The benchmark Sensex and Nifty indices are likely to open marginally lower on December 5 as trends in the GIFT Nifty indicate a flat to negative start for the broader index with a loss of 23 points.
On Monday, the market zoomed to new highs with equity benchmarks surging more than 2 percent on December 4, as investors celebrated the BJP’s win in three state elections, seeing it as a sign of continuing political stability.
At close, the Sensex was up 1,383.93 points, or 2.05 percent, to 68,865.12, and the Nifty was up 418.9 points, or 2.07 percent, to 20,686.80, closing at a new high for the second successive session.
The pivot point calculator indicates that the Nifty is likely to see immediate resistance at 20,289, followed by 20,314 and 20,356, while on the lower side, it can take support at 20,207, followed by 20,181 and 20,140 levels.
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.
GIFT Nifty
Trends in the GIFT Nifty indicate a flat-to-negative start for the broader index in India, with a loss of 23 points or 0.11 percent. The Nifty futures were trading around the 20,837.50 level.
Trade setup for Tuesday: Top 15 things to know before the opening bell
US Markets
US stocks ended lower on Monday, interrupting last week's rally, as investors turned cautious ahead of employment data due this week that could alter expectations that the Federal Reserve will cut interest rates early next year.
The S&P 500 receded, with megacaps Microsoft, Apple, Nvidia and Amazon dipping over 1 percent, pressured by higher US Treasury yields, which made returns on stocks less attractive.
The S&P 500 declined 0.54 percent to end the session at 4,569.78 points. The Nasdaq declined 0.84 percent to 14,185.49 points, while Dow Jones Industrial Average declined 0.11 percent to 36,204.44 points.
Asian Markets
Asian indices were trading lower in the early session on Tuesday with Nikkei down 1 percent and Kospi down 0.4 percent.
Fireside likely to sell Rs 230-crore Mamaearth shares in bulk deal today
Fireside Ventures is going to sell 61 lakh shares of recently listed Honasa Consumer (parent company of Mamaearth) in a block deal on December 5, sources told CNBC Awaaz.
This is 1.9 percent stake in the company worth more than Rs 230 cr as of last closing price.
Sources said offer floor price is in the range of Rs 368.7 to Rs 384.1, which includes a discount of up to 4 percent. Kotak Securities will be the broker of the deal.
Oil Prices
Oil prices fell on Monday on concern about a drop in demand and on continued uncertainty about the depth and duration of OPEC+ supply cuts.
Brent crude futures settled down 85 cents, or 1.08 percent, at $78.03 a barrel. US West Texas Intermediate crude futures finished down $1.03, or 1.39 percent, at $73.04.
Monday's fall adds to a 2 percent decline last week after the supply cuts announced on Thursday by the Organization of the Petroleum Exporting Countries (OPEC) and allies including Russia, together known as OPEC+.
Gold
Gold fell more than 2 percent after hitting an all-time high on Monday, but zero-yield bullion's retreat halted above $2,000 an ounce after traders trimmed bets for the first rate cut by the US Federal Reserve in early 2024.
Spot gold slipped 2.1 percent to $2,026.69 per ounce by 2:31pm ET (1931 GMT). Prices swung in a wide $115 range but were finally headed for their worst day since February.
US gold futures settled down 2.3 percent at $2,042.20.
Dollar regains ground after sell off; bitcoin breaches $42,000
The dollar ticked higher on Monday, regaining some ground after falling for three straight weeks on bets that the US Federal Reserve will soon be cutting interest rates, while bitcoin breached $42,000 for the first time since early 2022.
The dollar index, which tracks the currency against six major peers, rose by 0.54 percent to 103.67, while the euro was last down 0.49 percent to $1.0828
The dollar was last down 0.33 percent against the yen at 147.300, after falling to 146.24 yen per dollar in the Asian session, its lowest since mid-September.
South Korea inflation eases
South Korea's inflation eased for the first time in four months in November, bringing relief to policymakers worried about persistent inflation risks as they plan to keep their restrictive monetary policy in place for longer.
The Consumer Price Index stood 3.3 percent higher than the same month the year before, after a rise of 3.8 percent in October, official data showed on Tuesday, slower than a median 3.7 percent rise tipped in a Reuters Survey.
The index fell 0.6 percent on a monthly basis, marking its first fall since November 2022 and the sharpest drop since October 2020.
A core measure that excludes volatile components including fuel and food eased to 3.0 percent in November, the slowest rise since March 2022.
FII and DII data
Foreign institutional investors bought shares worth Rs 2,073.21 crore, while domestic institutional investors purchased Rs 4,797.15 crore worth of stocks on December 4, provisional data from the National Stock Exchange showed.
Stock under F&O ban on NSE
The NSE has added Indiabulls Housing Finance, India Cements, and Zee Entertainment Enterprises to its F&O ban list for December 5, while retaining Delta Corp to the said list.
Securities banned under the F&O segment include companies where derivative contracts cross 95 percent of the market-wide position limit.
With inputs from Reuters and other agencies
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