(18-Nov-2024)GIFT Nifty signals a strong start

GIFT Nifty:

The GIFT Nifty November futures contract is trading 90.50 points higher, suggesting a strong opening for the Nifty 50.

Institutional Flows:

Foreign portfolio investors (FPIs) sold shares worth Rs 1,849.87 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 2,481.81 crore in the Indian equity market on 14 November 2024, provisional data showed.

According to NSDL data, FPIs have sold shares worth over Rs 32351.27 crore (so far) in the secondary market during November 2024. This follows their sale of shares worth Rs 1,13,858.81 crore in October 2024.

Global Markets:

Asian stocks traded mixed on Monday as investors tempered expectations for Federal Reserve interest rate cuts following recent signs of US economic resilience.

Japanese and Australian shares fell. South Korea's benchmark bucked the trend, led by Samsung Electronics Co.'s rally after it announced a stock buyback plan.

Later on Monday, traders will be watching a speech and media briefing by Bank of Japan Governor Kazuo Ueda for clues on the central bank's next policy move, particularly regarding the weakening yen.

United States equities were lower at the close on Friday, as the post-election rally faded. Strong economic data fueled concerns about fewer Fed rate cuts. At the close in NYSE, the Dow Jones Industrial Average lost 0.70%, while the S&P 500 index declined 1.32%, and the NASDAQ Composite index fell 2.25%.

Applied Materials dropped 9% after a disappointing earnings report, citing slowing demand from China.

US retail sales increased slightly more than expected in October, rising 0.4% last month above the 0.3% expected, and compared with the upwardly revised 0.8% advance in September. Robust consumer spending helped the economy maintain its strong pace of growth last quarter.

At the same time, US import prices unexpectedly rose in October, rebounding 0.3% last month after an unrevised 0.4% decline in September, the latest indication of lack of progress lowering inflation in recent months.

Domestic Market:

The headline equity benchmarks continued their downward trend on Thursday, marking the sixth consecutive day of losses. The Nifty 50 index settled below the 23,550 mark, having reached a day's high of 23,675.90 during the morning session. FMCG, PSU banks, and pharma shares fell, while auto, media, and realty stocks gained. The S&P BSE Sensex declined 110.64 points or 0.14% to 77,580.31. The Nifty 50 index lost 26.35 points or 0.11% to 23,532.70, sliding below its 200-day simple moving average. The 50-unit index has fallen 3.89% in five sessions.

Domestic stock exchanges were closed on Friday, 15th November for Guru Nanak Jayanti.