 "Stock Market Today: Accenture guidance, S&P 500 record high, KRN Heat IPO")
Share market today: Indian benchmark indices BSE Sensex and Nifty 50 are likely to edge higher today on the back of strong global cues. In the previous session, the BSE Sensex and Nifty 50 closed at record highs.
The Sensex advanced 666 points, or 0.78 per cent to settle at 85,836.12, after scaling a new peak of 85,930.43, just 70 points shy of 86,000, during intraday trade. Nifty 50 also joined the rally to scale a life high of 26,250.90 before finishing Thursday's session with a gain of 211 points, or 0.81 per cent, at 26,216.05.
At around 6:54 AM, GIFT Nifty futures were up 48.65 points at 26,358.5.
Wall Street on Thursday
The US markets finished on a strong note on Thursday, with the S&P 500 ending at a record closing high, while Dow Jones and Nasdaq Composite were also higher.
At close, the Dow Jones was up 0.62 per cent, the S&P 500 was up 0.40 per cent, and the Nasdaq Composite ended 0.60 per cent higher.
The surge in the frontline US indices came after a rally of close to 13 per cent in Micron Technology shares, which forecasted first-quarter revenues above expectations.
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Meanwhile, robust economic data also boosted sentiments on Wall Street. Weekly jobless claims indicated a steady labor market slipping more than anticipated.
According to Reuters, the claims for state unemployment benefits dropped 4,000 last week to a seasonally adjusted 218,000 for the week ended September 21, the lowest level since mid-May, the Labor Department said.
That apart, the final reading of gross domestic product (GDP) showed that the economy grew 3 per cent annually from April through June. The economy grew on the back of strong consumer spending and business investment, the government said.
Asian markets today
Tracking a surge in the US indices, Asia-Pacific markets also edged higher on Friday. At last count, Japan's Nikkei was 0.16 per cent higher, and Australia's ASX 200 was up 0.57 per cent. Meanwhile, South Korea's Kospi was flat with a positive bias.
Global triggers
In the US today, core personal consumption expenditure (PCE) price data for August and the Fed's balance sheet for September will be in focus.
Meanwhile, IT services major Accenture raised its revenue guidance for FY25 to 3 to 6 per cent, which will bring the spotlight on IT stocks in the country.
In the Asia Pacific markets, today, Tokyo's core consumer price index (CPI) data for September, Japan's Foreign Bond investment for September, and China's industrial profits for August will also be on investors' radar.
Back home, market participants will eye Foreign Exchange Reserves' data for September.
That apart, India will eye the risk of an influx of Chinese products as US tariffs on a range of Chinese goods, including solar panels, electric vehicles, lithium ion batteries, syringes, and steel.
Additionally, the central government hiked the minimum wage rates for workers up to Rs 1,035 a day by revising variable dearness allowance.
Crude oil check
On the commodity front, last seen, Brent crude futures were down 0.35 per cent to $71.35 per barrel.
Here's how analysts view today's (September 27) trading session
Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas
On the daily charts, we can observe that the Nifty is heading towards the upper end of the rising channel 26,560. Divergence on the momentum indicator suggests that caution should be maintained on the longs. Until there is evidence of weakness on the price front, we shall continue to ride the uptrend with a trailing stop-loss mechanism which should be maintained with 26,000.
Nifty Bank broke out of the sideways consolidation of 53,800 – 54,300 on the upside. We expect the momentum to continue towards 55,000. The support base shifts higher towards 54,000 – 53,900.
Rupak De, Senior Technical Analyst, LKP Securities
The Nifty has broken out of consolidation on the daily timeframe, indicating increasing bullish momentum. The sentiment is expected to stay positive as the index closed above a key moving average. A drop below 26,000 might disrupt the current bullish trend, but until then, the strength is likely to persist in the index.
Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd
Nifty continued its impressive run and closed at a record high for the fifth consecutive session, indicating strong market strength. We expect the bullish momentum to continue supported by strong action in frontline stock. Globally, US Q2 GDP & PCE numbers would be important data to watch out for.
IPO watch: KRN Heat Exchanger and others in focus
Mainboard:
KRN Heat Exchanger and Refrigeration Ltd initial public offer (IPO) will close for subscription today. The IPO is a book built issue of Rs 341.95 crore. The issue is entirely a fresh issue of 15.5 million shares.
NSE, BSE SME IPO:
Saj Hotels Ltd IPO and HVAX Technologies Ltd IPO will open for subscription on NSE SME.
On the other hand, Unilex Colours and Chemicals Ltd IPO, TechEra Engineering Ltd IPO, and Thinking Hats Entertainment Solutions Ltd IPO will close for subscription on NSE SME today.
Shares of BikeWo GreenTech, SD Retail Ltd, Phoenix Overseas Ltd, and Avi Ansh Textile Ltd will be listed on NSE SME today.
FII, DII update: How much did FIIs, and DIIs buy or sell on September 26?
As per NSE data, Foreign Institutional Investors (FII) were net buyers of Indian equities worth Rs 629.96 crore.
Likewise, the DII's were net buyers of equities worth Rs 2,405.12 crore.