The market saw a fantastic finish on Friday with stock racing to the finish line with added acceleration. The opening may see some follow-up buying. But Nifty needs to sustain above the 21-DMA, which is placed at 10,958 for another confident upmove. At the time of writing, the SGX Nifty was up by 5 points and trading at 10,964 level.
Majority of the Asian indices are trading with modest gains on Monday following the mixed cues from Wall Street on Friday. The Japanese stock index Nikkei 225 has gained 0.43 per cent and China’s Shanghai Composite has advanced 0.41 per cent, while Hong Kong’s Hang Seng has dipped 0.23 per cent
Back home, markets closed Friday’s session firmly higher and recorded their best gains of the week, but ended lower for the week. For the day, Nifty surged 0.91 per cent to close shy of 10,950 and BSE rallied 0.92 per cent to close just shy of important psychological mark of 37,000. The broader market indices Nifty Midcap and Smallcap gained 0.71 per cent and 0.88 per cent, respectively. Sectorally, the top gainers were Nifty Auto, Nifty Metal and Nifty Private Bank and the top losers were Nifty Realty and Nifty FMCG.
The US stocks faded into the close on Friday but mostly held on to the week’s gains. On the economic front, market participants digested a report from the US Labour Department showing weaker than expected job growth for the month of August, but wage growth was solid. The Dow closed up 0.3 per cent and the S&P 500 added 0.1 per cent, while the tech-heavy Nasdaq dipped 0.2 per cent.
The European indices ended in the green on Friday as market participants cheered the truce on the US-China trade war front. However, economic data in the region and Brexit development kept the gains under check. In the end, Germany’s DAX ended higher by 0.54 per cent, France’s CAC 40 added 0.19 per cent and UK’s FTSE 100 rose 0.15 per cent.