Nifty Fut (July) closed at
8583 at almost day high (8584) after making a low of 8509.55.
Technically, NF now need
to sustain above 8605 for an immediate target of 8675* and
8740-8785 & 8845-8875 area.
On the other side of the
NF trade, sustaining below 8585, NF will fall towards
8490-8460* and 8405*-8315 zone.
Today, global market got
some boost after BOJ reportedly confirmed about issuing some
types of "Perpetual Bonds" as a part of its fresh QQE
initiative. But the same was denied later along with some
concept of "Helicopter Money" (after Indian mkt hours).
Meanwhile, after Indian mkt
hours, BOE stayed neutral and did not cut the the rate as
expected (by 0.25%) and emphasized on the Aug meet for a full
assessment of the UK economy and any rate cut with QQE in the
background of "Brexit" uncertainty. Subsequently, global market
retreated to some extent and it will an interesting US session
today to be watched.
Also, yesterday after taking
office, the new UK PM although emphasized on the "real Brexit"
publicly ("Brexit is Brexit"), privately, May has communicated
"going slow" tactics to Merkel (Germany) and Hollande (France)
as par some reports. Clearly, May will be in no hurry to invoke
Article-50 for the real exit/official negotiations with the EU,
the environment of overall uncertainty may do more harm to the
British economy in the coming months.
Today INC confirmed about
meeting with the Govt/BJP regarding the much expected passage of
GST in the RS, starting from 18-th July. But from the overall
commentary and body language of the INC leader, it appears that
there is still some major differences regarding the core demands
of the INC (GST rate capping at max 18%, redressal mechanism
etc) and passage of GST may not be a "done deal" yet this time
too !!.
Also, despite apparent
confidence of GST passage in the RS this time, BJP seemed to
loosing the same as the Parliament session coming closer and it
may be the real fact that without Cong's active or passive
support, GST passage may be quite tough this time too !!.
The Indian market also got
some booster dose by the IMD comments that the much awaited
monsoon has already covered the entire part of India ahead of
two days.But, going forward, actual quantity & distribution
of monsoon will be more vital to see, if it really helped the
distressed rural economy amid past two years of drought/deficient
rain.
Today, PSBS were extremely
strong amid market talk of Govt announcement of the
recapitalization amount.
Also, as par some reports,
RBI's initiative of "neutral liquidity" recently from the past
policy of "deficient liquidity" has significant positive impact
on the Indian market. It may be a "Desi/Indian" version of QQE
as RBI released almost Rs.80000 cr of liquidity by OMO to the
Indian banking system.
Market is also keenly
watching Govt's official announcement regarding name of the new
RBI Gov. As par some market talk, Govt may announce on or before
16-th July the name of the next RBI Gov ahead of Parliament
session staring on 18-th July.
Tomorrow's Infy result will
also be keenly watched. In the meantime, TCS just announced its
Q1 result and its slightly above market expectations (tomorrow's
price action may be vital for TCS).
Today, India's June WPI came
at 1.62% against estimate of 1.19% (prior 0.79%). The higher
trajectory of inflation may cause RBI to stay at side line in
the Aug meet, but higher manufacturing inflation may also be
termed as positive after years of contraction as it may be indicating
incrementally better demand & pricing powers despite lower
base effect of raw materials (commodities).
Article Courtesy: Frontiza.com
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