Stock Market LIVE Updates: GIFT Nifty indicates a gap-up start; US markets fall, Asian markets gain

Crude oil experienced significant volatility and extended its decline due to a surprising drop in U.S. gasoline demand. According to the U.S. Energy Information Administration (EIA), crude oil inventories in the U.S. fell by 4.2 million barrels last week, compared to an expected decline of 1.6 million barrels. Despite this, gasoline demand decreased unexpectedly during the peak summer driving season.

The EIA reported that gasoline demand slipped about 2% from the previous week to 9.15 million barrels per day. Consequently, U.S. gasoline futures fell more than 2%, hitting three-month lows. However, concerns over supply amid OPEC+ potentially maintaining their 2.2 million barrels per day output cuts are providing some support to oil prices.

Additionally, U.S. GDP data met market expectations, which also helped support oil prices at lower levels. We expect crude oil prices to remain volatile in today’s session. Crude oil has support at $76.80–76.10 and resistance at $78.20–78.90. In INR, crude oil has support at Rs 6,410–6,350 and resistance at Rs 6,560–6,630.

The trading in equity shares of the company will commence on the NSE Emerge effective May 31. Its equity shares will be available in the Trade-for-Trade surveillance segment.

TPG Asia VII SF Pte Ltd exited R R Kabel by selling its entire shareholding of 56,33,238 equity shares at an average price of Rs 1,701.1 per share, valuing at Rs 958.27 crore.

However, HDFC Standard Life Insurance Company bought 8.5 lakh shares, and Mirae Asset Mutual Fund bought 11,46,300 equity shares in R R Kabel at the same price.

Promoter IRB Holding sold 10.50 crore equity shares in IRB Infrastructure at an average price of Rs 64.32 per share, and 12 crore shares at an average price of Rs 64.12 per share, which is equivalent to 3.7% of paid-up equity, valued at Rs 1,444.8 crore.

However, The MTBJ A/C Nomura India Investment FD bought 3,87,30,591 equity shares in IRB Infra at an average price of Rs 66.25 per share, amounting to Rs 256.6 crore.

#1 Salesforce lowered operating margin guidance for FY25

#2 Persistent & Infosys have highest employee & revenue exposure towards Salesforce

#3 Reiterate cautious stance on Indian IT sector

#4 Have sell call on LTIMindtree & Wipro

#5 LTIM & Wipro potentially have 5% revenue exposure to customer relationship management business

HDFC Capital Advisors Limited, a subsidiary of the HDFC Bank, has entered into a share subscription agreement for acquisition of 1,043 equity shares of TruBoard which post allotment, would entitle HCAL to 8.5% of the equity share capital of TruBoard on a fully diluted basis.

#1 Well-supplied energy markets, state owned enterprise reforms should benefit midstream/downstream players

#2 Monetisation of key projects should benefit midstream/downstream players

#3 Affordable gas taking centre stage, GAIL is top pick & most preferred stock

#4 Like HPCL, Reliance as well

#5 Other fuel retailers, & upstream are key overweight

Nifty witnessed a gap down opening and continued to drift lower during the day to close around the lows on May 30. It closed in the negative down ~216 points. On the daily charts we can observe that the Nifty is in the process of retracing the rise it has witnessed 22054 – 23111.

The Nifty has now reached the support cluster of 22460 – 22500 where support parameters in the form of the 20-day moving average and the 50% Fibonacci retracement level are placed. We expect the Nifty to hold this crucial support zone and start the recovery process. In case of a breach the next support is placed at 22313 – 22300.

Bank Nifty recovered smartly and closed with gains of ~181 points. On the daily charts we can observe that it has recovered sharply from the 48300 levels which coincided with the 20-day moving average and the 61.82% Fibonacci retracement level of the 47435 – 49689 rise. We expect the positive momentum to continue over the next few trading sessions. On the upside, we expect it to continue its momentum till 49400 – 49500.

General Atlantic Singapore Fund Pte Ltd sold 1 crore equity shares (equivalent to 5.8% of paid-up equity) in KFin at an average price of Rs 712.81 per share, valued at Rs 712.81 crore.

However, Societe Generale, Employees Provident Fund managed by Aberdeen Asset Management SDN BHD, and Morgan Stanley Asia Singapore Pte bought 43,20,129 equity shares (equivalent to 2.5% of paid-up equity) in KFin at an average price of Rs 712.5 per share, amounting to Rs 307.8 crore.

Goldman Sachs FDS Goldman Sachs India EQ Portfolio bought 10,75,039 equity shares of the working space solutions provider at an average price of Rs 438.18 per share, valuing at Rs 47.1 crore, on its listing day.

Bears remained in the driver’s seat as Nifty50 began the monthly expiry day lower at 22,650, following the weak global equities. The Index kept compounding its losses throughout the day to end at 22,488.65 with a loss of 216.05 points. Barring Media and BankNifty, all other sectors ended the day in red as Metal and IT corrected the most. Broader markets underperformed the Frontline Index as Mid and Smallcap indices corrected over 1.30%.

Near its 50DMA support, the Index has made a bearish candle but on the lower time frame i.e. hourly chart indicates a high probability of a reversal as it is placed in oversold territory. The immediate support is placed at 22,390 while 22,700 will be considered a strong hurdle.

The U.S. economy grew at a sluggish 1.3% annual pace from January through March, the government said Thursday in a downgrade from its previous estimate. Consumer spending rose but at a slower pace than previously thought.

The Commerce Department had previously estimated that the nation’s gross domestic product the total output of goods and services expanded at a 1.6% rate last quarter.

The first quarter’s GDP growth marked a sharp slowdown from the vigorous 3.4% rate in the final three months of 2023.

Trends on GIFT Nifty indicate a flat to positive up start for the broader index in India, with a gain of 18.5 points or 0.08 percent. The Nifty futures were trading around 22,681.50level.