Nifty likely to slump at open after China trading halts

Moneycontrol BureauIndian equities are expected to open deep in the red, tracking other Asian markets, after another sell-off in China led to trading being halted for the second time this week.At the time of writing, the SGX Nifty was trading 71 points, or 0.93 percent, lower to 7,663.The fresh weakness in global markets has been triggered by a fresh devaluation of yuan and amid continuing concerns over the Chinese slowdown, as oil plummeted, and as a Fed official was quoted as saying the market may be optimistic on expectations over rate hikes.The Chinese central bank fixed the yuan mid point at 6.5646/USD this morning, a move that sent the country's stocks tumbling.In key asset classes, Brent crude slumped to an 11-year low to USD 34 a barrel, the US dollar fell while gold rose.Locally, a number of stocks will likely be in focus, including Tata Motors, which inked a tie-up with Petronas, as well as other auto stocks, which may be pressured after the government said it would adopt stricter BS VI standards in 2020 instead of 2021. TechnoFab Engineering said its board would meet on January 20 to consider a round of fund raising while CRISIL revised Mangalore Chemical long-term rating upward.