Nifty to stage pullback rally or profit-booking to continue- 9 things to know before share market opening bell

Nifty to stage pullback rally or profit-booking to continue? 9 things to know before share market opening bell

Indian benchmark indices are likely to open in green, hinted SGX Nifty. Ahead of the week’s last trading session, Nifty futures were trading slightly higher at 17974 level on the Singapore Exchange. In the previous session, BSE Sensex declined 147 pts to 59,958, while NSE Nifty 50 fell 38 pts to 17,858. “Markets will react to the IT majors viz. Infosys and HCL Technologies numbers in early trades on Friday. Besides, the reaction of the global markets to the US inflation will also be on the radar. On the benchmark front, we feel the prevailing tussle around 17,800 in Nifty will end soon. Meanwhile, the focus should be on sector/stock-specific opportunities while keeping a check on position size,” said Ajit Mishra, VP – Technical Research, Religare Broking.Key things to know before share market opens

Global market watch: Asia-Pacific shares traded mostly higher after the US consumer price index showed inflation cooled in December, raising investors’ hopes that the Federal Reserve can return to slower interest rate hikes. Hong Kong’s Hang Seng index added 0.28% in its first hour of trade, while Mainland China’s Shanghai Composite inched up 0.27% and the Shenzhen Component rose 0.31%. South Korea’s Kospi rose 0.86%, and the Kosdaq traded flat. Bucking the trend, Japan’s Nikkei 225 fell 1.26%. Overnight in the US markets, major stock indexes closed higher. The S&P 500 rose 0.3%, Dow Jones Industrial Average rose 0.6%, and Nasdaq rose 0.6%.

Key levels to watch: “Until Nifty sustains 18150 levels, it would be a hoax for fresh long position. The index may find support around the 17650 zone while 18020-18060 would be a short-term barrier. On the other hand, Bank Nifty has support around 41500-41400 range, while resistance is placed around 42550. As we step towards the new earnings season, the prime focus of the market will turn towards quarterly numbers,” said Om Mehra, Equity Research Analyst, Choice Broking.

FII and DII data: Foreign institutional investors (FII) have net sold shares worth Rs 1,662.63 crore, continuing selling for 15th straight session. Ddomestic institutional investors (DII), on the other hand, net bought shares worth Rs 2,127.65 crore on 12 January, according to provisional data available on the NSE.

Stocks under F&O ban on NSE: Indiabulls Housing Finance and GNFC are the two stocks under the NSE F&O ban list for 13, January. According to the NSE, the stocks mentioned above are prohibited in the F&O sector because they have exceeded 95% of the market-wide position limit (MWPL). During the F&O ban period, no new positions are permitted for F&O contracts in that stock.

Q3 Results on January 13-14: Wipro, L&T Finance Holdings, Aditya Birla Money, Just Dial, The Anup Engineering, Choice International, Ganesh Housing Corporation, and Rajnish Wellness will report quarterly earnings on Friday, 13 January. HDFC Bank, Avenue Supermarts, Infomedia Press, Nouveau Global Ventures, and ZF Steering Gear will announce Q3 Result on Satursday, 14 January.

India CPI inflation eases, IIP growth rebounds: India’s headline retail inflation rate fell for the third month in a row in December, coming in at 5.72. Consumer Price Index (CPI) inflation averaged 6.1% in October-December, well below the Reserve Bank of India’s (RBI) forecast of 6.6%. India’s industrial growth, as per the Index of Industrial Production (IIP), accelerated to 7.1% in November. IIP growth returned to positive territory in November after it contracted by 4% in October.

US inflation cools again: US inflation slowed to 6.5% in December, marking the sixth straight monthly deceleration since a mid-2022 peak and reducing pressure for aggressive rate hikes from the Federal Reserve. Excluding food and energy, the consumer price index rose 0.3% last month and was up 5.7% from a year earlier, according to a Labor Department report Thursday. The overall CPI fell 0.1% from the prior month, with cheaper energy costs fueling the first decline in 2.5 years. The measure was up 6.5% from a year earlier.

Crude oil slumps: Oil prices slipped in early trade on Friday but were on track for gains of more than 6% for the week on solid signs of demand growth in top crude oil importer China and expectations of less aggressive interest rate hikes in the United States. Brent crude futures fell 17 cents, or 0.2%, to $83.86 a barrel by 0119 GMT, while U.S. West Texas Intermediate (WTI) crude futures slipped 12 cents, or 0.2%, to $78.27