Wall Street closed lower as PPI & Core PPI data came above market estimate. US 10-year bond yield @ 3.89 & Dollar Index above 104 indicate risk-off sentiment.
US economic data: PPI @ 6.0% Vs estimate @ 5.4%. Core PPI @ 5.4% Vs estimate @ 4.9%.
European market at fresh 52-week high as inflation seen signs of cooling-off.
VIX @ 12.89: could increase to 14.
Approach on Indices: SGX Nifty indicate gap-down opening of around 80 – 100 points. Nifty could test 17856 & Banknifty could test 41000 to 40817 on lower side. Technical chart indicates narrow movement & VIX around 13 – 14 could find buying at support level.
Market View: no big move seen on either side, we continue to focus on stock specific story in Mid-cap & Small-cap segment. With lack of positive trigger, upside for overall market remains limited.
SGX Nifty @ 17974 down 94 points at 8:15 AM