After consolidating early in the day, the market managed to gain momentum in the last hour of trade and ended near the day’s high on April 9 with all sectoral indices closing in the green.
The BSE Sensex gained 238.69 points at 38,939.22 while the Nifty 50 rose 67.50 points to 11,672, forming a bullish candle on daily charts.
The advance-decline ratio was in favour of bears pointing towards selling pressure in the broader markets as more number of scrips closed in negative terrain. About 966 shares declined against 786 advancing shares on the NSE. The Nifty Midcap and Smallcap indices closed flat with a positive bias.
According to the Pivot charts, the key support level is placed at 11,599.83, followed by 11,527.67. If the index starts moving upward, key resistance levels to watch out are 11,714.03 and 11,756.07.
The Nifty Bank index closed at 30,113.85, up 268.55 points on April 9. The important Pivot level, which will act as crucial support for the index, is placed at 29,823.23, followed by 29,532.67. On the upside, key resistance levels are placed at 30,284.73, followed by 30,455.67.
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 drops on US trade tensions with EU, IMF global outlook
Trade-sensitive industrials dragged Wall Street lower on Tuesday as tensions over tariffs between the United States and its European trading partners went from simmer to boil and the IMF lowered its global growth outlook. All three major US stock indexes finished the session in the red, with the S&P 500 ending its eight-day rally.
The Dow Jones Industrial Average fell 190.44 points, or 0.72 percent, to 26,150.58, the S&P 500 lost 17.57 points, or 0.61 percent, to 2,878.2 and the Nasdaq Composite dropped 44.61 points, or 0.56 percent, to 7,909.28.
Asian shares slip from 8-month peak
Asian shares stepped back from eight-month highs on Wednesday as the IMF lowered its global growth outlook and as tensions over tariffs between the United States and Europe escalated.
MSCI’s broadest index of Asia-Pacific shares outside Japan dropped 0.1 percent, a day after it hit eight-month highs while Japan’s Nikkei lost 0.9 percent.
Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 33 points or 0.28 percent. Nifty futures were trading around 11,717-level on the Singaporean Exchange.
Oil rises amid OPEC supply cuts, US sanctions
Oil prices edged back towards five-month highs on Wednesday, supported by ongoing supply cuts by producer club OPEC and US sanctions against oil
exporters Iran and Venezuela.
International benchmark Brent futures were at USD 70.83 per barrel at 0056 GMT, up 22 cents, or 0.3 percent, from their last close. US West Texas
Intermediate (WTI) crude oil futures were at USD 64.26 per barrel, up 28 cents, or 0.3 percent, above their last settlement.
Donald Trump says he’ll put tariffs on $11 bn in EU goods
President Donald Trump said April 9 he’ll put tariffs on USD 11 billion worth European Union cheese, wine and other goods to retaliate for what Washington says are improper subsidies to Airbus. The office of the US trade representative late Monday released a preliminary list of EU goods facing additional duties that includes everything from aircraft and aircraft parts to cheese, wine and olives.
The list is subject to public comment in anticipation of an expected World Trade Organization ruling this summer that would be favorable to the U.S. in a pending arbitration case.
Govt meets fiscal deficit target of 3.4% for FY’19
The government has managed to meet the revised fiscal deficit target of 3.4 per cent of the GDP after it cut last minute expenditure and rolled over fuel
subsidies to make up for the shortfall in tax collection. The interim Budget presented in February revised upward the fiscal deficit target to 3.4 percent from 3.3 percent of GDP estimated earlier for 2018-19.
According to sources, the revised target has been met with the help of expenditure savings and other measures including the rollover of the fuel subsidy. As a result, the shortfall in tax collection has been matched. There has also been some increase in non-tax revenue collection, especially on account of disinvestment proceeds.
Rupee rises 37 paise to 69.30 against dollar
The rupee on April 9 strengthened by 37 paise to close at 69.30 against the US dollar in line with firming Asian currencies and sustained foreign fund inflows, halting its three-day losing streak.
Forex traders said the dollar’s weakness against its key rivals overseas and heavy buying in domestic equities also supported the domestic currency. At the Interbank Foreign Exchange (forex) market, the domestic unit opened at 69.65. The local unit moved in a range of 69.73 to 69.21 before finally ending at 69.30, a rise of 37 paise over its previous close.
India to grow at 7.3% in 2019 and 7.5% in 2020: IMF
India is projected to grow at 7.3 percent in 2019 and 7.5 percent in 2020, supported by the continued recovery of investment and robust consumption, thus remaining the fastest growing major economy of the world, according to the IMF.
In 2018, India’s growth rate was 7.1 percent, as against China’s 6.6 percent. In 2019, the International Monetary Fund (IMF) projected a growth rate of 6.3 percent for China and 6.1 percent in 2020, according to the latest World Economic Outlook projections released ahead of the annual spring meetings of the International Monetary Fund and the World Bank.
“In India, growth is projected to pick up to 7.3 percent in 2019 and 7.5 percent in 2020, supported by the continued recovery of investment and robust consumption amid a more expansionary stance of monetary policy and some expected impetus from fiscal policy,” the report said.
‘No deal’ Brexit risks severe economic shock, IMF warns
Britain’s economy risks a serious shock if the UK leaves the EU without a deal, the International Monetary Fund said Tuesday, warning of severe trade disruption and slower economic growth. In a report marking the coming spring meeting, published just days before the scheduled Brexit date of Friday, the IMF looked at the impact of possible “no deal” scenarios.
In the worst-case situation, the fund assumes that a disorderly break between Britain and its largest trading partner would bring border disruption, raising import costs for businesses and households in Britain. It estimates that the trade disruptions in that scenario would cause a decline in Britain’s gross domestic product (GDP) of 1.4 percent in the first year, and 0.8 percent in the next.
Polycab India IPO oversubscribed 52 times
The initial public offer of wires and cables manufacturer Polycab India has received an overwhelming response from institutional investors on April 9, the last day for the subscription. The Rs 1,345-crore issue has oversubscribed 52 times, as per data available on exchanges. The IPO received bids for 91.59 crore equity shares against the issue size of 1.76 crore shares (excluding anchor investors’ portion).
The portion set aside for qualified institutional buyers (QIBs) oversubscribed 92 times and non-institutional investors’ segment 110 times while retail investors’ category has seen subscription of over 4 times.
The initial public offer comprises a fresh issue of shares worth up to Rs 400 crore and offers for sale of up to 17,582,000 equity shares by the investor as well as promoter selling shareholders.
Bajaj Energy files IPO papers with SEBI, to raise Rs 5,450 cr
Bajaj Energy (BEL) has filed draft red herring prospectus with the capital market regulator SEBI, for an initial public offering. The company plans to raise Rs 5,450 crore through a public issue comprising a fresh issue of up to Rs 5,150 crore and offer for sale of Rs 300 crore by promoter Bajaj Power Ventures.
Seven stocks under ban period on 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 April 10, Adani Power, DLF, IDBI Bank, Jet Airways, PC Jeweller, Reliance Power and Wockhardt are present in this list.