Ahead of Market: 10 things that will decide D-Street action on Thursday
Here's how analysts interpret the market pulse:
«Positive sentiment initially propelled domestic equities, buoyed by softer US labor market data that caused a retreat in US bond yields, alleviating concerns about rate hikes. This positive outlook was reinforced by Chinese banks' move to reduce existing mortgage rates, favorably impacting Indian metal stocks.
However, gains were tempered as the day progressed, primarily due to weakness in global markets attributed to lackluster economic data from Europe. Banking stocks bore the brunt of this downturn, while mid- and small-cap segments displayed resilience amid the market dynamics,» said Vinod Nair, Head of Research at Geojit Financial Services.
«Both price and momentum indicators suggest that it has started the next leg of the fall.
Overall, we shall continue to maintain our negative outlook on the index for the target of 19100. In terms of levels, 19250 – 19220 is the crucial support zone while 19420 – 19450 shall act as an immediate hurdle zone,» added Jatin Gedia, Sharekhan.
That said, let's delve into what key indicators are indicating for Thursday's trading action:
US Market
Wall Street's main indexes rose on Wednesday as fresh economic data indicated a cooling U.S.
economy, keeping alive hopes the Federal Reserve could pause rate hikes in September.
The ADP National Employment report showed private payrolls increased by 177,000 jobs in August, compared with estimates of 195,000, signaling an easing labor market.
Fresh gross domestic product (GDP) numbers showed the U.S. economy expanded 2.1% in the second quarter, slower than a preliminary estimate of a 2.4% growth.
At 9:52 a.m.
