Post a volatile day on Dalal Street influenced by the Mauritius Tax Treaty, Nifty is expected to open in the red today. SGX Nifty, at the time of writing was trading at 7846.50 down 26.00 points, indicating a subdued start.With Nifty ending tad below 7850, down 38.95 points at 7848.85 and Sensex at 25597.02, 175.51 points lower on Wednesday, the Indian equity market is likely to follow the global cues.In the US, markets tumbled following their biggest gain in two months, as disappointing results from Walt Disney to Macy's raised doubts about the strength of the American consumer. The Dow Jones logged its worst day since February 11 while consumer discretionary shares post worst drop in 3 months.Mirroring the global sentiment, Asia too opened on a weak footing, in early trade today.Similarly in European trade, markets closed mostly lower, as a mixed set of earnings and weakness in the banking sector weighed on sentiment, despite gains in various commodities.However, mining stocks outperformed on the back of a sharp rise in metal prices.Beyond equities, crude settled at new 2016 high as weekly inventory data showed a surprise drop in domestic crude stockpiles, adding to concerns over supply disruptions in Canada and Nigeria.From precious metals space, gold rebounded from two-week lows as the dollar's rally paused and global shares fell, rekindling investors' appetite for the precious metal. JP Morgan believes that gold has entered a new bull market. In the currency space, the dollar fell against a currency basket for the first time in seven days, as investors consolidated gains and booked profits on a day with no major US economic data and weak global cues.Back home, in a major step to tackle the bad loan menace, Rajya Sabha has passed the Bankruptcy Bill, where the insolvency process could be wrapped up in just 180 days.On the economy front, Index of Industrial Production (IIP) for March is seen rising to 2.52 percent on back of favourable base effect.Meanwhile, consumer price index (CPI) for April is expected to harden to 5.05 percent due to the rise in food and miscellaneous inflation.Further, the Supreme Court has asked the government to formulate a national policy to tackle drought and has rapped state governments for "ostrich-like" attitude. This post Assocham came out with its estimates that drought in 10 states could have an impact of Rs 6.5 lakh crore on the economy.
In the earnings corner, Dr Reddy's Lab, Glenmark Pharma, Nestle India, Arvind and Manappuram Finance will announce their quarterly results. Others in the list include Firstsource Solutions, Bank of Maharashtra, MRPL, Polaris and SREI Infrastructure.
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