A morning walk down Dalal Street | Crucial support for Nifty at 10,850, hurdle at 11,100
Episode 1519, Aug 05, 2019, 01:30 AM
Indian markets witnessed its second-worst week of 2019. Benchmark indices fell by over 2 percent each for the week ended August 2.
We saw some recovery after media reports suggested that the Prime Minister's Office (PMO) and the finance ministry are in talks over the foreign portfolio investments (FPI) surcharge issue.
The government is likely to put on hold a plan to raise the minimum public shareholding in listed companies to 35 percent from 25 percent, a source privy to the matter told Reuters.
The news flared a short-covering rally on Friday which helped Nifty closed above 10950 but failed to close above 11,000 levels. But, analysts feel there could be some more short covering in the week.
However, on the global front, concerns over US and China trade talks is likely to weigh on markets across the globe. S&P 500, Nasdaq close out the worst week since December on trade worries
The rupee dived 54 paise on Friday to close at an over six-week low of 69.60 against the US dollar as soaring crude oil prices and a fresh flare-up in US-China trade tensions weighed on emerging market currencies.
On the institutional front, FPIs were net sellers in Indian markets for Rs 2,888 cr while DIIs were net buyers to the tune of Rs 2,812 cr, provisional data showed.