Daily Market Pulse – India Edition Friday, May 16, 2025

Editor’s Note: Final trading session of the week brings a mixed tone across markets—traders eye corrections and profit-booking opportunities.

📉 Currency Market Update – USDINR

·  Opening: Gap-down at 85.28/29 (Previous Close: 85.48/49)

·  Drivers:

·       Indian equity rebound

·       Dollar Index enters correction mode

·  Intraday Outlook:

·      Expect corrective bias

·      Strategy: Sell on rise

·  Range Watch:

·      Key zone: 85.25 – 85.65

·     Extended support/resistance: 85.00 – 86.00

📈 Equity Market Snapshot

After a strong rally in the last session, Indian equities may see some profit booking:

·         Nifty50: Slight correction likely

·         Sensex: Mild intraday weakness expected

·         Nifty Bank: Upside potential remains intact

Note: Being the week's final session, traders may opt for position squaring.

💰 Bond Market Insights

·         Short Tenors (3M – 2Y): Yields stable

·       Overall Yield Curve: Rising trend continues

·         Implications:

o    Reflects inflation concerns or bond selling

o    Higher yields = Lower bond prices

🛠️Commodity Market Overview

🔻 Precious Metals:

·         Gold/Silver/Copper: Maintain sell-side technical bias

o    Trend: Downward pressure persists

🔺 Base Metals:

·         Intraday Strong Buys:

o    Aluminium, Tin, Lead, Nickel

⚡ Energy Market Trends

·         Crude Oil (WTI & Brent): Currently neutral

·         Strong Buy Momentum:

o    Carbon Emissions

o    Gasoline RBOB

o    Heating Oil

📌 Strategy Note:As we approach weekend risk and expiry hedges next week, maintain tight risk control and watch for key macro data ahead.

THANK YOU