GIFT Nifty traded flat at 19,607.5, up marginally 0.01%, indicating a flat opening for domestic indices NSE Nifty 50 and BSE Sensex. On Thursday, the NSE Nifty 50 gained 0.56% to settle at 19,545.75, while the BSE Sensex added as much as 405.53 points to 65,631.57.
“Markets saw a recovery after two days of fall amid stability in global indices following ease in US Bond yields and a fall in crude oil prices from their recent highs. Though the market bounced back today, uncertainty persists which would keep the Nifty range bound. Investors would watch out for US weekly jobless claims that would be released late today. Also, the release of US non-farm payroll data along with the RBI policy outcome tomorrow would be key events to watch out for. The World Cup 2023 began today in India, which is expected to have a positive impact on various sectors like Travel & Tourism, Hotels, Consumers, and QSR, thus these sectors are likely to remain in momentum,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services.
Crude Oil
WTI crude prices are trading at $82.69, up 0.46%, while Brent crude prices are trading at $84.34, up 0.4%, on Friday morning.
US Dollar
The dollar dipped on Friday but traders were largely keeping to the sidelines in both the currency and US Treasury markets as they looked to US nonfarm payrolls data later in the day for potential catalysts, according to Reuters. The dollar index, which earlier in the week hit a roughly 11-month high of 107.34, last settled at 106.37, but remained on track for 12 straight weeks of gains.
Asian Market
Shares in the Asia-Pacific region are trading in the green on Friday morning. The Asia Dow is trading up 0.79%, whereas the benchmark Chinese index, the Shanghai Composite, is up 0.10%, while Japan’s Nikkei 225 is marginally up 0.03%. Meanwhile, Hong Kong’s Hang Seng index is also up 1.40%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 1,864.20 crore, while domestic institutional investors (DII) added shares worth net Rs 521.41 crore on October 5, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Punjab National Bank, Indiabulls Housing Finance, Delta Corp, and Manappuram Finance to its F&O ban list for October 6, 2023.
Technical View
Commenting on the technical outlook of Nifty 50, Rupak De, Senior Technical analyst at LKP Securities, said, “The Nifty has shown an upward movement following a hammer formation on the daily time frame. Additionally, there is a hidden positive divergence observed on the daily RSI. The strength of the trend is expected to persist as long as the index stays above 19,430. On the upper side, resistance is placed around 19,600, which may act as immediate resistance. A decisive move above 19,600 could propel the index to higher levels.”
Bank Nifty Outlook
On Friday, the Bank Nifty index added as much as 249.30 points, or 0.57% to settle at 44,213.35. “Bank Nifty opened gap up and thereafter consolidated for the most part of the day. On the hourly momentum indicator, we can observe positive divergence and crossover which is a bullish sign. We expect the Bank Nifty to provide a pullback till 44,800 – 45,000 from short-term perspective,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.