Bombay Stock Exchange
Bombay Stock Exchange

The benchmark Indices are expected to open on a subdued note on account of global cues. US stocks dropped after the Federal Reserve's quarterly summary of economic projections showed some policymakers have moved up their timetable for interest rate hikes, said Mohit Nigam, Head-PMS, Hem Securities.

US Fed released forecasts that show they anticipate two interest-rate increases by the end of 2023 (previously projected 2024). Asian stocks opened lower after U.S. futures extended losses on Thursday. Both FIIs and DIIs were net sellers Rs 870crore and Rs 874crore in yesterday session.

The Nifty Futures were trading at 15,668 on the Singaporean Exchange. The three main Wall Street indexes all closed down on Wednesday, as US Federal Reserve officials unnerved investors with indications that the central bank could begin rising interest rats in 2023, a year earlier than expected. The Dow Jones Industrial Average fell 265.66 points or 0.77 percent to 34,033.67, the S&P 500 lost 22.89 points or 0.54 percent to 4,223.7 and the Nasdaq Composite dropped 33.17 points, or 0.24 percent to 14,039.68.

The Nifty closed well in the negative territory in yesterday's session after reversing from its crucial resistance of 15900 levels. The daily momentum indicators have reversed from buy to sell which is a concern for the bulls in the short term. The Nifty is likely to get into a retracement of the previous upmove which can take it back to 15,600-15,550 levels initially and thereafter to 15450 levels as well. In other to resume is uptrend the index has to take off its near term resistance of 15,800 levels and thereafter 15,900 levels, said Jay Thakkar - VP and Head of Equity Research at Marwadi Shares and Finance Ltd.

The NIfty Bank managed to hold on to 35,000 levels however it failed again to surpass 35,500 levels and that indicates that there is a selling pressure at the higher levels. On the downside the immediate support is pegged at 34500 levels and below that 34,000 levels. The momentum indicators are already in the sell mode.

Companies to announce quarterly results today

Key companies announcing their quarterly results today Power Grid Corporation, Natco Pharma, Jammu & Kashmir Bank, DB Corp, Basant Agro Tech, Gyscoal Alloys etc. Immediate support and resistance for Nifty 50 are 15,600 and 15,850 respectively.

Asian markets down

Asian markets were mostly lower in Thursday morning trade, as investors watched for market reaction after the US Federal Reserve on Wednesday moved up its timeline for rate hikes. In Japan, the Nikkei 225 fell 1.11 percent in morning trade while the Topix index dipped 0.62 percent. South Korea's Kospi declined 0.65 percent.

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