It’s time for all time high again! After a pause for a day, NIFTY is all set to shatter the records and open at an all time high. A opening above 9850 is guaranteed. Positive global cues and strong domestic macros are going to push the NIFTY to higher levels. Today we could see 9900 and we are now at the touching distance to 10,000. Remember I predicted that any close above 9800 will mean a major push to the market. If you have entered the market on July 7th when it was at 9600 levels, you are already sitting on 2.5% profit in 4 trading sessions and today the point is whether the close happens above the opening level or not. Watch it closely. The last 1 hour will be dominated by the weekly expiry of Bank Nifty.
On the macro front, CPI inflation comes at a multi year low of 1.54%. Food inflation is at -2.12%. This is staggering because the food prices are actually falling. Last year same time it was at 7.8%. To put it in simple words, if a kilo of tur dal was 100 rupees a 7.8% inflation means it goes to 107.80 rupees and a inflation of -2.12% means it drops to 97.88 rupees. Shame on RBI that they allowed us to get to this dismal level before they react. Services inflation which RBI saying is worrying also drops to 3.8% vs 4.8% seen same month last year. Attached to CPI is IIP figures that comes at 1.7% vs 3.1% seen one month before. That is a bad sign and a sign of a slowing economy. Unless RBI wakes up on 2nd August and cuts rates, they would ruin the economy with their own hands with the “play safe” approach they are taking.
On the results front, TCS is coming up with the Q1 result and everyone will be looking forward to it as it will clearly tell you, how IT sector is going to go in 2018 fiscal.
Fuel prices in important cities today, 13th July
There was a slight fall in petrol price by 2-3 paise and Diesel by 5 paise from yesterday to today.