D-Street poised for a positive start as GIFT Nifty trades firmly higher

Indian benchmark indices witnessed a volatile session on Friday, coming under sharp pressure during the initial trading hours and touching a day’s low of 23,231. Going ahead, analysts say strength above 23,500 will signal pullback towards 23,650 levels in the coming sessions. Failure to do so will signal some consolidation in the range of 23,230-23,500.

STATE OF THE MARKETS

GIFT Nifty (Earlier SGX Nifty) signals a positive start

GIFT Nifty on the NSE IX traded higher by 92 points, or 0.39 per cent, at 23,535.5, signaling that Dalal Street was headed for a positive start on Tuesday.


Tech View: The Nifty may be setting up for a short-term rebound after its recent slide pushed momentum indicators close to oversold territory, while battered IT stocks are also showing early signs of a pullback, according to Anand James, Chief Market Strategist at Geojit Investments.

India VIX: India VIX, which is a measure of the fear in the markets, was rose 4.1% to settle at 12.28.

Asian shares edge lower

Asian stocks traded lower after a selloff in US semiconductor shares as concerns grew that the pace of artificial intelligence development may slow. Oil extended its rally and gold declined.

• S&P 500 futures were little changed as of 9:06 a.m. Tokyo time
• Hang Seng futures rose 0.6%
• Japan’s Topix fell 0.4%
• Australia’s S&P/ASX 200 fell 0.5%
• Euro Stoxx 50 futures fell 1.1%

Gold falls

Gold fell on Tuesday, as rising crude oil prices heightened inflation worries ​and reinforced U.S. rate-hike expectations ahead ​of a Federal Reserve policy meeting.

Oil prices rise

Oil prices rose on Tuesday as concerns over supply disruptions persisted after attacks on ​Saudi Arabian energy infrastructure left the ​kingdom's East-West pipeline offline and cast doubt on efforts to ease shipping ​risks in the Gulf.

Dollar up

The dollar inched up to trade near a two-week high on Tuesday as ​surging oil prices lifted Treasury yields and ​reinforced expectations that the Federal Reserve will raise interest rates this week.

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

Stocks in F&O ban today

1) SAIL

2) Manappuram

3) Inox Wind

4) Kaynes

5) Bandhan Bank

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.

Read more: India beats a hasty retreat from a crucial market reform

FII/DII action

Foreign portfolio investors net sold shares worth Rs 931 crore on Friday. DIIs, meanwhile, were net buyers at Rs 1,968 crore.

Rupee

The rupee slipped on Friday at 95.55 and fell over 1% week-on-week as a sharp rise in oil prices pressured Indian markets, though the central bank's intervention helped limit the currency's decline.