Ahead of Market: 10 things that will decide D-Street action on Thursday
Sensex rallied 727 points and Nifty closed above the 20,000 mark for the first time since September 18 driven by buying in heavyweight HDFC Bank, Axis Bank ICICI and TCS on expectations of more foreign fund inflows. In a remarkable day for Indian equities, the combined market valuation of all listed companies on the BSE reached the $ 4-trillion milestone for the first time on Wednesday.
Both the benchmarks are less than 1% shy of the record highs hit on September 15.
Here's how analysts read the market pulse:
«Nifty moved up smartly as the bulls remained at the helm following a consolidation breakout on the daily chart.
Besides, the index is sitting comfortably above the crucial short-term moving average. The overall trend looks positive with broader market participation and a smart recovery in the Bank Nifty.
Over the short term, the Nifty might move towards 20450-20500 unless it falls below 19850,» said Rupak De, LKP Securities.
Prashanth Tapse, Mehta Equities, said, «Investors placed strong bullish bets one day before the monthly F&O expiry, as funds have started flowing back into the secondary market after the recent IPO rush. There are hopes that interest rates may not firm up further in the US, and along with India's strong economic data points, things could look better for markets in the medium term.
However, exit poll results of five states on Friday could trigger a knee-jerk reaction, and intra-day volatility is not ruled out.»
That said, here’s a look at what some key indicators are suggesting for Thursday's action:
US market
Wall Street's three main indexes rose on Wednesday as U.S. Treasury yields slipped to multi-month lows on growing rate cut optimism, while latest data on economic growth fueled
