Indian Indices are expected to open on a flat note as per the trends shown on SGX Nifty. On Tuesday, initially the level of 15,900/15,920 (53,100) would act as major resistance and support would be 15,740/52,600, said Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities Ltd. The strategy should be to buy on dips around 15,760/15,710 (52,600/52,500) levels or if the market is closing above the levels of 15,930/53,150.
At 09:01 AM, the Sensex was up 82.73 points or 0.16 percent at 52962.73. The Nifty was down 13.20 points or 0.08 percent at 15821.20.
European equities closed higher on Monday. Asian stock markets are mixed in early Tuesday trade with Japan markets trading higher while Chinese and Hong Kong markets trading lower. Japan’s Nikkei 225 rose 0.3 percent while the Topix index gained 0.3 percent. South Korea’s Kospi gained over half a percent. US markets remained closed on July 4 on account of Independence Day holiday.
Oil price up
Oil prices rose slightly on Tuesday with Brent Crude trading at $77.44 a barrel.
Mohit Nigam, Head-PMS, Hem Securities said, "Some stock specific actions may be witnessed in stocks like NMDC (Government to sell 7.49 percent of the company's equity), Maruti Suzuki (Total production in June up 226 percent YoY to 1,65,576 units), NTPC (NTPC Vidyut Vyapar Nigam, has invited bids for e-buses in Delhi, Leh), Force Motors (Total production in June stood at 1,757 units). The Nifty50 is looking to hold around the same levels with the support at 15,600 and the resistance at 15,900".
Sebi puts in place stricter compliance system
Stock exchanges and other market infrastructure institutions as well as their top officials are liable to face penalities for lapses in handling and rectifying technical glitches, with Sebi putting in place a stricter compliance system driven by 'financial disincentives'. The markets watchdog has come out with a detailed Standard Operating Procedure (SOP) for Market Infrastructure Institutions (MIIs) less than five months after a technical glitch halted trading at the country's largest bourse NSE for nearly four hours. There will be a 'financial disincentives' structure for MIIs--stock exchanges, clearing corporation and depositories--for any business disruption beyond pre-defined time, according to a circular issued on Monday.
RBI to buy Rs 20,000-cr G-Secs on July 8
The Reserve Bank on Monday said the first purchase of government securities for an aggregate amount of Rs 20,000 crore under the G-sec Acquisition Programme (G-SAP 2.0) will be conducted on July 8.On June 4, RBI Governor Shaktikanta Das had announced that the central bank will conduct open market purchase of government securities of Rs 1.2 lakh crore under the G-SAP 2.0 in the second quarter of 2021-22 to support the market.On Thursday (July 8), the RBI will purchase five government securities of different maturities through a multi-security auction using the multiple price method.The RBI said it reserves the right to decide on the quantum of purchase of individual securities, and purchase marginally higher/lower than the aggregate amount due to rounding-off.