Indian indices witnessed a flat start on Friday amid weak global cues. The start to the week saw investors betting on hopes of de-escalation in the war between Russia and Ukraine. However, the optimism evaporated after Russian President Putin threatened on Thursday to cut off Europe’s gas supply if payments were not made in roubles. Kremlin’s continuous attack on Ukraine had already derailed any hopes as most global indices fell on Thursday. The Wall Street slumped to its biggest quarterly decline in two years on Thursday amid fears of rising inflation and US Fed’s response to curb it. The fall in the US markets is likely to weigh on Indian indices and the bourses could see some volatility on Friday. In Asia, shares in Japan, South Korea, Hong Kong, and Shanghai declined, while that in Australia advanced in early trade on Friday.
Banks help European shares rise amid gas supply worries
European shares rose slightly after early sluggishness on Friday, as a rally in bank stocks helped outweigh worries about economic growth and inflation, with Europe facing a deadline to start paying for Russian gas in roubles.
Russian President Vladimir Putin threatened to cut off gas supplies unless paid in local currency from April 1 — a move that could exacerbate an energy crunch in the continent as Russian gas imports account for about 40% of Europe’s consumption.
The move comes as a response to Russia’s increasing economic isolation following its invasion on Ukraine. Worries about the fallout from the war, compounded by likely central bank tightening to control surging inflation, saw the pan-European STOXX 600 index mark its first quarterly loss in two years last month.
The index on Friday rose 0.3%. Banks 1.1% with Spanish lender Santander firming 3.1% after reiterating its 2022 profitability target.
Copper futures slip amid muted demand
Copper futures on Friday fell by ₹2.85 to ₹818.60 per kg as participants cut their positions amid muted demand in domestic market.
On the Multi Commodity Exchange, copper contracts for April delivery eased by ₹2.85 or 0.35 per cent to ₹818.60 per kg in a business turnover of 3,784 lots.
Analysts said trimming of positions by speculators due to muted demand in spot market mainly dragged down copper prices in futures trade.
Gold futures slip ₹181 to ₹51,404 per 10 gm
Gold futures on Friday fell by ₹181 to ₹51,404 per 10 grams as participants cut down their bets amid a weak global trend.
On the Multi Commodity Exchange, gold contracts for April delivery declined by ₹181 or 0.35 per cent to ₹51,404 per 10 grams in a business turnover of 228 lots.
Analysts attributed the fall in prices to trimming of positions by investors, tracking a weak trend in international markets.
Globally, gold was trading 0.89 per cent lower at USD 1,936.60 per ounce in New York.
Zinc futures rise on spot demand
Zinc prices on Friday rose by ₹7.30 to ₹351.80 per kg in futures trade tracking a firm trend in physical markets on the back of a pick-up in spot demand.
On the Multi Commodity Exchange, zinc contracts for April delivery traded higher by ₹7.30 or 2.12 per cent to ₹351.80 per kg with a business turnover of 1,217 lots.
Marketmen said widening of positions by participants following a pick-up in demand from consuming industries, kept zinc prices higher in futures trade.
KFin Technologies files draft papers with Sebi for ₹2,400 cr IPO
Financial services platform KFin Technologies has filed preliminary papers with market regulator Sebi to raise ₹2,400 crore through an Initial Public Offering (IPO).
Zerodha founder on odds of making money in options trading
The stock market can be the toughest place in the world to make easy money, especially in trading options strategies. On whether option writing has odds of making higher profit, Zerodha founder and CEO Nithin Kamath in a tweet said that it is possible, but only when risk is compared to option buying.
Top Sensex losers
Top Sensex gainers
After initial hiccups, BSE Sensex makes steady gains
Nifty financials post solid gains; HDFC AMC leads the chart
ATF price hiked by 2% to all-time high
Jet fuel prices on Friday were hiked by 2 per cent – the seventh straight increase this year – to an all-time high, reflecting a surge in global energy prices.
Aviation turbine fuel (ATF) – the fuel that helps aeroplanes fly – was hiked by ₹2,258.54 per kilolitre, or 2 per cent, to ₹1,12,924.83 per kl in the national capital, according to a price notification by state-owned fuel retailers.
