Opening bell: Sensex, Nifty trade cautious on weak global outlook
The markets is testing its support levels and if the Nifty sustains above 10,850 levels, we can expect the recovery again, says Simi Bhaumik, Technical Analyst registered with SEBI.
On account of weak global economic outlook looming over the Dalal Street and other Asian bourses opened slightly higher from its Wednesday close. The BSE Sensex opened 33 points up at 36,142 while the 50-strip Nifty opened 10 points higher at 10,841. All sectoral stocks except metals were bleeding in early trade session.
Shares of Asahi India Glass, IL&FS Transportations, Navkar Corporation were the top gaining stocks in early trade sessions while Pidilite, JM Financial Ltd and navin Fluorine were the top losing stocks on thursday morning trade. Metal major Jindal Steel and power went down by around 1.6 per cent, shares of SAIL were down by 1.3 per cent, Tata Steel stocks went down by around 1 per cent while NALCO stocks went down by around 0.8 per cent. Caol India shares too went down by more than 1 per cent. In banking sector Kotk mahindra Bank went down by more than half a per cent while GFederal and Axix Bank shares went northward by around a quarter percentage points. Energy major HPCL went up by around 1.2 per cent, IOCL was up by around half a per cent while ONGC and OIl India Limited shares nudged higher by a quarter percentage points.
Commenting upon the topsy-turvy trends being shown by the Indian indices in recent trading sessions Simi Bhaumik, Technical Analyst (officially registered with market regulator SEBI) told Zee Business online, "The markets is testing its support levels and if the Nifty sustains above 10,850 levels, we can expect the recovery again."
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Asian shares rose on Thursday after Wall Street managed to end higher, but gains were capped by political uncertainty in the United States and worries about weakening global economic growth.
MSCI's broadest index of Asia-Pacific shares outside Japan went 0.2 per cent. It has gained 3.8 per cent so far this month.
Australian shares were 0.1 per cent higher while Japan's Nikkei lost more than 0.3 per cent in early trade.
On Wall Street, all three major US equity indexes closed in positive territory, with the Dow Jones Industrial Average booking the largest gains on upbeat quarterly results from International Business Machines and other major firms. The S&P 500 gained 0.22 per cent.