D-Street poised for positive start as GIFT Nifty signals gains

Indian equity markets ended lower on Thursday as domestic headwinds outweighed supportive global cues, with broad-based selling across key sectors offsetting the relief from softer crude oil prices and easing concerns over the Strait of Hormuz. On the upside, analysts say the 24,300–24,400 zone remains a crucial resistance band for Nifty, which continues to cap recovery attempts. A sustained breakout and close above 24,400 would be required to improve the technical structure and revive the upward momentum towards higher levels.

STATE OF THE MARKETS

GIFT Nifty (Earlier SGX Nifty) signals a positive start

GIFT Nifty on the NSE IX traded higher by 65.5 points, or 0.27 per cent, at 24,263.50, signaling that Dalal Street was headed for a positive start on Friday.


Tech View: Weakness could emerge in the near term, potentially dragging the Nifty towards 23,900 and lower. On the higher end, resistance is placed at 24,200/24,350.

India VIX: India VIX, which is a measure of the fear in the markets, rose 5% to settle at 11.07 levels.

Asian shares post modest gains

US stock futures slipped, while Asian shares posted modest gains as traders held back ahead of Federal Reserve Chair Kevin Warsh’s Jackson Hole speech for clues on the path of interest rates. Treasuries held their losses.

• S&P 500 futures were little changed as of 9:49 a.m. Tokyo time
• Hang Seng futures fell 0.5%
• Japan’s Topix rose 0.7%
• Australia’s S&P/ASX 200 rose 0.3%
• Euro Stoxx 50 futures rose 0.2%

US stocks fall

Futures for the Nasdaq 100 Index fell 0.3% and those for the S&P 500 Index retreated 0.2% as initial enthusiasm about the artificial intelligence trade following Nvidia Corp.’s bullish outlook waned.

Oil prices fall

Oil prices fell on Friday and are ​on track to snap ​a two-week winning streak, despite settling higher ​in the previous session following a report that U.S. President Donald Trump is not interested in returning to previous deal terms with Iran.

Gold prices steady

Gold prices were subdued in early Asian trading on Friday, as ​markets geared up for U.S. ​Federal Reserve Chair Kevin Warsh's keenly anticipated remarks at the ​Jackson Hole symposium.

Read more: Ahead of Market: 10 things that will decide stock market action on Friday

Stocks in F&O ban today

1) SAIL

2) LIC Housing Finance

Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.

FII/DII action

Foreign portfolio investors net sold shares worth Rs 298 crore on Thursday. DIIs, meanwhile, were net buyers at Rs 4,977 crore.

Rupee

The rupee pared initial gains and settled for the day lower by 1 paise at 95.45 against the US dollar on Thursday, on a strong American currency and weak domestic markets.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)