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Market Update

Nifty  : 24,334.20 -1.75 (-0.01%)

Sensex : 80,242.24 -46.14 (-0.06%)

* The equity benchmarks, Sensex and Nifty, ended on a flat note, trading within a narrow range ahead of a mid-week holiday. Investor sentiment remained cautious due to geopolitical tensions with neighboring countries, along with key U.S. economic data scheduled for release today. The Nifty closed flat at 24,334, while the Sensex dropped by 46 points, or 0.1%, finishing at 80,242. However, there were positive factors that supported the markets, including sustained foreign fund inflows, the Indian Rupee strengthening to its highest level this year below 85, hopes for a U.S.-India trade deal, and a rally in U.S. markets, which helped keep the Nifty and Sensex above the 24,300 and 80,000 levels, respectively.

* Among Nifty stocks, the Bajaj twins—Bajaj Finance and Bajaj Finserv—were the biggest losers, falling over 5% each following the announcement of stable quarterly results. On the other hand, telecom giant Bharti Airtel and auto major Maruti saw gains of 2% and 3.5%, respectively, making them some of the top performers. Defense stocks faced profit-booking, with the Nifty Defense, small-cap, and metal indices declining between 1-2%. In contrast, the Nifty Realty Index rose by 2%, and tire stocks posted solid gains, particularly after Ceat Ltd. reported strong quarterly results. Ceat soared by 9% to close at Rs 3,332, while Apollo Tyres gained 4%, closing at Rs 471. Realty stocks such as Lodha, Godrej Properties, DLF, and Sobha gained between 2-4%, following the news that the Bruhat Bengaluru Mahanagara Palike (BBMP) extended the deadline for availing a 5% property tax rebate by one month, from April 30 to May 31.

* Overnight, the U.S. markets rose nearly 1%, and both Asian and European markets followed suit, bolstered by the ongoing rally on Wall Street and optimism regarding potential trade deals with the U.S.

Technical Outlook:

* Nifty Index opened positive and continued buying interest in the first tick but failed to cross 24400 levels and consolidated within a narrow band for the rest of the day. It moved inside the range of the first hour and witnessed some swings in the last hour to finally settle a tad bit lower than its opening levels.

* It formed a small bodied candle on daily frame with support based buying but lack of follow up at higher zones. Now it has to hold above 24200 zones for an up move towards 24500 then 24650 zones while supports have shifted higher towards 24200 then 24050 zones.

Derivative Outlook:

* Nifty future closed negative with marginal losses of 0.18% at 24380 levels. Positive setup seen in IGL, Lodha, Maruti, HDFC Life, Balkrishna Industries, Apollo Tyres, Godrej Properties, DLF, Bharti Airtel, OIL India, Jindal stainless, MGL and SBI Life while weakness in Bajaj FinServ, Bajaj Finance, Exide Industries, TRENT, SBIN, CAMS, IRB Infra, PNB, DMART, Voltas and Hindustan Copper.

* On option front, Maximum Call OI is at 25000 then 24500 strike while Maximum Put OI is at 24000 then 23500 strike. Call writing is seen at 24800 then 24400 strike while Put writing is seen at 24300 then 24000 strike. Option data suggests a broader trading range in between 23800 to 24800 zones while an immediate range between 24100 to 24500 levels

Global Market Update

* European Market - European stocks rose, while US futures slipped as tariff turmoil threw up a mixed impact on company earnings and as investors looked ahead to key US economic data.UK, Germany and France Index gain 0.5% each.

* Asian Market - Asian stocks rose, on track for a fourth-straight day of gains, as investors were encouraged by a continued rally on Wall Street and optimism over potential trade deals with the US. Japan, South Korea, Hong Kong and Taiwan Index gained up to 0.5%.

* US Data - GDP, Personal Consumption, Personal Spending

* Commodity - Oil prices extended declines on Wednesday and were set for their largest monthly drop in more than three years as the global trade war eroded the outlook for fuel demand, while fears of mounting supply also weighed. Brent crude slipped 2% to below $64 a barrel.

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