Pre Market Report, October 13, 2016 | Stocks and Commodities

October 13, 2016
Time: 8.25 am

Pre Market Report:

1. Global cues have been bad for the last few days.
2. Hong Kong index fell more than 600 points in the last three days.
3. US rate hike fear is surfacing again in most markets.
4. Last December when US hiked interest rates, we know what happened in January and February.
5. Most markets fell by more than 10%.
6. We have some positive and some negatives.
7. Our corporate results are likely to be good.
8. IndusInd Bank came out with good results yesterday.
9. But that may be over shdowed by fear of bad results from TCS and Infosys, both will be declaring results before the markets open tomorrow.
10. China's export data has been very bad, exports fell by 10%, according to data released today.
11. US futures fell suddenly after this news and so SGX Nifty.
12. SGX Nifty is trading around 8660, below the strong support level of 8680.
13. Samsung suspended the production of Samsung Note 7 and that became a boon for Apple iphone, so Apple shares were up hitting muti year highs.
14. Apple is the index heavyweight in all three indices, Dow, Nasdaq, and S&P 500.
15. Despite the good show by Apple, US markets are falling.
16. That is a cause for concern.
17. If Nifty opens as indicated by SGX, it will be 80-100 points gap down for Nifty which is a severe blow for bulls.
18. Today may well be a black Thursday where markets may fall significantly lower. Global cues, fear of bad results from TCS and Infosys, US rate hike fear, all will be playing in the markets.
19. NPAs rising in Housing Finance Companies point to a very bad picture in real estate.
20. So markets will be volatile and will go down eventually.
21. That will be the case until December.
22. Clarity will emerge only In January.
23. Today Nifty futur may trade between 8620 and 8720.