US encourages India to participate in its petroleum reserve after Russia’s offer
The United States has been in touch with several countries including India on the release of strategic reserves. US President Joe Biden announced the release of one million barrels of oil per day from the nation’s strategic petroleum reserves for the next six months in order to keep the lid on oil prices which have been spiralling in the aftermath of the Russian invasion of Ukraine.
IndiGo’s take off is not without hurdles
The resumption of international travel after a gap of two years means financial year 2023 has begun on a good note for InterGlobe Aviation Ltd, which operates IndiGo airline, India’s largest. The aviation company has announced restarting its scheduled international flights on over 150 routes starting April, which were earlier operated under air bubble arrangements.
Multibagger stock to announce dividend on preference shares
Indsil Hydro Power and Manganese Ltd is one of the dividend paying stocks in April 2022. The company management informed Indian bourses that the Board of Directors of the Company is going to meet today for declaration of Second Interim Dividend on 10 per cent Cumulative Redeemable Preference Shares for the financial year 2021-22.
Marico expands Saffola brand, marks entry into spreads
Packaged consumer goods company Marico Ltd., has expanded its Saffola brand to mayonnaise and peanut butter, marking its foray into the condiments and spreads category.
BSE SmallCap index surges over 1.4%; Centrum, IOLCP lead with around 15% gains
US futures edge up, stocks mixed as crude drops
U.S. equity futures rose Friday and Asian stocks were mixed as investors evaluated the economic outlook amid moderating oil prices, tightening Federal Reserve monetary policy and Russia’s war in Ukraine.
A turnaround in China helped an Asia-Pacific share index pull away from session lows but wasn’t enough to drag the gauge out of the red. S&P 500 and Nasdaq 100 contracts made modest gains, while Europe’s fluctuated. Stocks are coming off their worst quarter since the pandemic bear market.
Oil retreated below $100 a barrel on a move by the U.S. to release 1 million barrels a day for six months from reserves to tackle rising energy costs. Russia’s invasion has disrupted commodity flows, stoking fuel and food prices.
Ruchi Soya fixes FPO issue price at ₹650 per share; to raise ₹4,300cr
Patanjali Ayurved-owned Ruchi Soya on Thursday fixed the issue price of its follow-on public offer at the upper limit of its price band at ₹650 per equity share to raise ₹4,300 crore.
Ruchi Soya hit the capital market with its FPO on March 24 to raise ₹4,300 crore as it aims to become a debt-free company.
Technical & derivatives report Sameet Chavan, chief analyst-technical and derivatives, Angel One
The Indian Equity market witnessed a lackluster expiry session, wherein the initial marginal gains got pared down gradually. The benchmark index showed a subdued movement amid some profit booking at higher levels on the last expiry for FY22. The index concluded the day with a mere loss of 0.19 percent, to settle a tad above the 17450 level.
As we alluded to in our previous commentary, post the stellar run in the week the market could take some breather, which was quite evident in yesterday’s session. However, the sustainability of the current zone could be perceived as a constructive setup from a short to medium-term perspective, wherein the undertone is likely to remain in favor of the bulls. The technical setup construes the formation of higher highs and higher bottoms, with the immediate support of the recent unfilled gap coinciding with 61.80 percent of the retracement of the fall placed at the 17327 level, which is expected to act as a firm demand zone. On the contrary, 17650 is the immediate hurdle, followed by the previous swing of 17800 odd levels.
Going ahead, more action is likely to be seen in the thematic stocks, and hence a pragmatic approach would be required in the current scenario. Looking at the recent development, any minor dip towards the mentioned support could be utilized by bulls, while better opportunities would be seen in a stock-centric approach.
Top Sensex losers: Titan, Infosys, ICICI Bank, Sun Pharma, TechM
Day trading guide for Friday
8 stocks to buy or sell today — 1st April
Indian shares edge higher as financials, power companies climb
Indian shares inched higher on Friday for a fourth session in five, bucking a downtrend in broader Asia as heavyweight financials and power company stocks advanced.
The NSE Nifty 50 index was up 0.43% at 17,540.45, as of 0505 GMT, while the S&P BSE Sensex rose 0.42% to 58,812.09. Both indexes were set to post weekly gains of about 2% each.
Asian peers were trading lower with investors worried about the impact of the Russian-Ukrainian war and rising risks of recession.
