MARKET WRAP: Indices end lower, Nifty fails to hold 10700; bank stocks fall

Stock markets
Benchmark indices edged lower on Friday as losses in financials offset gains in auto stocks, with investor focus shifting to the monsoons. 

The S&P BSE Sensex ended at 35,227, down 95 points while the broader Nifty50 index settled at 10,696, down 40 points.

Among sectoral indices, the Nifty Bank index ended over 1% lower led by a fall in the shares of IndusInd Bank and Federal Bank.

Meanwhile, government data showed on Thursday that Indian economy grew 7.7% year-on-year in January-March, its quickest pace in nearly two years driven by higher growth in manufacturing, the farm sector and construction.

The faster pace of growth in the latest quarter might also strengthen expectations of an interest rate increase by the Reserve Bank of India (RBI) as its reviews monetary policy next week.

Amid othre macro data, India's manufacturing sector activity eased in May as new work orders rose at a weaker pace, while rising inflationary pressures might prompt the Reserve Bank to hike interest rates, says a monthly survey.

The Nikkei India Manufacturing Purchasing Managers Index (PMI) fell from 51.6 in April to 51.2 in May.


Global market research and index company MSCI Inc will add roughly 230 China-listed shares to its emerging market benchmark in a two-step process starting on June 1, a move expected to drive a surge of foreign money into the country's stock markets.

MSCI's decision a year ago to include yuan-denominated Chinese stocks, or "A-shares", into its emerging market (EM) index triggered a rally in Chinese blue-chips in 2017, though the market has corrected this year amid rising borrowing costs and fears of a Sino-U.S. trade war.


Asian equities recovered from early weakness on Friday as a lower yen supported Japanese stocks and firm exports boosted South Korean markets. Still, rekindled concerns about US trade policies limited regional gains.

MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.1% but the index was still down roughly 0.6% for the week, during which it hit a six-week low on concerns about Italy’s struggle to form a government.

However, regional sentiment recovered somewhat with South Korea's KOSPI rising 0.7% on upbeat export data and Japan's Nikkei advancing 0.2% off the back of yen weakness against the dollar.

(with wire inputs)


Nifty Bank index ends 0.98% lower. Top losers:

FEDERAL BANK 83.00 84.80 -1.80 -2.12
INDUSIND BANK 1915.40 1955.45 -40.05 -2.05
AXIS BANK 536.65 545.90 -9.25 -1.69
RBL BANK 507.55 515.90 -8.35 -1.62
HDFC BANK 2110.60 2139.45 -28.85 -1.35

Nifty sectoral losers of the day

BSE Sensex: Bajaj Auto, Maruti Suzuki among top gainers of the day, ONGC top loser

Market at close
The S&P BSE Sensex ended at 35,227, down 95 points while the broader Nifty50 index settled at 10,696, down 40 points.
Gold steady amid renewed trade tensions

Gold prices were steady in Asian trade on Friday on renewed fears of a global trade war, while a firm dollar and positive US economic data weighed on the market.
Spot gold was nearly unchanged at $1,298.29 per ounce, while U.S. gold futures for June delivery were down 0.2 percent at $1,298 per ounce. Spot gold is down slightly this week. READ MOER

Move over dollar, next rally in EM currencies: Top investment manager

The dollar’s run is ending, and it’s time to return to emerging market currencies after their two-month slump, according to AMP Capital Investors Ltd.
The advance in Treasury yields across the curve will probably stall from here, while US-China trade tensions will turn from being dollar positive to negative, said Nader Naeimi, who runs AMP’s $1.2 billion Dynamic Markets Fund and has begun shorting the greenback. READ MORE

COMPANY NEWS Adani Power Mundra likely to approach NCLT for bankruptcy protection
Adani Power Mundra, a subsidiary of Adani Power, is likely to approach the National Company Law Tribunal (NCLT) for bankruptcy protection. This comes after its lenders stepped back from stake-sale negotiations with Gujarat Urja Vikas Nigam (GUVNL), the state power distribution company. READ MORE
Sun TV falls

