Morning Outlook 8th July, 2024

 

After showing slight weakness from recent highs over the past few sessions, Nifty experienced a “buy on dips” scenario on Friday and closed significantly higher after a strong intraday recovery. The day started with a downward gap, followed by further declines early on. However, the market saw a modest recovery in the middle of the session, culminating in a sharp intraday bounce from the lows towards the end, pushing Nifty into positive territory by the close. The initial downside gap in the market has been completely filled. Heavyweight banking sector underperforming, on concerns of top lending banks reporting a sequential decline in deposit growth for the June quarter which would lead to higher cost of funds.

Globally, investors are eagerly awaiting the US non-farm payroll data later today to assess the potential direction of the US Fed’s interest rate policies. The Bank Nifty index had a volatile trading session, largely due to declines in HDFC Bank. Currently, the index is range-bound with resistance seen at 53000-53400, and support at 52200-51800. For a clear trend, the index needs a decisive breakout on either side. However, the overall sentiment within this range remains bullish, suggesting that dips could present buying opportunities

 

TECHNICAL PICKS

DERIVATIVE PICKS

 

TOP DELIVERY PERCENTAGE

UPCOMING ECONOMIC DATA

NEWS UPDATES

• Union Bank of India Q1 business update: Total deposits rise 8.5%, global gross advances gain 11.5%

 

• US June Unemployment rate at 4.1% vs est of 4%

 

• BoB Domestic Deposits Up 5.25% YoY At ₹11.05 Lk cr, Domestic Advances Up 8.51% YoY At ₹8.82 Lk cr

 

• Titan Q1 Business Update: Growth of 9% YoY in the quarter, Adds 61 stores in the quarter, The group’s retail network presence is at 3,096 stores, Jewellery segment grew 9% YoY

 

• Indusind Bank: Advances up 16% YoY & 1% QoQ at ₹3.48 Lk cr, Deposits up 15% YoY & 4% QoQ at ₹3.98 Lk cr, CASA ratio at 36.7% Vs 39.9% YoY & Vs 37.9% QoQ
• SAIL to invest ₹6,500 crore towards capex in FY 25.

 

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Source: Moneycontrol, Economic Times,  Indian Express, Business Today, Livemint, Business Standard

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