TECHNICAL TREND ( NIFTY - BANK NIFTY FUTURES )
NIFTY FIFTY : - The Equity benchmark Nifty50 has opened flat basis on Monday up by 1 point at 8667. Nifty had a luck-luster movement last week where it moved in a narrow band of 125 points. Time to look forward to the follow up of Raghuram Rajan’s era country central bank by the newly appointed governor Urjit Patel, the scenario is still far from relax to him like rising inflationary Pressure and lower growth in domestic demand. For the second time in 7 month and after 5 month of consistent of positive closing, Nifty has ended marginally in red in this week. The Nifty is facing the lot of Resistance Levels around 8680-8720 levels. Ahead of Fed Chair Jennet Yellen Speech and Last trading Session of august F&O expiry the Nifty has witnessed some volatility but it was in the very much trading range. The crucial levels for Nifty for next week is 8650-8680 up side and 8550-8500 down side. If Nifty break the level of 8550 could witness the correction of 150-200 points.

BANK NIFTY : - The Bank Nifty open in Positive note on Monday up by 18 points or 0.1 percent at 19432. The Net-Performing Assets of India’s State run Bank’s. Measured of their percentage of advances, has ballooned 5.4 per cent as on March 2015 to 11.5 per cent in 15 month. The Government this time Choose to play safe by appointing Patel as the New Reserve Bank of India Governor, and in this way basically ensuring smooth transition, continuation of present policy of inflation targeting. Valuation wise Bank Nifty at 19400 PE of Bank Nifty is 27.50 and may be quite expensive from its historic average of around 18-20. Bank Nifty may be in the bubble zone already and we may see significant correction. Even after any initial Euphoria. The Crucial Levels for Bank Nifty is 19663-20031 upside and 19001-18682 down side.

NSE - WEEKLY NEWS LETTERS
✍ TOP NEWS OF THE WEEK
Reforms to aid growth; banking sector risks remain: Moody's - Moody's Investors Service said continued reforms to enhance business environment and moderate inflation will help India achieve robust growth but cautioned that rising contingent liability risks in the banking sector could affect its credit quality. Evidence of success in policymakers' efforts to introduce growth-enhancing economic and institutional reforms would provide support for a rating upgrade, Moody's said in its Annual Credit Analysis as it forecast GDP growth at around 7.5 per cent for next two years, "Sustained fiscal consolidation, stable inflation at moderate levels and progress on reforms aimed at enhancing the business environment would contribute to sustained growth at robust levels. In turn, persistent income and profit growth would raise government revenues and contribute to improved fiscal metrics. However, we expect the benefits to be very gradual," Moody's said.

July private equity investments slump as big-ticket deals vanish - Private equity deal momentum saw a significant downtrend in July with deals worth $ 768 million, registering a decline of 73 per cent over the same period a year ago, largely due to absence of big-ticket deals. According to assurance, tax and advisory firm Grant Thornton, there were 86 PE deals worth $768 million in July this year while in the corresponding period last year, there were 111 transactions worth $ 2,839 million. "PE investments witnessed a downward trend both in terms of volumes 23 per cent year-on-year and values 73 per cent y-o-y, marking the month's lowest investment values in the last three years due to absence of big-ticket investments only 3 investments above $50 million compared to 11 in July 2015," the report said.

Overall global investment in fintech companies totaled $ 99.4 billion, shows report - Global investments in fintech companies across both venture-backed and non-venture-backed companies totaled $ 9.4 billion in the second quarter of this year, says a report. However, investment directed to VC-backed financial technology startups fell 49 per cent, the report said. According to the Pulse of Fintech, the quarterly global report on fintech VC trends published jointly by KPMG International and CB Insights, despite this decline, VC investment in fintech is on pace to exceed 2015 results. "Despite VC-backed funding to fintech decreasing in Q2, overall fintech funding remains on track to surpass 2015 levels," says Ian Pollari, Global Co-Leader of Fintech, KPMG International.

