What changed for the market while you were sleeping? 10 things you should know

The Nifty50 which started on a muted not dipped below key support levels in intraday trade on Wednesday before bulls took control and pushed the index above 10,400 levels for the second consecutive day in a row.

The index formed a ‘Hammer’ like pattern on the daily candlestick charts which is a bullish reversal pattern. The index bounced back after touching its short-term moving average (5-DEMA) placed at 10,360.

“The Nifty50 closed the day on a cautionary note as it registered Hanging Man kind of formation after Tuesday’s Doji kind of indecisive pattern. Usually Hanging Man formation is visible around the short-term turning points suggesting exhaustion in the ongoing upmove,” Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in told Moneycontrol.

India VIX moved up 1.52 percent at 14.72. VIX has to remain between 13.50-13 zone to start the fresh leg of up move in the market.

Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines from across news agencies.

Wall Street falls on Syria concerns, interest rate worries

Wall Street stocks fell on Wednesday as possible US military action against Syria stoked investor concerns about geopolitical risk to the American economy and minutes from the Federal Open Market Committee sparked worries about a more hawkish view on interest-rate increases, Reuters reported.

The Dow Jones Industrial Average fell 218.55 points, or 0.9 percent, to 24,189.45, the S&P 500 lost 14.68 points, or 0.55 percent, to 2,642.19 and the Nasdaq Composite dropped 25.28 points, or 0.36 percent, to 7,069.03.

Asian markets trade weak

Asian stocks came under pressure on Thursday as the threat of imminent US military action in Syria rattled investors and sent oil prices to their highest levels since late 2014 on concerns about supply. MSCI’s broadest index of Asia-Pacific shares outside Japan slipped 0.05 percent in early trade while Japan’s Nikkei dropped 0.4 percent, Reuters reported.

SGX Nifty

Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 21 points or 0.2 percent. Nifty futures were trading around 10,439-level on the Singaporean Exchange.

Trump signals strikes against Syria, lays into Assad ally Russia

US President Donald Trump warned Russia on Wednesday of imminent military action in Syria over a suspected poison gas attack, declaring that missiles “will be coming” and lambasting Moscow for standing by Syrian President Bashar al-Assad, Reuters reported.

His comments raised the prospect of direct conflict over Syria for the first time between the two world powers backing opposing sides in the seven-year-old civil war, which has aggravated instability across the Middle East.

Federal Reserve policymakers saw strengthening economy, inflation: Minutes

All of the Federal Reserve’s policymakers felt that the US economy would firm further and that inflation would rise in the coming months, minutes of the central bank’s last policy meeting on March 20-21 released on Wednesday showed, a Reuters report said.

“All participants agreed that the outlook for the economy beyond the current quarter had strengthened in recent months,” the Fed said in the minutes. “In addition, all participants expected inflation on a 12-month basis to move up in coming months.”

SEBI amends norms for REITs, InvITs

In order to make REITs and InvITs more attractive, markets regulator Securities and Exchange Board of India (SEBI) said on Wednesday that they will have to provide a mechanism for resolution of disputes with their shareholders and partners in the holding company.

In separate notifications posted on its website, Sebi said: “Shareholders’ agreement or partnership agreement shall provide for an appropriate mechanism for resolution of disputes between the InvIT and the other shareholders or partners in the holdco and/or the SPV (special purpose vehicle).”

NSE to examine compliance, legality of SGX move to list Indian derivative products

Following Singapore Exchange’s (SGX) announcement regarding listing of Indian equity derivative products in June, the National Stock Exchange (NSE) has said that it will examine if these products are compliant and legally permissible with respect to its February 9 statement.

“We have asked for more details from SGX on the product structure and hope to have a conversation with the SGX team to get a better understanding of the product,” NSE said in a statement. The exchange said that it will hold discussions with other exchanges along with the regulator to determine the next “course of action”.

CPI inflation likely slowed further in March, but above target: Reuters poll

Indian retail inflation was expected to have eased to a five-month low in March as increases in food prices slowed once again but remained above the central bank’s medium-term target, a Reuters poll found. Annual consumer price inflation was expected to have softened to 4.20 percent in March from February’s 4.44 percent, according to a poll of 35 economists taken April 4-10.

The wholesale price index increased slightly to 2.58 percent in March from February’s 2.48 percent, the latest poll found. Industrial production in February slowed to 7.0 percent annually from 7.5 percent in January, the poll also showed. India’s infrastructure output, which comprises eight core industries and accounts for nearly 40 percent of total industrial production, grew 5.3 percent in February from a year ago.

India GDP growth will pick up in 2018-19 to 7.3%: ADB

India’s economic growth will pick up in 2018-19 to 7.3 percent on the back of improved rural consumption and a modest rise in private investment while the debilitating effects of demonetisation and goods and services tax (GST) implementation dissipate, the Asian Development Bank (ADB) said on Wednesday, Mint reported.

However, the FY19 forecast is a tad lower than the 7.4 percent economic growth that it estimated for India in September last year. The Central Statistics Office has estimated the economy to have grown at 6.6 percent in 2017-18 —a two-year low.

Oil hits highest since 2014 on missile concerns

Oil prices jumped on Wednesday, hitting their highest in more than three years on Wednesday after Saudi Arabia said it intercepted missiles over Riyadh and US President Donald Trump warned Russia of imminent military action in Syria, Reuters reported.

Both US crude and global benchmark Brent traded at the highest levels since 2014 as geopolitical concerns overshadowed a surprise build in US crude inventories. Brent rose USD 1.02 on the day to settle at USD 72.06 a barrel, having touched a session high of USD 73.09.

Earnings to watch for today

With the start of the Q4 earnings season, 4 companies are likely to report their March quarter numbers today including names like Emmsons International, Reliance Industrial Infrastructure, Sanghi Corporate Services and VST Industries.