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

Benchmark indices came under renewed selling pressure on Monday, reversing the recent recovery as weak global cues and profit booking in private banking and IT stocks weighed on investor sentiment. However, crude prices remained elevated, with ongoing geopolitical tensions continuing to influence the outlook. Going ahead, analysts say, 23,175, corresponding to the previous session’s high, remains the immediate resistance. A sustained move above this level could trigger a recovery towards 23,300.

STATE OF THE MARKETS

GIFT Nifty (Earlier SGX Nifty) signals a positive start

GIFT Nifty on the NSE IX traded higher by 88.5 points, or 0.39 per cent, at 23,023, signaling that Dalal Street was headed for a positive start on Wednesday.


Tech View: A break below 22,650–22,700 could further intensify selling pressure. Index traders should remain cautious, keeping 22,800 as key support and 23,000–23,186 as resistance. Long positions built during the mean-reversion rally should be reviewed, with a break below 22,600 levels.

India VIX: India VIX, which is a measure of the fear in the markets, rose 5% to settle at 14.77 levels.

Asian shares rise

Asian shares rose along with US equity-index futures as strong earnings from some of the biggest beneficiaries of the artificial intelligence boom revived optimism over the tech trade.

• S&P 500 futures rose 0.4% as of 9:48 a.m. Tokyo time
• Hang Seng futures rose 0.5%
• Japan’s Topix rose 1.2%
• Australia’s S&P/ASX 200 was little changed
• Euro Stoxx 50 futures rose 0.4%

US stock indexes end higher

US stock indexes ended mostly higher as oil prices and Treasury yields eased on Tuesday, while French stocks fell as worries about unrest in the country remained.

Dollar remains under pressure

The US dollar remained under pressure on Wednesday after slipping to a three-week low in the previous session, as a dip in Treasury yields and crude oil prices reduced the currency's appeal.

Oil prices edge higher

Oil prices edged higher on Wednesday on Middle East supply concerns, with traders wary of Red Sea shipping risks and threats to oil infrastructure in Saudi Arabia.

Gold slips

Gold slipped on Wednesday as investors awaited next week's Federal Reserve policy decision for fresh signals on the trajectory of US interest rates.

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

Stocks in F&O ban today

1) Ambuja Cement

2) Kaynes

3) SAIL

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: WhatsApp stock tips: Nithin Kamath warns of more pump-and-dump schemes as ED freezes accounts worth Rs 200 crore

FII/DII action

Foreign portfolio investors net sold shares worth Rs 1,148 crore on Monday. DIIs, meanwhile, were net buyers at Rs 3,201 crore.

Rupee

The rupee pared its initial gains and settled lower by 3 paise for the day at 94.92 against the US dollar on Monday, weighed down by a sharp fall in the domestic equity markets and a recovery in crude oil prices.

Disclosure: This article has been written by Podishetti Akash, who is not a SEBI-registered Research Analyst or an Investment Adviser. Podishetti Akash and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclosures here