The Nifty is likely to open flat on Monday tracking muted
handover from Wall Street. The Nifty closed 8 points lower at 9,665 on Friday. TheGRS Solution
The index formed a ‘Doji’ pattern on the charts as it closed
just around the opening level in the previous trading session last week. The
Nifty is facing resistance at a crucial resistance level of 9,700.
Although 'Doji' is a neutral chart pattern and often signals
indecisiveness among bulls as well as bears, but a breakout above 9,700-9,709
is required for bulls to regain control over D-Street.
There is no reason for investors to go bearish on this
market just yet and thus as the index is going through a phase of profit
booking near its crucial resistance level of 9,700. GRS Solution
If the index manages to close above 9,675 or surpasses its
triple top hurdle of 9,700 zones then a fresh leg of the rally may start to
take the index on new high territory towards 9,750 and then towards 9,800
zones.
Stay tuned with GRS Solution 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 climbs after jobs data
The US stocks ended higher on US payrolls report that gave
investors more confidence in the strength of the US economy.
The economy added 222,000 jobs last month, Labor Department
data showed, exceeding expectations of a 179,000 gain, putting the Federal Reserve
on track to raise interest rates once more this year, said a Reuters reported. Twitter GRS_Solution
Perceived chances of a rate hike at the U.S. central bank's
December meeting stood at 48.9 percent, according to Thomson Reuters data.
The Dow Jones Industrial Average rose 94.3 points, or 0.44
percent, to end at 21,414.34, the S&P 500 gained 15.43 points, or 0.64
percent, to 2,425.18 and the Nasdaq Composite added 63.62 points, or 1.04
percent, to 6,153.08.
SGX Nifty
The Nifty futures on the Singapore Stock Exchange were trading
5 points lower at 9,668 indicating a flat opening for the domestic market.
SEBI bans P-Notes on derivative
In a major move, market regulator SEBI on Friday banned FPIs
from issuing offshore derivative instruments or P-Notes for derivatives as
underlying, said a media report.
The SEBI over the weekend said that exception will be made
for P-Note issuances on derivatives only where it is done for hedging purpose
and underlying shares are held by FPIs, it said.
RBI partially retracts statement on 12 cases
RBI withdrew a portion of its earlier statement in which it
said 12 cases identified by it for insolvency proceedings would be accorded
priority by the National Company Law Tribunal (NCLT) "stands
deleted", said a report.
It said these cases would be "accorded priority"
by NCLT, which has jurisdiction over insolvency proceedings.
However, withdrawing the portion, RBI said: "...Such
cases will be accorded priority by the National Company Law Tribunal (NCLT)
stands deleted," the banking regulator said in a statement today.
20 nations expect IMF quota reforms
Efforts will be made to complete quota reforms at the
International Monetary Fund by 2019, the G20 nations said as they emphasised
the need for representative global economic and financial institutions for
sustainable development, said a report.
Quota reforms would provide more voice for emerging
economies, including India, at the multilateral institution. "We will
enhance the international financial architecture and the global financial
safety net with a strong, quota-based and adequately resourced IMF at its
center," the nations said in their declaration after the two-day summit.
AU Small Finance Bank to make a debut
After a stellar response to the issue, AU Small Finance Bank
is all set to make a debut on exchanges on July 10. The issue price is fixed at
the higher end of price band of Rs 355-358.
Experts feel the stock price is expected to open over Rs
400, given the overwhelming response to the public issue and indication from
the grey market premium that is around Rs 75-80.
IDFC, Shriram merger to create a financial powerhouse
Shriram Group and IDFC Group have entered into an
exclusivity arrangement for a period of 90 days to explore a merger between the
two entities to create a USD 10 billion-plus financial powerhouse.
Once merged, Shriram City Union Finance will be absorbed
into IDFC Bank while Shriram Transport Finance will remain a standalone entity
under the group. Shriram Asset Management Company, Shriram Life Insurance, and
Shriram General Insurance will be part of IDFC Ltd.
Govt may sell Air India in parts
India is considering selling state-owned Air India in parts
to make it attractive to potential buyers, as it reviews options to divest the
loss-making flagship carrier, Reuters said in a report quoting several
government officials.
Prime Minister Narendra Modi's cabinet gave the go-ahead last
month for the government to try to sell the airline after successive
governments spent billions of dollars in recent years to keep the airline
going.
Oil prices drop 3 percent on supplies
Oil prices settled nearly 3 percent lower on Friday as
rising US production as OPEC exports hit a 2017 high cast doubt over efforts by
producers to curb global oversupply, said a Reuters report.
Brent crude settled down $1.40, or 2.9 percent, at $46.71 a
barrel, after falling to $46.28, its lowest in more than a week. US West Texas
Intermediate (WTI) crude futures finished $1.29, or 2.8 percent, lower at
$44.23 a barrel, after trading as low as $43.78.
Dollar firms after strong U.S. jobs report
The dollar gained after a report showed the US economy
created far more jobs than expected in June and previous months, said a report.
Following the report, the dollar rose to two-month highs
against the yen. The dollar was last at 113.95 yen, up 0.7 percent, after
earlier reaching a two-month high of 114.17 yen, quoted Reuters.
5 stocks under ban period on NSE
Security in ban period for the next trade date under the
F&O segment includes companies in which the security has crossed 95% of the
market-wide position limit.
Securities which are banned for trading today include names
like HDIL, Indiabulls Real Estate, Jaiprakash Associates, JSW Energy, and
Ujjivan.
