Daily Markets - July 2, 2020 - Mr. Deepak Jasani, Head Retail Research, HDFC Securities

Indian benchmark indices rose strongly for the second consecutive day on July 2 - a weekly options expiry day. At close, the Nifty was up 121.70 points or 1.17% at 10551.70. The India Volatility Index ended 5.7% lower at a four month low of 26.5. Non institutional participation seemed to be at a high level even as the breadth of the market kept improving.

Despite the ongoing rise in global virus cases, Asian equity markets saw their biggest daily rise in over two weeks overnight. World stocks rose for a fourth straight day on Thursday as encouraging coronavirus vaccine trials kept investors' spirits up ahead of what was expected to be a record rebound in U.S. jobs figures later. Copper prices jumped to a more than six-month peak on a better global outlook and supply fears in top producer Chile. Eurozone unemployment rate inched higher to 7.4 % in May from 7.3% in April amid govt support.

Technically, with the Nifty moving up further after breaking out of the 10194-10410 range on Thursday, the underlying trend remains up. Once Nifty closes above 10554, the upward momentum could gather further pace.

Source : Equity Bulls

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