GIFT Nifty traded flat at 19,348 down merely 12 points or 0.06%, indicating a tepid opening for domestic indices NSE Nifty 50 and BSE Sensex on Friday. Previously on Thursday, the NSE Nifty 50 soared 144.10 points or 0.76% to settle at 19,133.25, while the BSE Sensex added as much as 489.57 points to 64,080.90.
“A pause with dovish commentary from the Fed led to a rebound in the global and domestic market sentiment. Further, the fall in US bond yields indicates a prolonged pause in interest rates hike. And the domestic macros are favourable with positive auto numbers, a surge in GST collection, good factory data and better than estimated Q2 quarter earnings,” said Vinod Nair, Head of Research at Geojit Financial Services.
Stocks to watch: Adani Enterprises, Tata Motors, Vedanta, Lupin, IRFC
Key things to know before share market opens on November 3, 2023
Wall Street
Wall Street’s three main stock indices rallied nearly 2% on Thursday on hopes that the US Federal Reserve has reached the end of its interest rate hiking campaign and a batch of upbeat quarterly financial updates added to the bullish mood, reported Reuters.
The tech-heavy Nasdaq Composite soared 232.72 points or 1.78% at 13,294.19. The S&P 500 climbed 79.92 points or 1.89% at 4,317.78, while the Dow Jones Industrial Average surged 564.5 points or 1.7% to 33,839.08.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded up 0.04% at 106.16.
Crude Oil
WTI crude prices are trading at $82.48 up 0.02%, while Brent crude prices are trading at $86.79 down 0.06%, on Friday morning.
Asian Market
Shares in the Asia-Pacific region are trading in the green on Friday morning. The Asia Dow is trading up 0.59%, Japan’s Nikkei 225 is up 1.10%, the benchmark Chinese index Shanghai Composite is up 0.39% and Hong Kong’s Hang Seng index is also trading up 1.33%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 1,261.19 crore, while domestic institutional investors (DII) added shares worth net Rs 1,380.15 crore on November 2, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Gujarat Narmada Valley Fertilizers & Chemicals to its F&O ban list for November 3, 2023.
Technical View
Commenting on the technical outlook of Nifty 50, Kunal Shah, Senior Technical & Derivative analyst at LKP Securities, said, “The Nifty index has formed a doji candle on the daily chart, reflecting a state of indecision as a battle between the bulls and the bears unfolds. Downside support is apparent in the 19,000-18,900 range, with visible fresh put writing for the upcoming weekly expiry. Immediate resistance is situated at the 19,200 level, and a breakthrough at this point could trigger fresh short covering, potentially propelling the index towards 19,300-19,350.”
Bank Nifty Outlook
Bank Nifty index added 316.25 points or 0.74% to 43,017.20 on Thursday. “The Bank Nifty has bounced quite well. However, it saw some profit booking from the higher levels, however, 42,700 to 42,500 are crucial support levels in the near term whereas 43,500 to 43,700 are crucial resistance levels. So, till the above-mentioned support levels are held the short-term bounce can’t be ruled out. The overall medium-term trend, however, is still negative only; hence traders should be hedged and not be over aggressive on the long side in this bounce,” said Jay Thakkar – Head – Alternate Research, Capital Market Strategy at Sharekhan by BNP Paribas.