What changed for market while you were sleeping: 10 things to know
Here’s are top cues from domestic as well as international markets which could have a bearing on D-Street
Kshitij AnandMoneycontrol News
The Nifty failed to hold on to its crucial level of 9,150-9,160 on Monday, but Tuesday will be a new day. The index might be able to reclaim this crucial resistance level tracking positive trend seen in SGX Nifty.
Here’s are top cues from domestic as well as international markets which could have a bearing on D-Street:
Cabinet clears 4 GST bills
The Union Cabinet approved four legislations required to implement the goods and services tax (GST), allowing for their introduction in parliament this week. The govt. is hopeful that GST which is the biggest reform of the indirect tax reform can be rolled out from July 1.
SGX Nifty signals fresh high
The Nifty futures on the Singapore Stock Exchange were trading 30 points higher at 9,193 indicating a positive opening for the domestic market.
D-Mart shares to list today
D-Mart parent Avenue Supermarts, which recently concluded its Rs 1,870-crore initial public offering (IPO), will list its shares on bourses on Tuesday.
Players who have bought Avenue Supermarts shares at a hefty premium in the illegal grey market, as well as high net worth individuals who have bought shares on borrowed funds, are a jittery lot ahead of the listing of the shares on Tuesday.
For the HNIs, Avenue shares need to list around Rs 450—nearly a 50 percent premium to the issue price—for them to make a meaningful profit.
Wall Street mixed
Wall Street ended mixed as investors worried that President Donald Trump's plan to cut taxes and boost the economy could take longer than previously expected.
The Dow Jones Industrial Average inched down 0.04 percent to end at 20,905.86 points, while the S&P 500 lost 0.20 percent to 2,373.47. The Nasdaq Composite edged up 0.01 percent to finish at 5,901.53 after briefly hitting an intraday record high.
Dollar index hits six-week low
The US dollar slumped to a six-week low on Monday on worries over a dovish Federal Reserve. The dollar index, which measures the greenback against a basket of six major currencies, was flat at 100.32 after touching its lowest since February 7 of 100.020.
Crude oil slips further
Oil prices fell as investors continue to grapple with worries about growing US oil output and high inventories. Brent crude settled down 14 cents, or 0.27 per cent, at USD 51.62 a barrel. US crude settled down 56 cents, or 1.15 per cent, at USD 48.22 a barrel.
Rupee scales 16-month high
The rupee regained its dominance after a brief consolidation phase and ended at a fresh 16-month high of 65.36 against the American currency on Monday in the face of dollar unwinding from exporters and banks.
“Rupee has been gaining strength after the RBI signalled a neutral stance on policy rates,” Abnish Kumar Sudhanshu, Director & Research Head, Amrapali Aadya Trading & Investments said.
“Further, FII who had turned to net sellers in the Indian debt as well as equity markets post demonetisation, have been taking return flight after seeing the current India scenario,” he said.
HCL Tech in focus on buyback news
The board of IT services company HCL Technologies on Monday approved a buyback of up to 3.5 crore shares at Rs 1,000 per share. This works out to Rs 3,500 crore.
As of December 2016, HCL Technologies had cash of USD 1,885 million on its books. The company has an equity base of 1.41 billion shares and has paid out dividends for the last 56 consecutive quarters.
Bulls failed to keep the momentum going as the Nifty closed below its crucial psychological level of 9,150 and made a bearish candle similar to ‘Bearish Belt Hold’ kind of pattern on the daily candlestick charts on Monday.
Technical analysts see a correction to get extended for a couple of days more as some trend following momentum oscillators have generated a sell signal, but it is still a buy on dips market till the time it holds 9,020 level.
UK to trigger Brexit on March 29Prime Minister Theresa May will file divorce papers to leave the European Union (EU) on 29 March, launching two years of complex negotiations that will pit the UK’s need for a trade deal against the bloc’s view that Britain shouldn’t benefit from Brexit, said a media report.