Sun TV Network fell for fifth straight session, down 3.9% at Rs 881.85, on the NSE. Sun TV Network jumped 5.69% in last one year as compared to a 10.94% rally in Nifty and a 1.48% spurt in the Nifty Media index.
Asia Check
Asian equities recovered from early weakness on Friday as a lower yen supported Japanese stocks and firm exports boosted South Korean markets. Still, rekindled concerns about US trade policies limited regional gains.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.1% but the index was still down roughly 0.6% for the week.
However, regional sentiment recovered somewhat with South Korea's KOSPI rising 0.7% on upbeat export data and Japan's Nikkei advancing 0.2% off the back of yen weakness against the dollar.
Market Check

S&P BSE Sensex 35,291.54 -0.09%
Nifty 50 10,705.60 -0.28%
S&P BSE 200 4,637.91 -0.35%
Nifty 500 9,262.15 -0.57%
S&P BSE Mid-Cap 15,859.36 -0.96%
S&P BSE Small-Cap 17,017.07 -1.35%

It may be too late to invest in this sparkling equity market; here's why

Most of Asia’s stock markets fell in May -- New Zealand was one of the rare exceptions. That could mean the future won’t be as bright.
Shrugging off trade tensions and Italy turmoil, the S&P/NZX 50 Index just posted its best month of the year and the biggest gain among regional gauges. As of Thursday’s close, it was on track to become one of the world’s best-performing developed equity markets for 2018. READ MORE

Bajaj Auto spurts after strong sales in May

Bajaj Auto rose 4.84% to Rs 2,885.40 at 11:55 IST on BSE after the company reported a 30% growth in its total vehicles sales at 4.07 lakh units in May 2018 over May 2017. READ MORE

Idea Cellular firms up on wrapping up tower sale

Idea Cellular rose 1.22% to Rs 62.40 on BSE after the company announced completion of sale of standalone tower business to ATC Telecom Infrastructure. The announcement was made after market hours yesterday, 31 May 2018. READ MORE

Oil slip for bond market: Foreigners dump Indian paper at record pace

Foreign investors are dumping Indian bonds at a record pace as surging oil prices threaten to worsen the nation’s finances, stoke inflation and hurt economic growth.
Overseas funds have pulled $4.5 billion from the local debt market since the start of the year, the most in any year-to-date period in data going back to 1999. Second-quarter outflow was the biggest among the major Asian nations as Brent crude rose above $80 a barrel, the highest since 2014. READ MORE

Sebi defers implementation of new higher margin norms for derivatives

Capital market regulator Securities and Exchange Board of India (Sebi) has deferred the implementation of norms requiring brokers to collect higher upfront exposure from clients. The new norms were to come into effect from June 1. Instead, they will now come into effect from July 1, the National Securities Clearing Corporation (NSCCL), an arm of the National Stock Exchange (NSE), has said in a circular. READ MORE
Rising level of scrutiny: Auditors take guard on corporate breaches

In the past month, auditors of three listed companies – Manpasand Beverages, Atlanta and Vakrangee — have quit, citing potential violations. In another instance, Hindustan Construction Company (HCC), they have raised red flags.
In the recent past, the role of auditors has come in for widespread criticism from government and regulatory agencies, including the Securities and Exchange Board of India (Sebi). This has led to auditors taking a stricter stance. READ MORE

Centrum on Mirza International

We maintain our BUY rating on Mirza International with a target price of Rs205 (20x FY20E EPS). While management has achieved its FY18E guidance of Rs4bn domestic sales, they have further guided for Rs6bn sales for FY19E on the back of new product launches and entry into women footwear. They believe the 100 online-offline large format stores have the potential to generate Rs30mn sales each which would offer them significant upside.