Government expects tax revenues to increase after GST roll-out - The government expects its tax buoyancy to increase after the goods and services tax is rolled out, a sharp contrast to many experts warning of disruptions in tax machinery and slower revenue growth in the initial years of this tax reform. In the medium term expenditure framework released last week the government expects higher economic growth, GST and other policy measures to help lift gross tax revenues to 10.9% of gross domestic product in FY18 and 11.1% of GDP in FY of GDP in FY19. The Centre's tax-to-GDP ratio was 10.7% in FY15, almost same as projected 10.8% for the current fiscal.

Ind-Ra upticks GDP forecast to 7.8%; growth on but not speedy - Ind-Ra has revised India's economic growth forecast to 7.8 per cent for the ongoing fiscal on better monsoon, but said the economy is just "chugging along" despite the euphoria emerging after the formation Modi government at the Centre. "India Ratings and Research has revised its gross domestic product estimate for 2016-17 upwards to 7.8 per cent from its earlier forecast of 7.7 per cent. The upward revision has been prompted by the progress of monsoon and the sowing of kharif crop so far," the ratings agency said in its research report on 'Review of the Economy'. With the area under kharif crop sowing 5.7 per cent higher than a normal area so far, it said the agency expects the farm gross value added to grow 3 per cent in the current fiscal as against 2.8 per cent forecasted earlier.

India should allow migration of China's excess manufacturing' - India should shed its concerns over pollution and allow Chinese industries to shift their excess capacity to it which would be benificial to both countries, state media here said. "India may need to carefully think about whether it wants to resist or embrace the migration of China's production capacity, which allegedly involves some investment in heavy polluting industries," an article in the state-run Global Times said. Referring to reports of China Railway Rolling Stock Corporation starting operations at its joint venture plant in Haryana to manufacture and repair locomotives, it said, "the partnership is hardly surprising seeing as India has one of the world's largest railway network, creating a huge demand for engines and other railway equipment".


✍ TOP ECONOMY NEWS
Income tax collection from the Mumbai zone, which sends one-third of the total direct tax collections, grew by around 9% to Rs. 671.85 billion in April-July, driven by a massive spike in advance collections from individuals.

For the second-straight month, India trimmed its holdings of American government securities to USD 117.2 billion in June.

The Ministry of Railways has opted for a slab-wise revision of its coal freight based on distance. Through this, there would be a 8-14% rise on coal freight rates for distances between 100-700 km.

India's total installed solar capacity has grown by over 80% in the last 12 months to reach 8.1GW. Out of the 3.6 GW capacity added in this period, 2.7 GW has come from four southern states with Tamil Nadu alone adding over 1.2 GW. These six states account for 80% of the capacity added in India.

India is renegotiating over a two-decade old tax treaty with Singapore and the revised protocol will take into account the concerns of both.

The Union Cabinet gave its nod for signing of revised double taxation avoidance agreement with Cyprus, a popular tax haven.

Domestic crude oil output fell 1.81% in July 2016 but natural gas output rose 3.27%.

The National Payments Corporation of India said the Unified Payments Interface will go live for customers of 21 banks.

The Reserve Bank of India announced a slew of changes in fixed income and currency markets such as allowing lenders to issue 'masala bonds' and to accept corporate bonds under the liquidity adjustment facility.

The government is set to seek formal Cabinet approval for shutting down seven state-owned companies, with their respective line ministries apparently agreed. This would be the first time that approvals for closing so many public sector undertakings is being sought in one go.


✍ TOP CORPORATE NEWS -
A green panel has deferred its decision on granting environment clearance to Indian Oil Corporation’s Rs. 5.93 billion Styrene and Ethylene project at Panipat in Haryana, for want of more information.

Apollo Tyres has said it is planning to invest around Rs. 16-17 billion during the current fiscal, a major chunk of which will be for its Chennai facility. Additionally, it plans to spend about EUR 200 million on its Hungary greenfield facility for the fiscal 2017.






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