India central bank focussed on growth, seen lagging on inflation fight
Inflation is picking up in India, but the country’s central bank is likely to maintain its loose policy even as its global peers raise rates, potentially forcing it to play catch-up aggressively later, economists and analysts say.
This view represents a shift in expectations, as market participants say the Reserve Bank of India is concerned that Russia’s invasion of Ukraine is damaging the global economy and India’s recovery prospects, not just boosting prices.
A Reuters poll in early February found just over half of forecasters expecting the RBI to raise rates at its April meeting, but the war launched three weeks later has upended those predictions.
RBI watchers now expect the bank to stand pat on April 8, even though inflation has broken above the 6% upper end of the bank’s target band for two months.
Crude prices fall as US to release supplies from reserves
Crude oil fell in Asian deals on Friday after US President Joe Biden announced the release of 1 million barrels of oil per day for six months starting in May to check soaring prices in the aftermath of the Russia-Ukraine crisis.
India will frame cryptocurrency law after global consensus: Report
India will frame a legislation for cryptocurrencies only after a global consensus emerges on regulating such assets, a report by Bloomberg suggested. The government isn’t planning a law soon to either regulate or tighten provisions, a source told the news agency.
Multibagger stock: Tata share turns ₹1 lakh to ₹2.08 crore in 13 years
Tata Elxsi share price recently climbed to its new life-time high of ₹9420 apiece on NSE. This Tata group share is one of the multibagger stocks in 2021 and it has delivered around 220 per cent return to its shareholders in last one year.
NTPC surges over 4% in morning trade; BSE power index up almost 2%
GAIL share buyback can provide 10-20% return for short term investors: Analyst
Shares of GAIL surged nearly 2% to ₹158 apiece on the BSE in Friday’s early deals. GAIL (India) Ltd on Thursday said it will buyback about 5.7 crore shares for ₹1,083 crore as it looks to use its healthy balance sheet to reward shareholders for the second time in as many years.
Adani Wilmar share price climbs to all-time high, rises for 6th straight session
Adani Wilmar Share price has continued it bull run in early morning deals today. This Adani group stock has climbed to its new peak for 6th straight session and hit new high of ₹542.70 apiece on NSE. Adani Wilmar Share price today opened with an upside gap of around ₹9 per share on NSE and went on to hit its new life-time high.
Sectoral indices: PSU Banks, private banks, realty, oil & gas lead
Top Sensex losers: Hindustan Oil Exploration, Hero MotoCorp drag
Stock market: Settlement holiday today. What investors should know?
April 1, 2022, is a settlement holiday on account of Annual Bank Closing. A settlement holiday is a day when trading is possible, but clearing and settlement are closed for Paying and Payout of stocks and funds.
Top Sensex gainers in early trade: India Glycols, NCC top gainers
BSE Indices trade muted amid volatility
Sensex volume toppers: NTPC, Axis Bank, PowerGrid lead
Broader market indices at open: Nifty50 trades flat
Sensex at open: NTPC, PowerGrid, M&M top gainers; Infosys, Titan drag
Nifty50 at pre-open: Muted, falls below 17,450
Sensex at pre-open: Trades flat, down 38 points
March auto volumes preview: Rising fuel prices to weigh on demand
Increase in petrol and diesel prices is likely to have a bearing on automobile demand which would reflect in March auto volumes set to be announced today. The commercial vehicle (CV) segment, which is currently seeing a cyclical recovery, is not immune to that.
Gold eases ahead of US jobs data as dollar ticks higher
Gold prices eased on Friday, widening their weekly losses as a stronger dollar outweighed safe-haven demand fuelled by a lack of progress in Russia-Ukraine peace talks, while investors awaited March U.S. jobs data for policy tightening clues.
Oil seesaws ahead of consumer nations’ meeting on stocks release
Oil prices seesawed on Friday ahead of a meeting of consuming nations to discuss a new release of emergency oil reserves alongside a huge planned release by the United States.
U.S. West Texas Intermediate (WTI) crude futures dipped 6 cents to $100.22 a barrel at 0057 GMT after trading as high as $101.75. The contract slumped 7% on Thursday.
Brent crude futures rose 5 cents to $104.76 a barrel, after dropping 5.6% on Thursday. The May contract expired on Thursday at $107.91.
The planned U.S. release caused Thursday’s falls. On Friday the two benchmark contracts were each headed for a weekly loss of around 13%, their biggest in two years.