Further, sports shoes and Bond Street have contributed 30% to the domestic footwear sales which would further grow in FY19 as they launch new variants. Management remains confident of double digit growth in the exports business post three consecutive years of decline while leather business would increase utilisation levels and add to margins.
HDFC Securities on Glenmark

In the absence of lucrative product launches for the US market, the base margins have fallen from 18-19% in FY17 to 13-14% over last two quarters. However, with the recent gWelchol and gProtopic approvals, margins are likely to normalise in 1HFY19.

The management has also guided for additional 10+ launches in FY19 for the US market,which will help the company to maintain 16-17% margins in FY19E. Foresee 6%/10% revenue/earnings CAGR over FY17-20E. Maintain BUY with a revised target price of Rs 710 (16x FY20E and Rs 135/sh for pipeline).
HDFC Securities on Alkem Labs

Higher R&D spends, increased raw material cost, incremental overheads for fresh capacities will lead to only 50-70bps margin improvement in FY19. The top line growth is likely to be in mid teens driven by double digit growth in both India and the US segments.

While we have lowered our estimates for FY19E to factor in these changes, we believe that the long-term story for ALKEM remains on-track and investors should consider any dip in the stock price as an opportunity to add. Maintain BUY with a revised target price of Rs 2,445 (24x FY20E EPS).
Indian manufacturing PMI growth slows in May, inflationary pressures pick up

Activity in India's manufacturing sector grew at a weaker pace in May from the previous month, a business survey showed on Friday, while inflationary pressures picked up again amid rising oil prices in another sign that an interest rate hike is around the corner READ MORE
Markets at noon

S&P BSE Sensex 35,314.84 -0.02%
Nifty 50 10,719.80 -0.15%
S&P BSE 200 4,642.47 -0.26%
Nifty 500 9,279.15 -0.39%
S&P BSE Mid-Cap 15,851.80 -1.01%
S&P BSE Small-Cap 17,079.31 -0.99%

ICICI Bank to probe CEO's role post whistle-blower complaint; stock up 4%

ICICI Bank gained 4 per cent to Rs 297 levels on the NSE on Friday, a day after the bank decided to conduct an independent enquiry into allegations of breach of code of conduct and conflict of interest against its managing director, Chanda Kochhar. READ MORE
World's fastest GDP growth rate sets stage for an interest rate hike by RBI

India’s economic growth is picking up pace in an environment of rising price pressures, setting the stage for an interest rate increase as early as next week.
Growth accelerated to 7.7 percent in the fourth quarter of the financial year ended March 31, government data showed on Thursday, the fastest pace of any major economy. That’s adding to calls for Governor Urjit Patel to pull the rate trigger at the June 6 monetary policy meeting, and follow central banks in emerging markets from Argentina to Indonesia that have stepped up action to stem outflows and curb a rout in their currencies. READ MORE

Why today's MSCI inclusion of 230 A-shares is important for Chinese stocks?

Global market research and index company MSCI Inc will add roughly 230 China-listed shares to its emerging market benchmark in a two-step process starting on June 1, a move expected to drive a surge of foreign money into the country's stock markets.
MSCI's decision a year ago to include yuan-denominated Chinese stocks, or "A-shares", into its emerging market (EM) index triggered a rally in Chinese blue-chips in 2017, though the market has corrected this year amid rising borrowing costs and fears of a Sino-U.S. trade war READ MORE
Rollover Highlights for Nifty, Banknifty and Market-wide:
·      The Nifty May expiry rollover is at 62.62% on Thursday compared to 72.32% on same day of previous expiry.
·      The Banknifty May expiry rollover is at 75.06% on Thursday compared to 82.59% on same day of previous expiry.
·      The Market wide May expiry rollover is at 83.86% on Thursday as compared to 87.04% on same day of previous expiry.
·      The Nifty May rollover is lower than its Three months average of 67.8% and its six months average of 67.67%.
·       The Banknifty May rollover is higher than its Three months average of 74.36% and its six months average of 70.74%.
·      The market wide rollover is lower than with its three months average of 85.67% and its six months average of 85.9%.

