Indian equity bourses staged
recovery to close the Thursday's trading session in green terrain, with Sensex
and Nifty reclaiming their crucial psychological levels of 38,600 and 11,550,
respectively. After cautious start, key indices traded volatile during the
whole session, affected by Federation of Indian Export Organisations' (FIEO)
statement that rising protectionism, fluctuation in commodity prices and
inadequate availability of liquidity are the three major challenges, which
exporters will face in the coming months. Investors also got worried after the
International Monetary Fund (IMF) favoured bolstering the level of
capitalisation of some banks, particularly government-owned banks, noting that
the level of non-performing loans in India remains high. Besides, the market
participants remained cautious ahead of releases of March quarter earnings and
inflation data. In the last leg of the trade, markets managed to erase their
losses and ended higher. Traders got relief with reports that the government
extended the last date for filing final sales return form GSTR-1 for March by
two days till April 13. Similarly, the due date for furnishing tax deducted at
source (TDS) return GSTR-7 for March has also been extended till April 12. The
last date for filing GSTR-1 and GSTR-7 for the month was April 11 and April 10,
respectively. Separately, Finance Minister Arun Jaitley has discussed India's
economic reforms and outlook for the future with investors in US. The street
paid no heed towards the Agricultural and Processed Food Products Export
Development Authority's (APEDA) data showing data the country's exports of
agricultural and processed food products have dipped by 2.27 per cent to $16.27
billion during the April-February period of 2018-19, on account of contraction
in shipments of buffalo meat, wheat and non-basmati rice. Finally, the BSE
Sensex gained 21.66 points or 0.06% to 38,607.01, while the CNX Nifty was up by
12.40 points or 0.11% to 11,596.70.
The US markets ended mostly lower
on Thursday as investors look ahead to the beginning of earnings season, which
unofficially kicks off on Friday. Financial giants JPMorgan Chase (JPM) and
Wells Fargo (WFC) are due to report their quarterly results before the start of
trading on Friday. Lingering uncertainty about the global economic outlook and
a potential US-China trade deal also kept traders on the sidelines. Traders
largely shrugged off a report from the Labor Department showing first-time
claims for US unemployment benefits once again slid to their lowest level in
nearly 50 years in the week ended April 6. The report said initial jobless
claims fell to 196,000, a decrease of 8,000 from the previous week's revised
level of 204,000. The continued drop surprised participants, who had expected
jobless claims to rise to 211,000 from the 202,000 originally reported for the previous
week. With the unexpected decrease, initial jobless claims fell to their lowest
level since hitting 193,000 in October of 1969. The Labor Department said the
less volatile four-week moving average also dipped to 207,000 from the previous
week's revised average of 214,000, hitting its lowest level since December of
1969. Continuing claims, a reading on the number of people receiving ongoing
unemployment assistance, also decreased by 13,000 to 1.713 million in the week
ended March 30. Meanwhile, A report released by the Labor Department showed a
spike in energy prices contributed to a bigger than expected increase in US
producer prices in the month of March. The Labor Department said is producer
price index for final demand climbed by 0.6% in March after inching up by 0.1%
in February. Street had expected prices to rise by 0.3%. Dow Jones Industrial
Average declined 14.11 points or 0.05 percent to 26143.05 and Nasdaq lost 16.89
points or 0.21 percent to 7947.36, while S&P 500 was up by 0.11 points to
2888.32.
Crude oil futures ended lower on
Thursday as a monthly report from an International Energy Agency (IEA) warned
that a slowdown in global economic growth could hurt demand for crude. That IEA
report comes a day after a monthly Organization of the Petroleum Exporting
Countries (OPEC) report showed a significant March output cut by the OPEC,
which the IEA report also affirmed. Demand for crude among countries within the
Organization for Economic Cooperation and Development, or OECD, including
Australia, Canada and Belgium, fell by 300,000 barrels a day in the fourth
quarter of 2018, marking the first quarterly demand decline for the group since
2014. Benchmark crude oil futures for May dropped $1.04 or 1.6 percent to
settle at $63.58 a barrel on the New York Mercantile Exchange. June Brent crude
declined 95 cents or 1.3 percent to settle at $70.78 a barrel on London's
Intercontinental Exchange.
Indian rupee continued its upward momentum for the third
day on Thursday, on the back of persistent selling of the American currency by
exporters. Sentiments got up-beat with IMF's statement that some reforms in
India have shown the benefits of digitalization which has also reduced the
opportunities for discretion and fraud. However, there was some cautiousness
too ahead of key domestic cues of retail inflation data and industrial
production data due tomorrow. Meanwhile, Finance Minister Arun Jaitley has
discussed India's economic reforms and outlook for the future with investors in
US. On the global front, dollar and euro were little changed on Thursday after
the Federal Reserve and the European Central Bank hinted they were willing to
leave interest rates alone amid trade tensions and signs of flagging growth.
Finally, the rupee ended at 68.92, 19 paise stronger from its previous close of
69.11 on Wednesday.
The FIIs as per Thursday's data
were net buyers in equity and debt segments both. In equity segment, the gross
buying was of Rs 6418.80 crore against gross selling of Rs 5136.25 crore, while
in the debt segment, the gross purchase was of Rs 802.86 crore with gross sales
of Rs 797.11 crore. Besides in the hybrid segment, the gross buying was of Rs
3.35 crore against gross selling of Rs 4.69 crore.
The US markets ended mostly lower
on Thursday as investors looked ahead to bank results that will kick off
first-quarter earnings season. Asian markets are trading mixed on Friday as
investor caution prevailed ahead of the release of first-quarter corporate
earnings, although stronger US economic data helped offset some concerns about
global growth. Indian equity markets ended Thursday's range-bound trading
session on flat note with positive bias, on account of neutral foreign
institutional investors (FIIs) and global sentiments. Today, the markets are
likely to make a weak start ahead of macro-economic data and March-quarter
corporate earnings amid mixed global cues. Market-men will be eyeing the macro
economic data of industrial production for February and consumer price
inflation for March to be released after the market hours. Traders will also be
looking for fourth-quarter and year end corporate earnings for the financial
year 2018-2019, with Tata Consultancy services (TCS) and Infosys reporting
quarterly results today. There will be some cautiousness with report that after
108 economists and former RBI Governor Raghuram Rajan, International Monetary
Fund's (IMF) Chief Economist Gita Gopinath expressed doubt over India's growth
rate, saying that there are still some issues with the way India calculates it.
However, some support may come later in the day with report that the Reserve
Bank of India (RBI) injected a total liquidity of Rs 2.98 lakh crore in the
market in 2018-19. From a daily net average surplus of Rs 27,928 crore during
February 1-6, 2019, systemic liquidity moved into deficit during February
7-March 31, reflecting the build-up of government cash balances. Traders may be
reacting to the RBI's data showing that foreign investment of Indian companies
grew 18 per cent to $2.69 billion in March as compared to the year-ago period.
Traders may take note of NITI Aayog and Rocky Mountain Institute (RMI) study
stating that Electric Vehicles (EVs) sold in India through 2030 can save 474
million tonne of oil equivalent, worth Rs 15.2 lakh crore over their lifetime.
There will be some buzz in the tyre industry stocks with rating agency Icra's
report that the domestic tyre demand is expected to grow in the range of 7-9
per cent over the five year period between 2018-19 to 2022-23. It added that
the market would also continue to witness investments over the period of next
three years. There will be some reaction in banking sector stocks with the
RBI's data showing that bank credit rose 13.24 percent to Rs 97.67 lakh crore
for the fortnight to March 29, while deposits grew by 10.03 percent to Rs
125.72 lakh crore during the same period.
Support and
Resistance: NSE (Nifty) and BSE (Sensex)
Index
|
Previous close
|
Support
|
Resistance
|
NSE Nifty
|
11,596.70
|
11,562.60
|
11,618.75
|
BSE Sensex
|
38,607.01
|
38,494.85
|
38,684.58
|
Nifty Top volumes
Stock
|
Volume
|
Previous close (Rs)
|
Support (Rs)
|
Resistance (Rs)
|
(in Lacs)
|
Tata Motors
|
418.60
|
218.20
|
214.60
|
220.50
|
Yes Bank
|
203.64
|
269.05
|
265.28
|
271.53
|
Vedanta
|
175.72
|
181.15
|
177.55
|
186.60
|
Bharti Airtel
|
163.93
|
346.35
|
338.58
|
352.68
|
IOC
|
151.20
|
157.95
|
155.47
|
161.12
|
HDFC Bank has partnered with Surat Police to launch a road safety initiative in the city.
L&T has purchased the entire stake held by Tamil Nadu Industrial Development Corporation in L&T Shipbuilding, a subsidiary company, on April 10, 2019.
Bharti Airtel has made a payment of over Rs 2,745.8 crore to the Department of Telecom towards its spectrum dues.
Maruti Suzuki India has introduced additional safety features in Alto K10.