The SGX Nifty recorded a gain of 0.01% during Monday’s early trading session, with a value of 18,901 indicating a flat opening for domestic indices NSE Nifty 50 and BSE Sensex. Domestic indices ended the last session of the week broadly in green. The NSE Nifty 50 gained 138 points to 18,826 and BSE Sensex skyrocketed 0.74% to 63,385.
“The domestic market rebounded with strong buying in banking, pharma, and consumer stocks, along with positive cues from global markets. The US market’s optimism was bolstered by better-than-expected retail sales, reflecting the robustness of the economy. Furthermore, jobless claims remain elevated and a decline in import prices raised hopes for a prolonged pause in interest rate hikes by the Fed, contradicting their announcement of potential future rate hikes made the previous day,” said Vinod Nair, Head of Research, Geojit Financial Services.
Key things to know before share market opens on 19 June, 2023
Wall Street
S&P 500 fell 0.36%, the tech-heavy Nasdaq Composite declined 0.68%, while the Dow Jones Industrial Average sank 0.31% on Friday. The US markets will be closed on 19 June on account of Juneteenth.
Asian Markets
Shares in the Asia-Pacific region were trading in the red on Monday, following negative cues from Wall Street. China’s Shanghai Composite tanked 0.35% in trade, while Japan’s Nikkei 225 slipped 0.38%. Hong Kong’s Hang Seng index declined 0.66% while South Korea’s Kospi was down by 0.77%. The Taiwan Weighted index recorded losses of 0.23%.
Crude Oil
Global oil prices fell on Monday, backing off last week’s gains as questions over China’s economy outweighed OPEC+ output cuts and the seventh straight drop in the number of oil and gas rigs operating in the United States.
FII/DII Data
Foreign institutional investors (FII) net purchased shares worth net Rs 794.78 crore, while domestic institutional investors (DII) net bought shares worth net Rs 681.33 crore on June 16, according to the provisional data available on the NSE.
F&O Ban
The National Stock Exchange has IEX, India Cements, L&T Housing Finance, Tata Chemicals, Delta Corp, BHEL, Manappuram Finance, ZEEL and Indiabulls Housing Finance securities on its F&O ban list for 19 June. According to the NSE, stocks are prohibited in the F&O sector when they have exceeded 95% of the market-wide position limit (MWPL). During the F&O ban period, no new positions are permitted for F&O contracts in that stock.
Bank Nifty Outlook
“Bank Nifty, as long as it is trading below the 20 day SMA or below 44,000, the weak sentiment is likely to continue. Below the same, it could slip till the 50 day SMA or 43,250. On the flip side, a fresh uptrend is possible only after the dismissal of 44,000,” said Amol Athawale, Deputy Vice President – Technical Research, Kotak Securities.
Technical View
“Nifty fell just 23 points short of its all time high but closed 61 points away from it. On weekly charts it rose 1.41% after two weeks of small gains. It could reach all time highs soon. 18,662 could be the support on down-moves,” said Deepak Jasani, Head of Retail Research, HDFC Securities.