This week in a nutshell (March 1st to March 5th)

This week in a nutshell (March 1st to March 5th)

Technical Talks

NIFTY opened the week on 1st March at 14,703 and closed on 5th March at 14,938, it made a weekly gain of 1.6%. The index is trading below its 20DMA of 15,027, which might act as a resistance. On the downside, 10DMA of 14,894 might act as a support. The index might trade in the range of the above-mentioned levels before making a strong move on either side.

Weekly highlights

  • After three sessions of gains, the Market snapped for the last 2 days of the week as Nifty ended below 15,100, dragged by losses in metal, financial stocks amid weak global cues as bond yields rose again.
  • The NITI Aayog, which is in the process of selecting public sector units for privatisation, is likely to put out its first list, focusing on companies in non-strategic sectors, along with those that have got Cabinet approval for stake sale or are in the final stage of due diligence.
  • Saudi Arabia had decided to maintain its voluntary cut of 1 million barrels per day through April even after oil prices rallied over the past two months.
  • U.S. West Texas Intermediate (WTI) crude futures climbed 17 cents, or 0.3%, to $64.00. Brent crude rose 10 cents, or 0.2%, to $66.84 a barrel, but down from a high of $67.75 hit on Thursday. 
  • Foreign Institutional Investors (FIIs) continued to be net buyers in Indian equity of Rs 22,000 mn, but the quantum of inflows declined from the previous week of Rs 1,81,700 mn, which was due to the bulk deal of Bosch. Conversely, Domestic Institutional Investors (DIIs) continued to be net sellers with an increased net outflow of Rs 26,350 mn.

                                                                       Things to watch out

  • With the quarterly result season out of the way, market moves are reliant on macroeconomic developments & global markets.  
  • On March 10, RBI will purchase four government securities of different maturity dates aggregating to Rs 20,000 crore and sell three securities aggregating to Rs 15,000 using the multiple price auction method. The decision was taken after a review of current liquidity and financial conditions

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