Comments
Benchmark indices opened with strong gains on Thursday led by positive global market cues amid dovish US Federal Reserve policy.The US Federal Reserve on Wednesday left the key interest rates unchanged for the third time in a row citing easing inflation over the past year. The Fed Chair Jerome Powell-led Federal Open Market Committee (FOMC) now foresees three rate cuts next year.
The NSE nifty was up by 1.07 per cent or223.55 points to 21,149.90 while the BSE sensex was up by 1.22 per cent or 852.33 points to 70,436.93 at 10.50 am on Thursday.
A total of 3,622 stocks were traded on the BSE, of which, 2,201 advanced, while 1,271 declined and 154 stocks remained unchanged. As many as 338 stocks hit a 52 week high and 11 stocks hit a 52 week low.
Deven Mehata, Research Analyst, Choice Broking, said, “The BSE Sensex and NSE Nifty are projected to open higher on December 14, tracking rises of more than 1% in the GIFT Nifty. The GIFT Nifty rose more over 200 points in the morning following a US Fed commentary that anticipated rate cut in 2024, supported by lowering inflation.
Nifty can find support at 20,900 after a gap up opening, followed by 20,850 and 20,800. On the higher side, 21,020 can be an immediate resistance, followed by 21,100 and 21,150.
The charts of Bank Nifty indicate that it may get support at 47,000, followed by 46,900 and 46,800. If the index advances, 47,320 would be the initial key resistance level to watch out for, followed by 47,500 and 47,800.”
He further added, “Foreign institutional investors (FIIs) net bought shares worth Rs 4,711 crore, while domestic institutional investors (DIIs) offloaded Rs 958 crore worth of stocks on December 13, provisional data from the National Stock Exchange (NSE) showed.”
Major gainers on the NSE at 9:50 am include, HCL Tech (3.28%); Tech Mahindra (3.08%); LTIMindtree (2.88%); Infosys (2.35%); Wipro (2.31%). Major losers include, Power Grid (-0.93%); Nestle India (-0.69%); Cipla (-0.49%); BPCL (-0.49%); Bajaj Auto (-0.31%)
BSE MidCap (0.75 per cent) and BSE SmallCap (0.84 per cent) indicated gains.
“We believe that the Fed has now acknowledged that previous rates hikes are working into the economy and a new challenge of managing a drastic slowdown or a probable recession awaits the central bank. Our sense is that 2024 would be a good year for riskier assets overall and would not be surprised to see other major global central banks following suit in the latter half of next year,” said Manish Chowdhury, Head of Research, StoxBox
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.