Bulls need to reclaim 7,900 and bears need to push Nifty below 7,800
We had mentioned in Wednesday’s closing report that Nifty, Sensex are in the hands of bulls and that Nifty has to remain above 7,943 for the market to remain bullish. The major indices of the Indian stock markets suffered a sharp correction and the losses over Wednesday’s close were over 1.65%. The trends of the major indices in Thursday’s trading are given in the table below:
Profit booking, coupled with the logjam in parliament and negative global cues, subdued the Indian equity markets on Thursday. The sell-off was accelerated by the decision by the Bank of Japan (BoJ) to maintain the status quo in its monetary policy. This led to key indices of the Indian equity markets closing the day's trade in the red. The BSE market breadth was tilted in favour of the bears -- with 1,672 declines and 854 advances.
The US Federal Reserve said that it will maintain the target range for the federal funds rate at 0.25%-0.5%, but gave little clue on the timing of its next rate hike. The US Labour market conditions "have improved further" even as growth in economic activity "appears to have slowed", the Fed said in a statement on Wednesday after wrapping up a two-day policy meeting, noting that it will continue to "closely monitor" inflation indicators and global economic and financial developments. The Fed currently expects that the US economy will expand "at a moderate pace" and the labour market indicators will "continue to strengthen," according to the statement. The Fed raised its benchmark interest rate by 25 basis points to 0.25%-0.5% in December, the first rate hike in nearly a decade, marking the end of an era of extraordinary easing monetary policy. But the turmoil in financial markets and a slowdown in global economy since the start of the year have raised increasing concerns about the strength of the US economy, forcing Fed policymakers to hold off on any further rate hikes since then.
US stocks closed mixed as Wall Street assessed the Federal Reserve's decision to leave interest rates unchanged and weak earnings report from tech-giant Apple. The Dow Jones Industrial Average rose 51.23 points on Wednesday, or 0.28%, to 18,041.55. The S&P 500 added 3.45 points, or 0.16%, to 2,095.15. The Nasdaq Composite Index lost 25.14 points, or 0.51, to 4,863.14. Oil prices jumped as the US Federal Reserve decided to keep the target range for the federal funds rate unchanged.
IT services company HCL Technologies on Thursday said it posted a rise of 7.07% in its standalone net profit for the quarter ending 31 March 2016, at Rs1,675.45 crore against Rs1,564.74 crore in the same period of 2015. According to the financial results posted on the Bombay Stock Exchange (BSE), the company's total income in the quarter under review at Rs4,612.21 crore compared to Rs4,385.95 crore clocked in the year ago quarter. Total expenses rose from Rs2,711.55 crore to Rs2,848.88 crore for the quarter.
Bharti Airtel's net profit rose by 2.8% in the fourth quarter (January-March) of 2015-16, a company statement said on Wednesday. The consolidated net profit of the company increased to Rs.1,290 crore in the fourth quarter of 2015-16 compared to Rs1,255 crore posted during the corresponding period in 2014-15. The total revenue of the company for the quarter stood at Rs24,960 crore, which is a growth of 8.4%. Till 31 March 2016, the company had 251.2 million mobile customers in India as compared to 226 million the previous year, an increase of 11.2%.
Global software major Infosys Ltd. on Wednesday announced investing an unspecified amount in US-based data software firm Trifacta which enables non-technical users to transform data for analysis. "The investment will enable Trifacta provide a data wrangling solution to our information platform and other offers," Infosys said in a statement. With the San Francisco-headquartered Trifacta, a broad range of users from business analysts to data scientists will be empowered to discover, cleanse and blend information. "We see huge potential in self-service data preparation solutions like Trifacta to help clients unlock business value of their big data assets," Infosys vice president for corporate development Ritika Suri said in the statement. Trifacta software will also enable Infosys' global clients to introduce a stack of data management solutions, complementing its data management and automation platforms. "Partnership with Infosys will play a key role in our global expansion, bringing the power and value of data wrangling to customers the world over," Trifacta chief executive Adam Wilson said in the statement. Infosys shares closed at Rs1,211.45, down 2.30% on the BSE.
The top gainers and top losers of the major indices are given in the table below:
The closing values of the major Asian indices are given in the table below: