The Nikkei225 surged by 0.28% at 9,624.09. The Japanese market surged after Greece"s austerity agreement represented progress in restoring the country's finances and thereby easing concerns over damaging Japan"s export markets. Further, the Shanghai Composite advanced by 0.09% at 2,690.77. The Chinese stocks advanced after the country"s Premier Wen Jiabao stated that the country"s efforts to contain inflation remained effective and the consumer price increases will slow down eventually.
However, the statement sharply contrasted with view by some economists who suggested further steps to tame inflation. Further, the Hang Seng, Seoul Composite and Straits Times surged by 1.09%, 0.84% and 0.21% respectively. In the domestic arena, the markets are likely to follow the route of its global peers and witness a higher opening. The Consumer Durables, FMCG, Realty and Oil&Gas space will be in focus during today"s trade.
Today, Nifty will face a resistance near 5,350 level and will have a support near the 5,250 mark.
On Thursday, the domestic bourses ended on a bullish note led by FMCG major ITC and Sensex heavyweight Reliance Industries which closed higher by 3.37% and 2.90%, respectively. During morning trade, most of the Asian indices traded weak after the US Federal Reserve downgraded its 2011 GDP forecasts for the country and signaled that any further financial assistance is unlikely, raising concerns over slowdown in the global economic recovery.
Soon after opening on the negative terrain, the domestic market was seen paring the losses and the benchmarks rallied above the baseline. The Oil & Gas space led the rally with sectoral major and Sensex heavyweight Reliance Industries gaining strength on buzz that the company has made a fresh discovery in the KG basin. The Nifty was soon seen surging above the 5,300 mark and touch the session high.
A mild profit booking was witnessed after the inflation data which surged week-on-week. However, the data was broadly ignored by the participants and the market hold on to their gains, closing near the intraday highs. The BSE Sensex closed at 17,727.49, up by 176.86 points or by 1.01% and the NSE Nifty closed at 5,320.00, up by 41.70 points or by 0.79%. The BSE Midcap was at 6,524.21 down by 4.20 points or by 0.06%, whereas the BSE SmallCap closed at 7,781.94, down by 25.77 points or by 0.33%. The BSE Sensex touched intraday high of 17,754.55 and intraday low of 17,482.21.
On Thursday, the U.S. markets closed on a mixed note after the market struggled deep into the negative terrain for the major part of the session. The morning slump came amidst rising concerns over the economic woes. A flurry of disappointing economic data dampened the sentiment in the early trade. Fed"s downward revision of the US GDP during the previous session had already maintained pressure on the stocks.
On the top of it, the latest initial jobless claims increased to 429,000, which surpassed the economists" expectations of 413,000 initial claims. Further, the weakness among the European bourses bourses due to the disappointing PMI data raised further concerns about the health of the global economy. Hefty selling across sectors took the benchmarks near their 200 day moving average.
However, the market managed to hold such levels for the second time during this week. Towards the end, the market witnessed a smart recovery led by the Tech stocks which ended with 0.9% gains after opening with over 1% losses. Further, the recovery was fuelled by reports that Greece has reached an agreement on austerity measures with the European Union and International Monetary Fund.
In the major indices, the Dow Jones Industrial Average (DJIA) closed with a loss of 59.67 or 0.49% at 12,050.00 while NASDAQ index finished up by 17.56 points or 0.66% to 2,686.75. The S&P 500 (SPX) closed lower by 3.64 points or 0.28% to 1,283.50.
The FIIs on Thursday stood as net seller in both equity and debt. Gross equity purchased stood at Rs. 1845.90 crore and gross debt purchased stood at Rs. 1543.40 crore, while the gross equity sold stood at Rs. 2114.20 crore and gross debt sold stood at Rs. 2108.70 crore. Therefore, the net investment of equity and debt reported were Rs. (268.30) crore and Rs. (565.20) crore, respectively.
Top traded volumes on NSE Nifty – ITC 7714517, IDFC 6682094, Reliance Communication 6019248 and Reliance Industries 4734842.
On BSE, total number of shares traded was 27.91 crore and total turnover stood at Rs. 2,525.86 crore. On NSE, total number of shares traded was 61.05 crore and total turnover stood at Rs. 8998.44 crore.
In the NSE Futures and Options segment, total number of contracts traded in index futures was 409868 with a total turnover of Rs. 10202.94 crore. Along with this total number of contracts traded in stock futures were 616855 with a total turnover of Rs. 13856.64 crore. Total numbers of contracts for index options were 3257041 with a total turnover of Rs. 87320.47 crore and total number of contracts for stock options was 126619 with a total turnover of Rs. 2915.49 crore.