7 billion), this will be the second biggest in the country after Coal India in 2010.
World Bank raises Asia growth forecast
The World Bank raised its growth forecast for the developing economies of East Asia and the Pacific on Wenesday but warned that risks included rising protectionism and escalating tensions over North Korea.
In an update to its annual economic outlook, the bank forecast economic growth of 6.4 percent for the region this year, then easing to 6.2 percent in 2018, PTI reported.
Oil ministry seeks 5% cut in value added tax
Oil minister Dharmendra Pradhan said on Wednesday his ministry has asked for a 5 percent cut in additional state levy, a day after the federal government cut factory gate tax on petrol and diesel to protect retail consumers from high global crude oil prices, Reuters reported.
US lawmakers mulling fourth tax bracket for high earners
US House Speaker Paul Ryan said on Wednesday that Republican lawmakers were considering a fourth tax bracket of 35 percent to 39.6 percent for high-income earners as part of their reform plan, which initially aimed for just three tax brackets, Reuters reported.
Godrej Agrovet IPO subscribed 52% on Day 1
The initial public offer of Godrej Agrovet was subscribed 52 percent on the first day of bidding on Wednesday. The IPO to raise around Rs 1,157 crore received bids for 93,76,928 shares against the total issue size of 1,80,27,464 shares, data available with the NSE till 1730 hrs showed, PTI reported.
IT, BPO no longer job creating sectors: Jayant Sinha
Think service sector, think Information Technology; but don’t look at them for jobs, feels the government, which believes that automation and technology are the new areas that will push jobs in the market. Jayant Sinha said that India is moving towards newer ways of employment, like micro-entrepreneurship, and that such technology-driven sectors will create jobs.
Sebi hikes FPI investment limit for govt debt
Sebi on Wednesday said it has raised the FPI investment limit in central government securities to Rs 1,89,700 crore to boost inflow of foreign funds into Indian capital markets. Earlier, the limit for foreign portfolio investors (FPIs) was about Rs 1,87,700 crore. The move is part of Sebi's effort to enhance inflow from overseas investors into the country's capital markets, PTI reported.
ESMA recognises NSE and BSE's clearing arms as qualified CCP
European Securities & Markets Authority (ESMA) has certified the clearing arms of stock exchange NSE and BSE as qualified central counterparty (CCP), a move which will lower the capital requirements for European participants in the domestic markets.
A qualified CCP member is subjected to lower capital requirements/charges under the Basel III framework introduced by the Basel Committee on Banking Supervision, PTI reported.
Prataap Snacks to list on bourses on October 5
Prataap Snacks, whose initial share sale offer received robust investor demand last week, will list its shares on bourses on October 5. The Rs 482-crore initial public offer (IPO) was oversubscribed 47.39 times during September 22-26. The qualified institutional buyers (QIBs) portion was oversubscribed 76.89 times, non-institutional investors 101.15 times and retail investors 8.48 times, according to NSE data, PTI reported.
New foreign portfolio investment norms from April: RBI
The Reserve Bank of India on Wednesday said it will review the foreign portfolio investment (FPI) norms and come out with a new set of regulations, to be effective next April. The new norms will facilitate the process of investment and hedging by foreign portfolio investors, keeping in view the macro-prudential parameters, said the statement on developmental and regulatory policies by RBI, Livemint reported.
Oil slips after surprising increase in US crude exports
Oil prices fell on Wednesday after a surprising jump in US crude exports to a record 2 million barrels per day fanned worries about global oversupply. Brent fell 20 cents to USD 55.80 a barrel, Reuters reported.
Rupee rebounds to 1-wk high of 65.01; zooms 49 paise
The rupee on Wednesday staged a stellar comeback to end at a fresh one-week high of 65.01 against the US dollar with investors taking a bullish stance on the economy even as the RBI kept key rates unchanged.
Frantic unwinding of the American currency by banks and corporates along with upbeat equities predominantly weighed on the rupee trade amid broad based dollar selling in Asia, PTI reported.
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