The market is expected to open in the green on March 17 as trends in the SGX Nifty indicate a gap-up opening for the broader index in India with a gain of 151 points.
In the previous session, the BSE Sensex rose 79 points to close at 57,635, while the Nifty50 gained 13.4 points to settle at 16,986 and formed a Long Legged Doji pattern on the daily charts, indicating the tug of war between bulls and bears after taking support at 16,850.
As per the pivot charts, the Nifty has support at 16,885, followed by 16,835 and 16,754. If the index moves up, the key resistance levels to watch out for are 17,047, followed by 17,097 and 17,178.
Stay tuned to Moneycontrol to find out what happens in the currency and equity markets today. We have collated a list of important headlines across news platforms which could impact Indian as well as international markets:
US Markets
A strong rebound by financials helped Wall Street's main indexes close firmly positive on Thursday, after some of the country's largest lenders came to the rescue of embattled First Republic Bank. The technology sector also contributed to the gains, helping to boost the Nasdaq Composite to its strongest performance since February 2, 2022.
The Dow Jones Industrial Average rose 371.98 points, or 1.17%, to 32,246.55, the S&P 500 gained 68.35 points, or 1.76%, to 3,960.28 and the Nasdaq Composite added 283.23 points, or 2.48%, to 11,717.28.
Asian Markets
Asia-Pacific markets were higher Friday after major Wall Street banks came to the rescue of embattled First Republic Bank in an attempt to bolster confidence in the banking system.
Japanese markets were higher with the Nikkei 225 up 0.88% and the Topix 0.94% higher. South Korea’s Kospi was also up 0.91%, while the Kosdaq saw a smaller gain at 0.7%.
SGX Nifty
Trends in the SGX Nifty indicate a gap-up opening for the broader index in India with a gain of 151 points. The Nifty futures were trading around 17,173 levels on the Singaporean exchange.
Oil snaps declining streak as Saudi, Russia meeting calms markets
Oil prices settled 1% higher on Thursday, ending a three-session losing streak, after reports that Saudi Arabia and Russia met to discuss ways to enhance market stability.
Brent crude futures rose $1.37, or 1%, to settle at $74.70 a barrel, while the West Texas Intermediate crude futures (WTI) gained 74 cents, or 1.1%, to settle at $68.35 a barrel.
ECB raises key interest rate by 50 bps
The European Central Bank stuck to a planned interest rate increase Thursday as it remained laser-focused on battling sky-high inflation despite market turmoil over fears of a widening banking crisis.
The bank's half percentage point increase was its sixth in a row and it said there was "more ground to cover", although it signalled a potentially dovish turn, dropping language about the need to raise rates "significantly" going forward.
Fed seen delivering quarter-point rate hike next week
With the bulk of relevant economic data now in hand ahead of their policy meeting next week, US central bankers are seen pressing on with their inflation-fighting campaign with a quarter-point interest-rate hike that just days ago looked possibly derailed by turmoil in the banking sector.
After the ECB's 50-basis point hike and signs the banking crisis is abating, traders of US rate futures firmed up bets on Thursday that the Fed will raise interest rates by 25 basis points next week, and slashed the probability of a pause to about one chance in five.
US weekly jobless claims fall
The number of Americans filing new claims for unemployment benefits fell more than expected last week, pointing to continued labor market strength, though financial market turmoil is casting a shadow over the economy.
Initial claims for state unemployment benefits dropped 20,000 to a seasonally adjusted 192,000 for the week ended March 11, the Labor Department said. Economists polled by Reuters had forecast 205,000 claims for the latest week.
FII and DII data
Foreign institutional investors (FII) sold shares worth Rs 282.06 crore, whereas domestic institutional investors (DII) bought shares worth Rs 2,051.45 crore on March 16, the National Stock Exchange's provisional data showed.
First Republic receives $30 bln in deposits from big banks
First Republic Bank has received $30 billion in deposits from several big banks including JPMorgan Chase & Co, Citigroup Inc and Morgan Stanley, the banks said in a statement on Thursday.
A deal to deposit $30 billion into First Republic Bank announced on Thursday was put together by top power brokers from the US Treasury, Federal Reserve and banks including JPMorgan Chase & Co after a steep decline in First Republic's shares, according to sources.
The banks will keep the funds at the lender for an initial term of at least 120 days, First Republic said in a statement, adding that it had cash position of about $34 billion, excluding the $30 billion package. The company also suspended its dividend, it said in a filing.
Stocks under F&O ban on NSE
The National Stock Exchange has retained Indiabulls Housing Finance, and GNFC in its F&O ban list for March 17. Securities banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.
With inputs from Reuters and other agencies
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