SGX Nifty indicates buoyant start, Will Nifty touch 13k mark today? Broader indices to prosper!
The Indian markets continued their northward journey for the third straight week buoyed by inflows from FIIs as FIIs have bought shares worth of over 46,000 crore in November itself, which stands out to be highest monthly inflow in at least two decades. On other hand, DIIs were net sellers to the tune of over 32,000 crore in November, which seems to be the highest ever selling in a month.
Even though the markets continue to ride, the pace of upmove is subsidizing which indicates a period of breather on the cards in the frontline gauges. The broader indices which had relatively outperformed the frontline gauges in the last week are likely to remain in the focus in the current week. The SGX Nifty indicates Nifty to open on a positive note, up by 53 points at 12,935 levels. For the Nifty the level of 12,700-12,730 is a crucial support, meanwhile immediate resistance is seen around 13,000 mark.
Asian Indices were trading mixed on Monday following negative cues from the Wall Street. The Hong Kong’s Hang Seng was down by 0.21 per cent, on other hand, China’s Shanghai Composite added 0.45 per cent. Meanwhile, Japan’s Nikkei 225 was closed for Holiday.
Indian markets ended the final trading session of the week on a buoyant note as Nifty and Sensex registered gains of 0.68 and 0.65 per cent, respectively. After starting the session with modest gains, markets slipped lower and buying interest emerged at lower levels as a result bulls see off the week on a positive note. The broader indices outperformed the frontline gauges wherein Nifty Midcap and Smallcap advanced 0.85 and 1.16 per cent, respectively. On the sectoral front, barring Nifty Media and Nifty Pharma, all other sectoral indices witnessed buying interest with Nifty Financial Service, Nifty IT and Nifty FMCG were top gainers.
The US Equity markets were seen on shaky ground on Friday as rising cases of coronavirus blurred the near-term economic outlook. According to data from Johns Hopkins University more than 100,000 coronavirus infections have been reported for 20 successive days in the US. The total number of confirmed cases has reached more than 12 million in which more than 3 million cases were reported within the first few weeks of November alone. Further, the recent 1 million infection cases were reported within less than a week. Further to add fuel to the flames was the statement from Treasury Secretary Steven Mnuchin where he said he would allow some of the Fed’s emergency lending programs to expire at the end of year which will be implement earlier this year to buoy the economy amid coronavirus pandemic. In the end, Dow lost 0.8 per cent, the S&P declined 0.7 per cent and the Nasdaq dropped 0.4 per cent.