 "Nifty below 8,650 in opening trades; US Fed meet eyed")
Markets opened marginally higher but failed to sustain gains tracking mixed global cues. Meanwhile, investors are likely to remain cautious ahead of the two-day US Federal Reserve meet which begins on Tuesday.
At 9:28, the Sensex was lower by 8 points at 28,495 and the Nifty dipped 9 points at 8,639.
Technical analysts say that given the ongoing momentum and the chart structure, there is a possibility of the Nifty extending this downward move towards 8,550 – 8,500 levels.
Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 66.98 crore on Friday, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) sold shares worth a net Rs 71.55 crore on Friday, as per provisional data.
GLOBAL MARKETS
Japanese stocks edged up to hit a 15-year high on Monday, with financial and real estate companies leading the gains, as investors bet on steady improvement in the Japanese economy and increased shareholder returns.
The Nikkei share average rose 0.3% to 19,309.23, hitting a 15-year intraday high at one point and extending its gain so far this year to almost 11%, outpacing many other markets.
However, Major US share indices ended lower on Friday on concerns of the impact of a strengthening dollar on corporate earnings while decline in crude oil prices led to profit taking in energy shares. Meanwhile the Dow Jones and S&P 500 recorded their third straight weekly loss.
Further, investors will keenly watch the US Fed meeting this week for its direction for the probability of an interest rate hike. The Dow Jones ended down 146 points at 17,749.31, the broader S&P 500 ended down 13 points at 2,053.40 and the tech laden Nasdaq closed 22 points down at 4,871.76.
LEADERS & LAGGARDS
BSE Healthcare and Realty indices are up nearly 1% each. However, BSE Metal index is trading lower by almost 1%.
The main gainers on the Sensex are Tata Power, Tata steel, SBI, GAIL, Wipro, Bajaj Auto and BHEL.
State Bank of India said that the Executive Committee of Central Board (EGOS) of the Bank, in its meeting held on March 13, 2015, has accorded its approval to fix the issue price at Rs 295.59 per share of face value of Re.1/-, including a premium of Rs 294.59 per share, and accordingly, to issue 10,04,77,012 equity shares, ranking pari-passu with the existing equity shares of the bank in all respects, on preferential basis to GoI, for a consideration of Rs. 2970 crore.
DLF has surged nearly 3% after the company said that the Hon'ble Securities Apellate Tribunal has on March 13, quashed the Order dated October 10, 2014 passed by SEBI which had debarred the realty major from accessing the capital market for a period of three years. Further, according to reports an audit commitee has deferred the conversion of preferential shares due on March 19, 2015 by one year and also reduced the coupon rate on convertible preferential shares to .01% from 9%. A foreign brokerage has upgraded the stocks as the reduction in coupon rate will result in savings of Rs 144 crore in interest costs for the debt ridden company during 2015-16.
On the losing side, Bharti Airtel, Hindalco, NTPC, Infosys and ICICI Bank have slipped between 0.3-1%.
At 9:28, the Sensex was lower by 8 points at 28,495 and the Nifty dipped 9 points at 8,639.
Technical analysts say that given the ongoing momentum and the chart structure, there is a possibility of the Nifty extending this downward move towards 8,550 – 8,500 levels.
More From This Section
"These levels are just 1.5% away from the current levels on the Nifty and hence, due to unfavorable risk to reward ratio, it would be difficult to short this market at current levels. 8,800 – 8,850 is now seen as an immediate resistance zone for the market. Hence, with a slightly broader perspective, we expect the Nifty to continue its consolidation phase, where we could see a trading range of 8850 – 8800 to 8550 – 8500. It’s advisable to trade with a proper exit strategy," said technical analysts at Angel Broking in a morning note.
Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 66.98 crore on Friday, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) sold shares worth a net Rs 71.55 crore on Friday, as per provisional data.
GLOBAL MARKETS
Japanese stocks edged up to hit a 15-year high on Monday, with financial and real estate companies leading the gains, as investors bet on steady improvement in the Japanese economy and increased shareholder returns.
The Nikkei share average rose 0.3% to 19,309.23, hitting a 15-year intraday high at one point and extending its gain so far this year to almost 11%, outpacing many other markets.
However, Major US share indices ended lower on Friday on concerns of the impact of a strengthening dollar on corporate earnings while decline in crude oil prices led to profit taking in energy shares. Meanwhile the Dow Jones and S&P 500 recorded their third straight weekly loss.
Further, investors will keenly watch the US Fed meeting this week for its direction for the probability of an interest rate hike. The Dow Jones ended down 146 points at 17,749.31, the broader S&P 500 ended down 13 points at 2,053.40 and the tech laden Nasdaq closed 22 points down at 4,871.76.
LEADERS & LAGGARDS
BSE Healthcare and Realty indices are up nearly 1% each. However, BSE Metal index is trading lower by almost 1%.
The main gainers on the Sensex are Tata Power, Tata steel, SBI, GAIL, Wipro, Bajaj Auto and BHEL.
State Bank of India said that the Executive Committee of Central Board (EGOS) of the Bank, in its meeting held on March 13, 2015, has accorded its approval to fix the issue price at Rs 295.59 per share of face value of Re.1/-, including a premium of Rs 294.59 per share, and accordingly, to issue 10,04,77,012 equity shares, ranking pari-passu with the existing equity shares of the bank in all respects, on preferential basis to GoI, for a consideration of Rs. 2970 crore.
DLF has surged nearly 3% after the company said that the Hon'ble Securities Apellate Tribunal has on March 13, quashed the Order dated October 10, 2014 passed by SEBI which had debarred the realty major from accessing the capital market for a period of three years. Further, according to reports an audit commitee has deferred the conversion of preferential shares due on March 19, 2015 by one year and also reduced the coupon rate on convertible preferential shares to .01% from 9%. A foreign brokerage has upgraded the stocks as the reduction in coupon rate will result in savings of Rs 144 crore in interest costs for the debt ridden company during 2015-16.
On the losing side, Bharti Airtel, Hindalco, NTPC, Infosys and ICICI Bank have slipped between 0.3-1%.