Pre Market Report, June 5, 2015 | Stocks and Commodities

June 5, 2015
Time: 8.30 am

Pre Market Report:

1. US markets closed much lower due to Greece issue and Bond market jitters.
2. Most Asian markets are down.
3. But China has been doing extremely well, up by about 100 points.
4. China markets doubled in the last 10 months whereas Indian markets gave negative return during this period.
5. SGX Nifty is trading closer to 8100.
6. Things look very bearish as of now.
7. First, though FII figures shows about 500 crores as buy yesterday, if we exclude the Eicher deal, the net figure should be a Sell figure of about 1200 crores, which is very bad on a third day of huge fall.
8. Second, today is 5th of June, IMD forecasted day for Monsoon, but it seems that Monsoon is not going to set in by today.
9. Third, Greece issue, Greece is likely to default its payment to IMF which is due today.
10. Fouth, US jobs data which is likely to show an excellent figure of 'addition of 2,25,000 new jobs'. That will increse the chances of Fed rate hike by this year itself.
11. But there are no positive triggers for the markets now.
12. So any intraday recovery will aid more short selling and markets likely to fall more drastically.
13. In the last two days, many real estate, Infra and metal stocks hit 52 week lows.
14. We do not know which sector will bring down the markets today.
15. Nifty is expected to gap down by about 40 to 50 points and likely to take support at yesterday's low in the first half of the trading session.
16. Last two hours of trade is difficult to predict but I expect sharp move in the last two hours on either side.
17. Nifty is likely to move more than 50 points in the last two hours either upside or downside.