Indian indices ended higher on Thursday and formed a bullish candle at the expiry of the September series of F&O contracts. A change from red candles, formed during the last three consecutive expiries, indicates that bulls are trying to take charge from the lower end.
Positive global developments, rupee's 16 paise rise against the US dollar and a drop in crude oil prices gave a leg-up to investor sentiment yesterday, lifting the benchmark indices higher by over 1 per cent. The S&P BSE Sensex gained nearly 400 points to settle at 38,990 level, while the Nifty50 added 131 points to close at 11,571-mark.
As for today, market participants could react to Finance Minister Nirmala Sitharaman's statement that India’s economic growth could pick up in the October-March period as consumer demand is likely to improve ahead of festivities.
However, increased political uncertainty in the US could cap gains today. US President Donald Trump predicted sinking stocks and a reversal of economic gains if the impeachment inquiry proceeds.
That apart, movement in oil prices, the rupee's trajectory against the dollar and capital flow by foreign investors would steer the market. FIIs and DIIs both were net buyers on Thursday and bought shares worth Rs 1,076 crore.
Trends on SGX Nifty, too, suggest a weak opening for markets.
Globally, Asian shares were trading weak during the early morning trade on Friday. MSCI’s broadest index of Asia-Pacific shares outside Japan slipped 0.09 per cent, while Japan’s Nikkei slid 0.54 per cent.
On Wall Street, the Dow Jones and the S&P500 slipped up to 0.3 per cent during the overnight trade on Thursday. The Nasdaq Composite, too, settled 0.6 per cent lower.
In the commodities market, Brent crude futures fell 0.53 per cent to hover around $62 a barrel-mark.
Top headlines for the day:
>> India braces for LPG supply crisis after the terror attack on Saudi Aramco
>> New framework to bail out stressed financial companies likely today
>> As many as 11 PSUs are working to issue their IPOs, says the additional secretary of Dipam.
Intra-day trade recommendation by Anand Rathi Shares and Stock brokers --
The brokerage recommends BUYING RELIANCE INDUSTRIES for the target of Rs 1,370 with a stop loss of Rs 1,260.