(Source: Nirmal Bang report)
Coal India: Price hikes, evacuation charge likely to mitigate higher costs
The Street’s confidence on Coal India is improving, as indicated by recent analyst upgrades and gains on the bourses. With the impact now behind it of slippage in coal grades and wage hike provisioning, which weighed on the performance in FY18, the price hikes taken in January should take care of higher wage costs.
The improved volume outlook and better e-auction prices for its coal are likely to drive earnings in FY19. And, are keeping analysts positive on the stock, trading at a reasonable valuation. READ MORE
Buzzing stock

Maruti Suzuki India rose 1.32% to Rs 8647.50 on BSE after the company said it crossed the mark of 3-lakh cumulative sale of cars with the acclaimed auto gear shift technology.
Debt-free firms make up 57% of all market cap: Why Dalal Street loves them

Dalal Street shows a special preference for companies that stay away from debt and fund their operations largely from internal accruals. Debt-free companies (on net debt basis) account for 57 per cent of all market capitalisation of listed non-financial companies even though these companies are in a minority in terms of revenues, assets and net profits.
In all, 209 non-financial companies out of a total sample of 594 companies were debt-free at the end of 2017-18 and together they accounted for 25.6 per cent of the sample companies' combined net sales, 22.7 per cent of all assets and 46.5 per cent of their net profit READ MORE
Metal stocks gain; Vedanta, Jindal Steel JSW Steel among top gainers

VEDANTA 256.70 7.40 2.97 38168.21 7.65
JINDAL STEEL 234.45 4.95 2.16 8623.12 2.40
JSW STEEL 336.55 4.20 1.26 47997.01 11.25
NATL. ALUMINIUM 71.10 0.70 0.99 2611.18 1.60
COAL INDIA 297.00 2.50 0.85 36872.02 30.59
HINDALCO INDS. 236.45 1.35 0.57 33442.30 7.94
S A I L 76.45 0.35 0.46 7894.48 3.76
NMDC 118.20 0.30 0.25 7479.46 5.43

Kotak Institutional Equities on Q4FY18 results of India Inc

4QFY18 results were generally below expectations and resulted in moderate downgrades to our FY2019/20 net profit estimates. Nonetheless, we expect net profits of the Nifty-50 Index to grow 23% in FY2019 from a lower base of FY2018, post the earnings cuts in 4QFY18 results season. India’s macro is weak, politics uncertain and valuations rich, a potentially dangerous combination in case earnings were to disappoint.


BAJAJ AUTO 2834.95 82.80 3.01 41837.82 1.50
ICICI BANK 291.95 6.35 2.22 187715.08 6.12
MARUTI SUZUKI 8689.95 155.00 1.82 115502.64 2.51
TATA MOTORS 287.90 5.00 1.77 55694.96 2.99
LARSEN & TOUBRO 1387.25 19.65 1.44 194430.02 4.92

Emkay Global on Apar Industries

Apar Industries (Apar) reported Q4FY18 earnings below our estimate. While revenue increased by 35.9% yoy to Rs17.7bn, PAT declined by 16.2% yoy to Rs400mn due to higher Raw Material prices, stiff competition and increased interest expenses.

We have trimmed our earnings estimates to factor in declining margins in the Conductors segment due to higher raw material prices and heightened competition. Accordingly, we have cut our target price to Rs879 (14XFY20E EPS) vs Rs929 earlier. However, we reiterate BUY, as the stock has corrected recently and provides a potential 24% upside from CMP.
Edelweiss on SAIL

We expect limited cash flow accretion owing to capex commitments and potentially higher employee cost as there could be fresh wage hikes as the company’s performance improves. Taking cognizance of Q4FY18 numbers, we revise up FY19E EBITDA 2%, while keeping FY20E EBITDA broadly unchanged.

