Page 3 - Value_Plus_SEPT_2017
P. 3
Monthly Market Roundup Market Outlook: September
Going ahead, Indian equity markets are expected
Indian equity markets quarterly earnings and to remain volatile this month due to geopolitical
started the August month economic recovery. tensions between the US and North Korea. The
on pessimistic note and The month finally ended tug of war between the bulls and the bears could
traded under pressure with downward bias continue this month as well. Apart from geopolitical
due to geopolitical as S&P BSE Sensex tensions, on the economic data front, US FOMC
tensions between the delivered negative meeting, Europe monetary policy, Bank of Japan
US and North Korea. returns of 2.41% to settle monetary policy, macroeconomic data, progress
Market sentiments also at 31730.49 and Nifty50 of monsoon rains, trend in global markets, FPI’s &
turned negative after the lost 1.58% ending the DII’s inflows, rupee movement and crude oil price
finance ministry said in month at 9917.90. movement will be watched for further direction.
its mid-year economic On the institutional side, Investors should adopt buy-on-dips strategy to
survey that there are foreign institutional accumulate stocks at attractive valuations.
downside risks to the investors (FIIs) sold
growth forecast of 6.75- Rs 12,769.68 crore worth Nifty Technical Outlook: September
7.5% for FY18, Doklam of equities during the
standoff between India month while domestic NNiftiyfty
& China, SEBI's order to mutual fund houses
ban trading in 331 shell continued their buying On the monthly chart, we are observing a bear candle
companies. However, spree with net purchases with narrow body formation which indicates a pause
the market continued of Rs 17,221.93 crore in of current up move. In the coming month if Nifty
to get healthy support August 2017. trades and closes above 10006 levels then it is likely
from DII’s buying though to test 10138 – 10270 – 10424 levels. However, if Nifty
FII’s were net sellers due trades and closes below 9829 level then it can test
to geopolitical worries. 9697 – 9565 – 9411 levels.
DII’s are hopeful of good Broadly, we are of the opinion that for current month
as long as Nifty holds 9680 on daily closing basis
Economic Data Wrap Up – August there is high probability that Nifty may test the
10300 - 10500 in couple of months.
¡ India's July Nikkei ¡ India’s July WPI inflation
manufacturing PMI fell to rose to 1.88% from 0.90%
47.9 from 50.9 in June. in June.
¡ India’s July Nikkei ¡ India’s July trade deficit
Services PMI fell to 45.9 rose to $11.45 bln from
from 53.1 in Jun. $7.76 bln YoY.
¡ India’s June IIP growth ¡ India’s July core sector
fell to (-)0.1% from 1.7% in growth fell to 2.4% from
May. 0.8% in June.
¡ India’s July CPI inflation ¡ India’s Apr-Jun GDP
rose to 2.36% from 1.46% growth fell to 5.7% from
in June. 6.1% QoQ.
3 ARIHANT CAPITAL ¡ SEPTEMBER 2017