Benchmark indices ended the rangebound session on a negative note on January 11, with the Nifty50 closing a tad below the 10,800 levels and forming a ‘Hammer’ kind of pattern on the daily scale.
The 30-share BSE Sensex was down 96.66 points to close at 36,009.84 while the Nifty50 fell 26.65 points to 10,794.95.
For the week, however, the Nifty index gained 0.6 percent and formed a ‘Doji’ kind of pattern on the weekly scale.
The market is likely to consolidate further in the coming week followed by a directional move on either side which would largely depend upon earnings along with global factors, experts said.
India VIX fell by 5.01 percent at 15.35 in the last week and started to hold below 16 zones which could attract buying interest on declines.
The Nifty Midcap and Smallcap indices also lost 0.2 and 0.3 percent respectively on January 11, while both ended flat for the week.
According to the Pivot charts, the key support level is placed at 10,739.53, followed by 10,684.07. If the index starts moving upward, the key resistance levels to watch out are 10,850.33 and then 10,905.67.
The Nifty Bank index closed at 27,453.90, down 74.65 points on January 11. The important Pivot level, which will act as crucial support for the index, is placed at 27,353.4, followed by 27,252.9. On the upside, key resistance levels are placed at 27,583.4, followed by 27,712.9.
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’s five-day rally flickers out as earnings near
Wall Street dipped slightly on Friday, breaking a five-session rally, as energy shares declined and investors looked ahead to earnings season, which kicks off next week with Citigroup, JPMorgan and other big banks.
Underpinned by optimism over China-US trade talks and expectations of a slow pace of interest rate hikes from the Federal Reserve, the stock market’s
winning streak through Thursday added 6 percent to the S&P 500 and left it up about 10 percent from the 20-month low it hit around Christmas.
The Dow Jones Industrial Average ended down 0.02 percent at 23,995.95 points, while the Nasdaq Composite dropped 0.21 percent to 6,971.48. The S&P 500 ended down 0.38 points at 2,596.26.
Asian shares pause near one-and-a-half-month highs
Asian shares camped near 1-1/2 month highs on Monday as investors kept a wary eye on looming Chinese trade data on increasing signs a slowdown in the world’s second-biggest economy is dragging on global growth.
MSCI’s broadest index of Asia-Pacific shares outside Japan was barely changed at 490.97 points after climbing to the highest since early December on Friday. Liquidity was expected to be light during Asian hours as Japan was on public holiday. Australian shares ticked up 0.3 percent while New Zealand’s benchmark index was off 0.2 percent.
Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 19 points or 0.18 percent. Nifty futures were trading around 10,836-level on the Singaporean Exchange.
Oil prices edge up on OPEC-led supply cuts, lower US drilling activity
Oil prices edged up on Monday, supported by ongoing supply cuts from producer club OPEC and Russia and by a drop in US drilling activity. International Brent crude oil futures were at $60.75 per barrel at 0040 GMT, up 27 cents, or 0.5 percent, from their last close. US West Texas Intermediate (WTI) crude futures were up 22 cents, or 0.4 percent, at $51.81 a barrel.
Rupee slips 8 paise to 70.49 against US Dollar on surging crude oil
The Indian rupee on January 11 weakened by 8 paise to close at 70.49 against the US dollar on rise in demand for the American currency from exporters
coupled with unabated rise in global crude oil prices. Besides, foreign fund outflows and stronger dollar against its key rival currencies impacted the rupee trading pattern.
At the Interbank Foreign Exchange, the rupee opened strong at 70.38 a dollar against the previous close of 70.41. The local unit moved in a range of 70.34 to 70.59, before finally ending at 70.49, showing a loss of 8 paise.
FPIs turn net sellers in Jan, pull out Rs 3,600 cr
Foreign investors have pulled out more than Rs 3,600 crore from the Indian equity markets in the last nine trading sessions, adopting a cautious stance towards the country. This comes following a cumulative net inflow of Rs 8,584 crore in the equity markets by Foreign Portfolio Investors (FPIs) during November and December.
According to data available with the depositories, FPIs withdrew a net amount of Rs 3,677 crore from equities during January 1-12. However, they pumped in a net sum of Rs 1,872 crore in the debt markets during the period under review.
Assocham meets RBI governor Shaktikanta Das on NBFC, HFC crisis
Industry lobby Assocham met Reserve Bank governor Shaktikanta Das and discussed the liquidity issues being faced by non-banking financial companies and housing finance players, and suggested some steps to ease the crisis.
Since taking charge on December 12, Das has met banks, both public and private sector and also NBFCs and MSMEs. This is the first meeting the governor has had with an industry lobby, though.
The delegation, which met the governor in New Delhi, told him that over-regulation of the sector is hampering the growth of the NBFC model of lending. The players requested the governor to maintain the existing asset liability mismatch (ALM) norms till the normalcy is restored.
Forex kitty swells by $2.68 bn to $396 bn
The country’s foreign exchange reserves jumped by $2.68 billion — one of the largest increases in recent months — to touch $396.084 billion in the week to January 4, driven by a rise in core currency assets and gold holdings, RBI data showed on January 11.
The overall reserves had increased by $116.4 million to $393.404 billion in the previous reporting week. In the reporting week, foreign currency assets, a major component of the overall reserves, rose by $2.215 billion to $370.292 billion.
RBI net-seller of dollars in Nov, unwinding USD 644 million
The Reserve Bank remained a net seller of dollars in November 2018, as it sold USD 644 million of the greenback on a net basis in the spot market, according to the latest data from the Central bank.
As against this, in November 2017, the Central bank had purchased USD 2.570 billion from the spot market and sold USD 1.706 billion, while in the reporting month, the monetary authority bought USD 3.127 billion from the spot market, and sold USD 3.771 billion, show the data.
SEBI issues timelines for uniform membership structure in equity cash, derivatives segments
Regulator SEBI came out with timelines as well as conditions for the implementation of uniform membership structure in equity derivatives and cash segments. The membership structure applicable in the equity derivatives segment would also be implemented in the cash segment from April 1, the watchdog said in a circular.
It would be for trading member, self-clearing member, clearing member and professional clearing member. “Unification of membership structure across equity cash and derivatives segments of stock exchanges is vital to facilitate ease of doing business,” the circular said.
8 companies to report Q3 numbers today
As many as eight companies will report their results for the quarter ended December which include names like Indiabulls Ventures, ICICI Securities, Supreme Infrastructure, and Tata Metaliks etc. among others.
2 stocks under a ban period on the NSE
Securities in ban period for the next day’s trade under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.
For January 14, Adani Power and Jet Airways is present in this list.
With inputs from Reuters & other agencies
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