Business News
GIFT Nifty down 40 points; markets to remain cautious ahead of the Fed’s decision
The GIFT Nifty shows a muted start as global indexes turn cautious ahead of key central bank rate decisions. Nifty face resistance near 24,800; support remains firm at 24,500-24,550 levels.
Market presets
- GIFT Nifty: On NSE IX, GIFT Nifty traded down 38 points at 24,668.50, pointing to a lower start on Dalal Street.
- A technical perspective: The short-term target for the Nifty is set at 25,125, with current support in the 24,500-24,550 range. Analysts suggest buying opportunities on dips in relation to the support area.
- India VIX: The volatility index increased by 7.55 percent to 14.04, indicating increasing market uncertainty.
World markets
- US stocks: The Nasdaq edged higher (+1.24%) on Monday, while the S&P 500 gained 0.38 percent. The Dow, however, fell 0.25 percent as investors awaited the Fed’s final policy announcement for the year.
- Asian markets: Equities in Asia traded higher, with Japan’s Topix and Australia’s S&P/ASX 200 up 0.5 percent each. Hang Seng futures were down 0.3 percent.
Important updates
- Dollar & Gold: The dollar held close to its recent highs, while gold prices stabilized ahead of the Fed meeting, where clarity on the 2025 interest rate path is expected.
- Rupee: The rupee hit a low, closing at 84.91, down 11 paise against the US dollar.
Shares are subject to F&O restrictions
Granules, Manappuram, Nalco, SAIL, RBL Bank, and Hindustan Copper are on the blacklist after breaching 95 percent of the market-wide position limit.
FII/DII action
- FIIs turned into big sellers, offloading shares worth Rs 278 crore on Monday.
- DIIs also sold shares worth Rs 234 crore.
- Total short positions of FIIs rose sharply to Rs 75,038 crore from Rs 60,551 crore on Friday.
Outlook
As global investors eye the Fed’s decision and Nifty’s resistance, market sentiment remains cautious. Analysts advise to stay alert for opportunities near key support levels while monitoring global developments.