The Nikkei 225 declined by 0.73% at 10,057.95. The Japanese stocks plunged after the country's export outlook was threatened due to the inability of the US government to decide on increasing debt ceilings raised concerns over possible debt default. ADRs of Japanese carmaker, Honda Motor Co., which generates 85% of its revenues abroad, declined by 0.4%. The Shanghai Composite plunged by 0.85% at 2,747.22. Further, the Hang Seng and Seoul Composite decreased 0.69% and 0.76%, respectively. In the domestic arena, the markets are likely to follow the route of its global peers and open in the negative terrain. The Consumer Durables, Banking, Auto, Realty and Metal space will be in focus during today's trade.
On Friday, the domestic bourses ended on a robust note as the benchmark indices marked an end to the two sessions of losing streak. Soon after witnessing a gap up opening, the benchmark indices were seen gaining further momentum backed by the IT, Banking and Oil&Gas space. The morning sentiment was boosted on reports of Greece's rescue plan which eased concerns over spreading of the debt crisis to other European countries. As the day progressed, the benchmarks gradually inched higher, making fresh intraday highs. However, the 5,645 level on Nifty acted as a solid resistance for the market and the benchmark was pulled down from such levels quite a few number of times. However, the market managed to hold on to the gains and the benchmarks finally closed near their session highs.
The BSE Sensex closed at 18,722.30 up by 286.11 points or by 1.55% and NSE Nifty closed at 5,633.95, higher by 92.35 points or by 1.67%. The BSE Midcap was at 7,046.12 higher by 87.21 points or by 1.25%, whereas the BSE SmallCap closed at 8,463.49, increasing by 69.19 points or by 0.82%. The BSE Sensex touched intraday high of 18,747.06 and intraday low of 18,533.43.
On Friday, the U.S. markets closed on a mixed note despite of better than expected earnings reports from various sectorial majors. General Electric, Microsoft, Verizon and McDonald's reported favourable results; however, apart from McDonald's, all of them ended the session with losses. Dow Component Caterpillar posted earnings which missed the street estimates and declined by 5.78%. Further, better than estimated results from Tech players, Advanced Micro, Western Digital and SanDisk has lifted the overall sector by 1.2%, also boosting the Tech heavy Nasdaq index. However, all the outstanding earnings report failed to boost the overall market sentiment as investors remained skeptical regarding US government's decision on increasing the country's debt ceiling. The Industrials space remained the major laggard during the session with 1% loss.
In the major indices, the Dow Jones Industrial Average (DJIA) closed with a loss of 43.25 or 0.34% at 12,681.16 while NASDAQ index finished up by 24.40 points or 0.86% to 2,858.83. The S&P 500 (SPX) closed higher by 1.22 points or 0.09% to 1,345.02.
The FIIs on Friday stood as net seller in both equity and debt. Gross equity purchased stood at Rs. 1952.90 crore and gross debt purchased stood at Rs. 289.30 crore, while the gross equity sold stood at Rs. 2124.90 crore and gross debt sold stood at Rs. 1105.70 crore. Therefore, the net investment of equity and debt reported were Rs. (171.90) crore and Rs. (816.40) crore, respectively.
Top traded volumes on NSE Nifty – Bharti Airtel 10295153, ITC 9159652, Reliance Communications 5889791, Sesa Goa 4974276 and Axis Bank 4217583.
On BSE, total number of shares traded was 29.44 crore and total turnover stood at Rs. 3,187.31 crore. On NSE, total number of shares traded was 60.58 crore and total turnover stood at Rs. 11632.77 crore.
In the NSE Futures and Options segment, total number of contracts traded in index futures was 520626 with a total turnover of Rs. 13705.24 crore. Along with this total number of contracts traded in stock futures were 694230 with a total turnover of Rs. 20466.13 crore. Total numbers of contracts for index options were 4081234 with a total turnover of Rs. 115090.86 crore and total number of contracts for stock options was 160276 with a total turnover of Rs. 4943.21 crore.
Today, Nifty will face a resistance near 5,650 level and will have a support near the 5,460 mark.