Pre Market Report, January 3, 2017 | Stocks and Commodities

January 3, 2017
Time: 8.40 am

Pre Market Report:

1. Yesterday the dominant theme was SBI's rate cut.
2. SBI and other PSU Banks fell as market saw this as 'less margin' for their loans.
3. Private sector banks also fell as they have to match SBI lending rate.
4. Housing Finance Companies like LIC Housing and HDFC fell as they will find it very difficult to match SBI rates.
5. Manufacturing PMI data came much lower than expected.
6. Despite all these negatives, Nifty fell just 6 points and Nifty future closed in Green.
7. The volume was very low and still FIIs have sold for Rs 260.64 crores.
8. FIIs have sold in Index future and Stock futures also.
9. DIIs have made some token purchase.
10. Auto and Real Estate sector did well due to SBI rate cut.
11. TodayChina Manufacturing PMI data surprised on the higher side.
12. After this news SGX Nifty recovered and now trading at 8205.
13. Yesterday volume was very low as most world markets are closed.
14. So today's trade will be very important to decide the trend of the market.
15. If FIIs continue to sell, then the hope of recovery will go down.
16. On the other hand, if FIIs start buying or at least stop selling, markets are likely to move significantly higher.
17. If markets move higher, then Nifty will face some resistance in the region 8280-8320, after few days of consolidation in that range, Nifty will move towrads 8500.
18. Let us see whether that happns in the next two to three weeks.
19. For today, Nifty future should take support at 8140.
20. Resistance will be at 8240.