Crude to go above 6400 ?

 As we can see the chart pattern of crude its likely to go 6400 in this expiry ...what are your thoughts!!!

New capital gains tax rules to come into effect from April 1

 New capital gains tax rules to come into effect from April 1

New Delhi, March 23 (IANS) With financial year 2023-24 just round the corner, certain changes would be effected in the capital gains tax rules.

From April 1, converting physical gold to electronic gold receipts won't be considered as a transfer and therefore will not attract any capital gains tax.

Similarly converting electronic gold receipt to physical gold also will not attract any capital gains tax.

Electronic gold receipts are depository gold receipts that can be traded on the stock exchanges.

Also from April 1 onwards, the government will put a Rs 10 crore cap on reinvestment of capital gains from the sale of housing property under the provisions of Sections 54 and 54F of the Income Tax Act.

Section 54 allows a taxpayer to claim benefits on selling a residential property and acquiring another one from the sale proceeds.

Section 54F offers tax on the long-term capital gains from the sale of any capital asset other than a house property.

Beginning from the new fiscal, capital gains arising from transfer or maturity of market-linked debentures will be treated as short-term capital gains and will be taxable at applicable slab rates.

Gold pinned near $2,000, overtakes dollar as premier safe haven........

Gold pinned near $2,000, overtakes dollar as premier safe haven.........

 

Gold prices stuck to near key levels on Friday, outpacing the dollar for a third straight week as signs of a less hawkish Fed and turmoil in the banking sector saw traders turn to the yellow metal as their preferred safe haven. 

Bullion prices were also set for a fourth straight week of gains, if current levels hold, as the dollar tumbled to a seven-week low against a basket of currencies.

Renewed weakness in the dollar comes after the Fed hiked interest rates earlier this week, but hinted that peak rates may be in sight, as a recent banking crisis highlighted the growing economic impact of high borrowing costs.

Spot gold was flat at $1,993.60 an ounce, while gold futures steadied at $1,995.65 an ounce by 20:27 ET (00:27 GMT). Spot gold was up about 0.2% this week, while gold futures were set to add 1%. The yellow metal was now less than $100 away from a $2074.88 an ounce record high hit during the 2020 COVID pandemic.  

The collapse of several regional U.S. banks saw investors pile into gold over the past three weeks, amid concerns of contagion. While regulators intervened to restore faith in the banking system, markets still remained on edge over any more ructions.

The Fed’s softening of its hawkish stance also brewed concerns over a banking collapse, even as Treasury Secretary Janet Yellen sought to reassure investors of stability in the sector. 

Markets are now pricing in the possibility that the Fed will raise rates only once more this year , after hiking rates by a cumulative 475 basis points in the past 12 months. 

A pause in the Fed’s hiking cycle bodes well for gold, which was pressured by strength in the dollar and rising yields through 2022. 

Uncertainty over an economic slowdown this year also benefited the yellow metal. Other precious metals were muted on Friday, but were also set for a strong week. Platinum futures were set to add 1.4% this week, while silver was up 3.7%. 

Among industrial metals, copper prices were muted on Friday, but were also set for strong weekly gains as pressure from the dollar eased.

Copper futures rose 0.1% to $4.1060 a pound, and were up 5.6% this week. 

Nifty Bank Sheds 382 Pts As Bears Return, Public Banks Feel Heat

Nifty Bank Sheds 382 Pts As Bears Return, Public Banks Feel Heat.. 

The domestic market indices declined on Thursday, following weak global cues as the Federal Reserve raised the interest rate by 25 bps despite the banking crisis, along with weak global cues.

Key sectoral index Nifty Bank tanked 1.11% in Thursday’s intraday trade, hitting the session’s low at 39,552.5 points and ended the day 0.96% or 382.15 points lower at 39,616.9 levels on March 23, with all constituent stocks ending in the red except one.

In a note provided to Investing.com, Kunal Shah, Senior Technical & Derivatives Analyst at LKP Securities said that the Nifty Bank bears came back strong in the second half of the session and the index witnessed selling pressure from higher levels.

“The index needs to cross the level of 40,000 on a closing basis from continuing the up move,” he said.

The Nifty Bank index is likely to trade in the range of 39000-40000, and a break on either side will decide a trending move, the expert added.

The private sector lender Bandhan Bank (NS:BANH) was the only stock in the 12-scrip sectoral index that ended the session with gains.

On the flip side, public sector lenders SBI (NS:SBI), Bank of Baroda (NS:BOB) and Punjab National Bank (NS:PNBK) led the losses on the sectoral pack, sliding up to 3%.

Further, Bank NIFTY Futures tumbled 1.2% or 481.35 points to 39,637.95 levels.

Benchmark indices Nifty50 fell 0.44% to close at 17,076.9 points and Sensex lost 289.31 points or 0.5%.

Indices Snap Winning Streak

How Did Indian Market Fare Today: Indices Snap Winning Streak

 Indian equity benchmark indices snapped a 2-day winning streak and ended lower on Thursday, with banking stocks largely exerting pressure on the domestic market.

Headlines Nifty50 closed the session 0.44% lower at 17,076.9 points, while Sensex 289.31 points or 0.5% on Thursday. 