International Energy Agency (IEA) member countries are set to meet at 1200 GMT on Friday to discuss a further emergency oil release that would follow their March 1 agreement to release around 60 million barrels.
U.S. President Joe Biden on Thursday announced a release of 1 million barrels per day for six months starting in May. That will be the largest release ever from the U.S. Strategic Petroleum Reserve (SPR).
Asian shares slip on gloomy outlook as Ukraine, recession risks weigh
Asian shares fell on Friday following the biggest quarterly drop in global equities in two years, as investors worried about the impact of the Russian-Ukrainian war and rising risks of recession.
On Thursday, Russian President Vladimir Putin struck back at Western sanctions on Moscow, threatening to halt contracts supplying Europe with a third of its gas unless they are paid in roubles. The move prompted Germany, the most reliant on Russian gas, to accuse him of “blackmail” as it activated an emergency plan that could lead to rationing.
Reflecting the gloomy mood as a result of supply disruptions and surging raw material costs, Japanese business confidence hit a nine-month low in the first quarter according to a Bank of Japan survey, with companies indicating they expect conditions to worsen further.
In Tokyo, the Nikkei was down 0.75% in morning trade, while MSCI’s broadest index of Asia-Pacific shares outside Japan was 0.70% lower.
Hong Kong’s Hang Seng dipped 1.1%, while Seoul’s Kospi lost about 0.6%. Chinese blue-chips turned around from a lower open to rise 0.7%.
US, European stocks suffer worst quarter since pandemic
Global stocks dropped on Thursday with U.S. shares sinking over 1.5%, as concerns about a recession and the Russian-Ukranian war spurred selling, while oil prices plunged over $6 as Washington launched a record release from its emergency oil reserves.
The declines pushed U.S. and European stocks into their biggest quarterly loss since the start of 2020, when the outbreak of the COVID-19 pandemic sent the global economy into a tailspin.
Quarter-end portfolio rebalancing boosted demand for bonds and held down yields, though a closely watched part of the U.S. Treasury yield curve hovered near inversion, after inverting briefly on Tuesday. Many view an inverted yield curve, in which short-term Treasuries yield more than longer-term debt, as a harbinger of a recession.
A spurt of selling late in the day drove the S&P 500 down 1.6%. The Dow Jones Industrial Average also skidded 1.6%, and the Nasdaq Composite dropped 1.5%. Europe’s STOXX 600 had closed down 0.94%.
Thursday’s stock market gloom was emblematic of how tough March has been for equities. Even after a rally in the past week when investors celebrated signs of progress in peace talks between Russia and Ukraine, the S&P 500 is still down 5% in the first three months, its worst quarterly performance in 2 years.
Europe’s STOXX 600 fared worse, losing 6.5% in the first quarter, also its biggest quarterly drop since the start of 2020.
The MSCI World Equity index, which dropped 1.3% on Thursday, also had its worst quarter in two years, tumbling 5.7%.
Oil prices sink as US taps reserves; equities fall
Oil prices tumbled on Thursday after the United States announced it would release a record amount of oil from its stockpiles to fight soaring gas prices sparked by Russia’s invasion of Ukraine.
President Joe Biden described the giant release that will see a million barrels of US government oil hit the market every day for six months as a “wartime” measure that will defuse Russia’s leverage as an energy power.
West Texas Intermediate dropped seven percent and almost dipped below $100 a barrel after the move, while Brent lost nearly five percent, though analysts did not expect the supply release to stabilize the oil market.
Tokyo stocks open lower after US falls
Tokyo stocks opened lower on Thursday, tracking falls on Wall Street as concerns grow over inflation and oil prices surge.
The benchmark Nikkei 225 index was down 1.27 percent or 355.28 points at 27,684.88 in early trade, while the broader Topix index dropped 1.01 percent or 20.01 points to 1,958.69.
The dollar fetched 121.17 yen in early Asian trade, against 121.12 yen in New York late Wednesday.
The Nikkei is likely to start with a selling spree “on fears of accelerating inflation, taking cues from Wall Street falls last night,” Okasan Online Securities said.
Reports that the United States is looking to further ramp up sanctions against Russia also weighed on market sentiment.
the App to get 14 days of unlimited access to Mint Premium absolutely free!