Winning Strokes: Think Different

Key equity indices edged higher on Wednesday after two consecutive sessions of sharp falls. The sentiment, however, was fragile as the rupee touched a fresh low, stoking fears of an interest rate hike by the central bank at its next meeting in October.

The Sensex rose 304.83 points or 0.81% to settle at 37,717.96. The index rose 339.45 points, or 0.91% at the day's high of 37,752.58. The index fell 71.13 points, or 0.19% at the day's low of 37,342.

The Nifty 50 index rose 82.40 points or 0.73% to settle at 11,369.90. The index rose 93.25 points, or 0.83% at the day's high of 11,380.75. The index fell 37.30 points, or 0.33% at the day's low of 11,250.20.

Among secondary barometers, the BSE Mid-Cap index rose 0.52%. The BSE Small-Cap index fell 0.27%. Both these indices underperformed the Sensex.

The market breadth, indicating the overall health of the market, was negative. On BSE, 1133 shares rose and 1525 shares fell. A total of 186 shares were unchanged.

Among the sectoral indices on BSE, the S&P BSE Telecom index (down 0.76%), the S&P BSE Realty index (down 0.35%), the S&P BSE Bankex (down 0.02%), the S&P BSE Oil & Gas index (up 0.05%), the S&P BSE Finance index (up 0.13%), the S&P BSE Consumer Discretionary Goods & Services index (up 0.22%), the S&P BSE Auto index (up 0.25%), the S&P BSE Teck index (up 0.34%), the S&P BSE Utilities index (up 0.36%), the S&P BSE IT index (up 0.46%), the S&P BSE Industrials index (up 0.52%), the S&P BSE Power index (up 0.60%), the S&P BSE Energy index (up 0.62%), the S&P BSE Consumer Durables index (up 0.66%) and the S&P BSE Healthcare index (up 0.76%), underperformed the Sensex. The S&P BSE Basic Materials index (up 0.93%), the S&P BSE Capital Goods index (up 1.06%), the S&P BSE Metal index (up 1.52%) and the S&P BSE FMCG index (up 2.40%), outperformed the Sensex.

In the foreign exchange market, the rupee extended losses against the dollar. The partially convertible rupee was hovering at 72.055, compared with its close of 72.695 during the previous trading session. Rupee hit a low of 72.915 in intraday today.

Asian stocks fell on Wednesday, as investor confidence was chilled by the latest round of verbal threats in an intensifying US-China trade conflict. China will seek permission from the World Trade Organization (WTO) to impose sanctions on the US next week, according to the WTO's meeting agenda. China will seek authorization at a special meeting of the WTO's Dispute Settlement Body on Friday, 21 September 2018.

The request comes at a time of escalating trade tensions between the world's two largest economies, with US President Donald Trump saying last week he was ready to go on tariffs for another $267 billion on Chinese goods if he wants. That would follow planned charges on $200 billion of Chinese goods in several industries, including technology. Beijing has vowed to retaliate if the US takes any new steps on trade.

On the data front, small-business sentiment climbed to a record in August, according to the National Federation of Independent Business. Separately, the number of job openings in the US climbed to a record 6.94 million in July while the US budget deficit in August was $211 billion, nearly double the gap during the year-ago period.

Meanwhile, the US budget deficit in August was $211 billion, nearly double the gap during the year-ago month, the Congressional Budget Office estimated late Monday.

In the global commodities markets, Brent for November 2018 settlement was up 2 cents at $79.08 a barrel. The contract had risen $1.69 a barrel or 2.18% to settle at $79.06 a barrel during the previous trading session.

#The stock of Manganese Ore India Ltd (MOIL) was recommended to the Premium Members this week at around Rs.189. The stock made a high of Rs.195.80 in the NSE. MOIL is the single largest producer of manganese ore in the country with an annual production of 1.1 million tonnes (MT). It is planning to increase the number of mines in central India by 2020-24 which will help it to increase the production.

#The stock of Mandhana Industries Ltd today made a high of Rs.8.60, before closing at Rs.7.80. The stock may not give a closing below Rs.7. The ace investor, Rakesh Jhunjhunwala had picked up 12.74% stake in Mandhana Retail Ventures, that holds licences to manufacture and sell Salman Khan's Being Human brand of clothing and fashion accessories. Mandhana Retail has the global licensing arrangement with Being Human— The Salman Khan Foundation—to manufacture and distribute textile products and the royalties from the clothing line which support education and healthcare initiatives of the foundation.

#The scrip of TV Vision Ltd closed flat at Rs.6.27 in the BSE, while the shares of Sri Adhikari Brothers Television Network Ltd closed at Rs.7.20 in the NSE . The company has come up with a new plan for meeting the debt obligations with the lenders. 

#I will be recommending a short term momentum counter to the Premium Members either tomorrow or Sunday. Those who want to know the name, should subscribe to my Premium Service. Now, festive discount is going on......

~~with inputs from Capital Market - Live News....