Domestic benchmark indices Nifty 50 and Sensex each gained 0.35% on Thursday, September 3, led by banking stocks that raised $136.4 billion through the RBI's foreign-currency deposit and borrowing schemes. According to reports from LiveMint, the fund mobilisation is expected to strengthen liquidity ahead of the festive season. The gains come after both benchmarks declined around 1% over the previous three sessions, weighed down by rising crude oil prices and global bond yields as investors reassessed expectations for interest rates to remain elevated for longer.
Oil prices eased on Thursday after their recent rally, with Brent crude trading close to $95 a barrel and US West Texas Intermediate (WTI) crude slipping 0.1% to $90.84 a barrel. As reported by LiveMint, Brent crude fell 0.4% to $95.26 a barrel, while Asian equities advanced and US stock futures edged higher. Renewed fighting between the US and Iran had pushed crude prices sharply higher earlier this week, but US President Donald Trump said on Wednesday that he did not expect the US bombing campaign to continue for 'much longer'.
According to Nagaraj Shetti, Senior Technical Research Analyst of HDFC Securities, the downtrend continued with Nifty 50 closing 141 points lower amidst minor recovery from the day's low. As reported by LiveMint, a small green candle was formed on the daily chart with minor lower shadow, and the opening downside gap has been filled partially. The overall trend of Nifty 50 remains weak with ongoing bearish pattern showing lower tops and bottoms, signaling sell on rise opportunity on any pullback from current levels.
Shetti recommends buying eClerx Services at ₹2,000 with target at ₹2,165 and stoploss at ₹1,920 for a 2-3 week timeframe. According to LiveMint, the IT stock has been resilient during weak broader markets and is attempting a breakout from larger consolidation movement. He also suggests selling UNO Minda at ₹1,240 with target at ₹1,180 and stoploss at ₹1,270 for the same timeframe, citing a downside breakout from distribution-type pattern after forming a triple-top-type pattern.