Despite signs of turning around, SAIL’s relative performance is expected to remain subdued owing to higher conversion cost and leverage playing spoilsport. Maintain ‘REDUCE’ with revised target price of Rs 72 (earlier Rs 70). 
Nomura on GDP data

GDP growth rose to 7.7% y-o-y in Q1 from 7% in Q4, above consensus expectations, but in line with our forecast. The strong pick-up in private consumption and investment, higher import demand and still-high output growth in non-agriculture sectors are all signals of a strengthening cyclical recovery. Our proprietary indicators suggest that the momentum is likely to be sustained through Q2. However, we expect tighter financing conditions, rising oil prices and slower investments in the run-up to elections to slow GDP growth later in the year. Overall, we expect GDP growth to remain strong at 7.8% y-o-y in Q2, before slowing to an average of 7.1% in H2 2018. 
The Q1 GDP data should give the monetary policy committee enough comfort (on growth) to focus on upside inflation risks. We expect these risks to tilt the RBI’s current “neutral” stance to “withdrawal of accommodation” at the 6 June policy meeting, followed by rate hikes of 25bp each in the meetings on 1 August and 4 October. The June policy decision is a close call; we assign a 40% probability to the MPC voting for a 25bp hike in June itself, followed by another 25bp hike in August.
Market Check

S&P BSE Sensex 35,400.38 0.22%
Nifty 50 10,762.45 0.25%
S&P BSE 200 4,662.79 0.18%
Nifty 500 9,329.55 0.15%
S&P BSE Mid-Cap 15,971.03 -0.27%
S&P BSE Small-Cap 17,221.15 -0.16%

Ajanta Pharma: Reduction in Africa biz may offset branded generic sales

The Ajanta Pharma stock has shed over 28 per cent in May on the back of brokerage downgrades triggered by a muted 2018-19 outlook, especially in the African tender (malaria) business, and higher costs. In 2017-18, the Africa institutional anti-malaria business accounted for 20 per cent of Ajanta Pharma's sales and recorded a decline of 13 per cent year-on-year (y-o-y). READ MORE
RBI monetary policy: Economists see rate hike latest by August

A rate hike is certain, and the August policy could be the best time for it, but June too looks good, say analysts. Nine out of the 10 economists polled by Business Standard expect the monetary policy committee (MPC) to favour rates to harden by August. Four of them expect the repo rate to become 6.25 per cent from 6 per cent now in June itself. READ MORE
Ranen Banerjee, Partner and Leader - Public Finance and Economics, PwC India on GDP
The high growth rate reported in quarter is on expected lines for us as the high frequency data on PMI and IIP as well as rural demand were all indicating a revival. We should however be wary of the headwinds the economy faces in the coming quarters from higher crude prices feeding into inflation and rising inflation expectations. We hope the Monetary Policy Committee would not press the panic button that could create further friction on growth rate and would continue to hold on to the interest rates
MUST READ Govt not keen on excise cut, may ask ONGC to bear subsidy cut
The government may ask state-owned Oil and Natural Gas Corp (ONGC) to bear fuel subsidy to help cut petrol and diesel prices, sources said on Thursday.
The government does not want to cut excise duty and is looking at alternative means to reduce petrol and diesel prices that had on Tuesday touched an all-time high of Rs 78.43 per litre and Rs 69.31 a litre respectively. READ MORE

Stock Impact



With the dollar still strong, the message sent out by Fed chairman Jerome Powell at the next FOMC meeting in mid-June will be more important than usual. GREED & fear’s base case is that Powell will maintain a tougher line than his predecessors in the face of recent market “volatility”, in terms of a continuing commitment to gradual tightening. Such an outcome means that the best way to hedge long equity positions globally remains to be short credit.
Yields in the fixed income world have risen much more than spreads so far this year. This is why there is a lot of scope for spreads to play catch up, most particularly if the Fed continues to tighten. Meanwhile, the yield curve in America has flattened again after the past week’s bond rally.

For many years after the global financial crisis it was the case that the actions, or lack of them, by central banks were the main drivers of financial markets. While central banks are still important it has become evident, most particularly since The Donald’s election, that politics is becoming increasingly relevant in the “new world disorder”.

(Source: Wood's weekly newsletter to investors, GREED & fear)

CLSA Managing Director & Equity Strategist Christopher Wood

Sectoral Trend

Top Sensex gainers and losers

Stocks in News

Mahindra signs MOUs with Government of Maharashtra for electric vehicle manufacture and deployment
Infosys extends alliance with Microsoft for cloud-based digital transformation solutions.

TCS recognized as a leader in manufacturing supply chain execution by two IDC MarketScapes

Sudarshan Chemical Industries board meeting on June 1 to consider and approve the sale of shareholding in Prescient Color

Mindtree makes strategic commitment to SAP Leonardo with new package of offerings designed to accelerate adoption

The assessing office at SEBI has passed an order against DLF by imposing a penalty of Rs. 10 lakhs under the SCRA act on the disclosure pertaining to utilization of IPO proceeds made by the Co in its quarterly filing for 30th September 2007. Source: BSE announcement.

Idea Cellular completes sale of 9,900 standalone towers to ATC for Rs 4,000 crore.

Cochin Shipyard signs agreement with Government of Kerala for procurement of marine ambulance for fisheries department.

Maruti Suzuki targets to sell over two lakh automatic cars in 2018-19.

Fortis Healthcare says unit sold off 1.8 crore units of RHT Health Trust for 13.65 million Singapore dollars.

Cholamandalam Investment and Finance to invest Rs 50 crore in its subsidiary Cholamandalam Home Finance.

PNC Infratech declared L1 for Nagpur-Mumbai Expressway project worth Rs 2,100 crore.

Bodal Chemicals to acquire additional 17 percent stake in Trion chemicals for Rs 3 crore.

Life Care, backed by private equity firm KKR submitted an expression of interest (EoI) for Fortis Healthcare

Ashiana Housing has acquired 6.67 acres land in Rajasthan to develop a group housing project with 6.15 lakh square feet area.

Dilip Buildcon has been declared L-1 for new EPC project valued at Rs. 1750.05Cr by MSRDC. The Bid project cost declared by MSRDC is Rs. 1560Cr. The construction is to be completed within 30 months and 45.65 Km need to be constructed. Source: BSE

(Source: Nirmal Bang report)
Market at open

At 9:16 am, the S&P BSE Sensex was trading 35,277, down 44 points while the broader Nifty50 index was ruling at 10, 718, down 18 points
Nomura on by-election outcome and govt policy

These results will not affect the existing power structure, either at the centre or in the states, but they do underline the effective tactic being increasingly adopted to consolidate into successful non-BJP fronts for electoral gains. We expect a similar result in the 2019 general election, led by the national-level opposition party, the Indian National Congress (INC).

The elections also highlight the uneasiness present among the BJP and its allies, particularly with Shiv Sena, with which it locked horns in Maharashtra. Finally, while these by-elections are weak leading political indicators – and one year is a long time in politics, (the general election is not being held until Q2 2019) – the results do suggest that anti-incumbency may be building. It confirms a recent “Mood of the Nation” opinion poll that pointed to the BJP’s waning popularity, especially in Uttar Pradesh.

We expect political uncertainty to remain elevated in the run-up to the election. Due to the heavy election calendar (Chhattisgarh, Madhya Pradesh and Rajasthan are next in Q4), we expect the government to focus on farmers and the “common man” via higher minimum support prices, farm loan waivers (in specific states),
social sector spending and the universal healthcare programme.
Markets at pre-open

Index Current Pt. Change % Change
S&P BSE SENSEX 35,575.69 +253.31 +0.72
S&P BSE SENSEX 50 11,403.40 +175.83 +1.57
S&P BSE SENSEX Next 50 32,985.90 +56.09 +0.17
S&P BSE 100 11,190.69 +149.92 +1.36
S&P BSE Bharat 22 Index 3,575.42 +11.17 +0.31

(Source: BSE)
GDP grows 7.7% in Q4; India retains world's fastest growing economy tag

Backed by government spending and investment, the economy grew at a seven-quarter high of 7.7 per cent in January-March. But this did not prevent GDP growth, at 6.7 per cent in 2017-18, from falling to its lowest rate in four years of the Narendra Modi government. READ MORE
Commodity outlook by Tradebulls for today

Crude Oil market recovered smartly yesterday after last week’s correction on news of OPEC’s oil supply normalization. The cartel and its Russian ally seem to take seriously the recent warning that $70 or higher barrel price could further curb oil demand and thus economic growth. The recent correction was needed if crude wants to trade again above $80 as the long position was getting overcrowded. The recent correction has shaken off some of the bulls. We don’t expect crude to correct majorly as long as $74 is not broken in NYMEX. READ MORE
Top stock ideas from Anand Rathi Research for today's trade

TARGET: Rs 620
Godrej Industries has started to form higher tops and higher bottoms with a positive buy crossover in its momentum indicators on the daily as well as the weekly charts. The wave III of wave 3 up seems to have started which means the momentum is likely to remain strong for a long time, however for the short term the target comes to 620, one can buy this with a stop loss of 570. The stock has also provided a breakout from the bullish flag pattern that was formed on the hourly charts which is a bullish reversal pattern. READ MORE

Today's picks: From Tech Mahindra to HUL, hot stocks to watch on Friday

Tech Mahindra
Current price: Rs 712
Target price: Rs 725
Keep a stop at Rs 705 and go long. Add to the position between Rs 720 and Rs 722. Book profits at Rs 725.
Hindustan Unilever
Current price: Rs 1,611
Target price: Rs 1,590
Keep a stop at Rs 1,625 and go short. Add to the position between Rs 1,595 and Rs 1,600. Book profits at Rs 1,590. READ MORE

Nifty outlook from Prabhudas Lilladher for today

Nifty has held on well above 10650 & if sustains above 10688 the weekly trend too would turn positive after 2 weeks. The support for the day is seen at 10670 while resistance is seen at 10780. Bank Nifty has been an outperformer with front line banking stocks continuing to surge higher, the range for the day would be 26730-27160. FMCG also continues to show good momentum with now focus on ITC, Dabur, Marico, etc. READ MORE
Markets on Thursday

S&P BSE Sensex 35,322.38 1.19%
Nifty 50 10,736.15 1.15%
S&P BSE 200 4,654.35 0.77%
Nifty 500 9,315.35 0.65%
S&P BSE Mid-Cap 16,013.81 -0.24%
S&P BSE Small-Cap 17,249.45 -0.57%

SGX Nifty

The SGX Nifty was at 10,734.50, up 0.17 per cent from the previous close.
Asian Markets

Asian equities sagged on Friday as worries about US trade policy hit global financial markets, which were already shaken this week by political turmoil in Italy.
MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.08 per cent. The index was down roughly 0.9 percent this week, during which it touched a six-week low on concerns that political developments in Italy could weaken its commitment to the euro and exacerbate the country’s debt burden. Japan's Nikkei shed 0.1 percent.
Wall Street

US stocks fell on Thursday after the United States moved to impose tariffs on metal imports from Canada, Mexico and the European Union, prompting retaliatory measures from some of its trading partners.
The Dow Jones Industrial Average fell 251.94 points, or 1.02 per cent, to 24,415.84, the S&P 500 lost 18.74 points, or 0.69 per cent, to 2,705.27 and the Nasdaq Composite dropped 20.34 points, or 0.27 per cent, to 7,442.12.
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