The leading market indices made a negative start to the session on Thursday, following weak global markets as the US Fed raised interest rates by 25 basis points despite the recently-hit banking crisis, but later erased morning gains to trade in the green.

However, the uptick remained short-lived and Nifty sank to the red towards the session’s end, though maintaining the crucial 17,000 mark.

In a note sent to Investing.com, Vinod Nair, Head of Research at Geojit Financial Services said that even though the Fed’s decision to raise interest rates by 25 bps was in line with expectations, concerns were raised by the U.S. Treasury Secretary's statement that blanket insurance for all deposits was not being considered.

“The domestic market attempted to recoup its initial losses with the help of favorable U.S. futures as the Fed hinted at its plan to pause rate hikes sooner,” he noted.

However, the recovery died down due to a sluggish start in the European market led by a 50bps hike by the Swiss National Bank, Nair added.

The market fear barometer India VIX declined 6% in the session to touch 13.9 levels. 

Crude oil lower on growth concerns, rising U.S. inventories

 Crude oil lower on growth concerns, rising U.S. inventories

Nvesting.com -- Oil prices retreated Thursday, snapping a three-day rally, after a surprise rise in U.S. crude stockpiles and with the Federal Reserve highlighting global growth concerns.

By 09:15 ET (13:15 GMT), U.S. crude futures traded 0.2% lower at $70.77 a barrel, while the Brent contract fell 0.2% to $76.57 a barrel. 

The benchmarks had posted gains the first three days this week, having hit their lowest since late 2021 earlier this week.

The Fed hiked interest rates as expected on Wednesday, but downgraded its GDP outlook for the year, expecting the U.S. economy to grow 0.4% this year, down from previous expectations of 0.5%.

The U.S. central bank also hinted that it might pause its rate-hike campaign due to the turmoil in the banking sector, implying concerns that smaller regional banks could curb their lending to preserve cash, hitting economic activity.

The Bank of England also raised its key interest rates by another 25 basis points earlier Thursday to a new 15-year high of 4.25%.

Also weighing on sentiment was the surprise increase in the official U.S. crude stockpiles, which rose by over 1 million barrels to their highest in nearly two years last week. 

Still, losses haven’t been extreme as a weak dollar has provided support.

The dollar index fell to a seven-week low after the Fed meeting, making commodities that are denominated in dollars, like crude, cheaper for foreign buyers.

There are signs of strong demand in Asia as the Chinese economy recovers from the hit to activity caused by its COVID-Zero policy.

Goldman Sachs expects oil demand from China, the world's biggest oil importer, to top 16 million barrels per day. It forecast Brent would reach $97 a barrel in the second quarter of 2024.

Similarly, consultancy firm Wood Mackenzie said China will drive at least 40% of an increase in global crude demand this year.

On the supply side, attention will turn to the next meeting of OPEC’s monitoring committee — which can recommend a change in output — on April 3. 

That said, the group will probably wait for financial markets to calm before deciding whether it needs to react to cutting production once more, said Energy Aspects.

“It would be premature for OPEC+ to take action without first understanding what the risks are,” the consultancy group said.

Credit Suisse bailout creates a bank twice the size of Swiss economy 

London, March 23 (IANS) The last-minute rescue of Credit Suisse (SIX:CSGN) may have prevented the current banking crisis from exploding, but its a raw deal for Switzerland, according to a media report.

Worries that Credit Suisse's downfall would spark a broader banking meltdown left Swiss regulators with few good options, CNN reported.

A tie-up with its larger rival, UBS, offered the best chance of restoring stability in the banking sector globally and in Switzerland, and protecting the Swiss economy in the near term.

But it leaves Switzerland exposed to a single massive financial institution, even as there is still huge uncertainty over how successful the mega merger will prove to be, CNN reported.

At roughly $1.7 trillion, the combined assets of the new entity amount to double the size of Switzerland's annual economic output. By deposits and loans to Swiss customers, UBS will now be bigger than the next two local banks combined, CNN reported.

With a roughly 30 per cent market share in Swiss banking, "we see too much concentration risk and market share control", JPMorgan (NYSE:JPM) analysts wrote in a note last week before the deal was sealed. They suggested that the combined entity would need to exit or IPO some businesses.

The problem with having one single large bank in a small economy is that if it faces a bank run or needs a bailout - which UBS did during the 2008 crisis - the government's financial firepower may be insufficient.

At 333 billion francs ($363 billion), local deposits in the new entity equal 45 per cent of GDP - an enormous amount even for a country with healthy public finances and low levels of debt, CNN reported.

"One of the most established facts in academic research is that bank mergers hardly ever work," said Arturo Bris, a professor of finance at Swiss business school IMD.

There are also concerns that the deal will lead to huge job losses in Switzerland and weaken competition in the country's vital financial sector, which overall employs more than 5 per cent of the national workforce, or nearly 212,000 people.

The demise of one of Switzerland's oldest institutions has come as a shock to many of its citizens. Credit Suisse is "part of Switzerland's identity", said Hans Gersbach, a professor of macroeconomics at ETH University in Zurich. The bank "has been instrumental in the development of modern Switzerland", CNN reported.

Its collapse has also tainted Switzerland's reputation as a safe and stable global financial Centre, particularly after the government effectively stripped the shareholders of voting rights to get the deal done.