Equity markets could be in for a slow start for this week with Nifty Futures on the Singapore Exchange trading 40 points lower on Monday morning. S&P BSE Sensex and NSE Nifty 50 enter Monday’s trading session on the back of a two-day losing streak.
Equity markets could be in for a slow start for this week with Nifty Futures on the Singapore Exchange trading 40 points lower on Monday morning. S&P BSE Sensex and NSE Nifty 50 enter Monday’s trading session on the back of a two-day losing streak. However, analysts believe equity markets are on a strong footing and may continue to trade with a positive bias. However, eyes will be glued this week on the developments in Eastern Ladakh as India and China continue to talk to defuse tensions along the border. The news flow around another stimulus in the US would also be closely watched.
Global cues: Asian stock markets were trading mixed on Monday morning. Shanghai Composite was trading flat while Hang Seng was down in the red. KOSDAQ was trading with losses while Kospi was flat with a positive bias. Japanese stock markets were seen surging higher.
- Akshaya Tritiya: Good time to buy gold on recent fall in prices; strong support at Rs 45,500 per 10 gm
- Go Air files IPO papers with SEBI for Rs 3,600-cr issue; firm rebrands as Go First ahead of IPO
- PowerGrid InvIT shares list at 4% premium to IPO price; 3rd listed InvIT after IndiaGrid Trust, IRB InvIT
Bulk and Block Deals: On Friday Shares of Adani Green, Amber Enterprises India, Atul Ltd, Deepak Nitrite, Dixon Technologies, Granules India, and IGL were bought by Vanguard Group. Essel Propack also witnessed heavy trading activity in the secondary markets as Blackstone sold 23% stake in the company.
Oil Prices slip: With signs of supply revival from Libya, oil prices fell on Monday morning. However, how demand shapes up is still to be seen as the world battles the coronavirus pandemic.
FII and DII watch: On Friday Foreign Institutional Investors (FII) bought equities worth Rs 205 crore and were net buyers in the previous week. Domestic Institutional Investors (DII) on the other hand sold Rs 100 crore worth domestic stocks and were net sellers during the week.
IPO Watch: Monday will witness the listing of Route Mobile’s shares after the IPO witnessed strong demand from investors. Along with that, CAMS and Chemcon Speciality Chemicals IPO will open for subscription today. This week will also see Angel Broking’s IPO open for subscription tomorrow.
Technical view: “We believe the Nifty has undergone healthy retracement, as it took 15 sessions to retrace 61.8% of preceding 19 sessions up move (10882-11794), 11230. Slower pace of retracement signifies robust price structure that augurs well for the next leg of up move,” said Dharmesh Shah, Head – Technical, ICICI direct.