The market is likely to open marginally higher on Thursday as the SGX Nifty indicates a positive start for the broader index with a gain of 59 points after opening the session at 18,284. SGX futures touched a high of 18,294 in early trade on May 18.
The BSE Sensex lost 371 points to close at 61,560 in the previous session, while the Nifty 50 closed 104 points lower at 18,181. The Nifty50 traded comfortably higher than its 200-day moving average of 17,954 and is expected to build on the recent momentum.
The pivot charts indicate that the Nifty may get support at 18,128, followed by 18,082 and 18,008. If the index advances, 18,276 would be the initial key resistance level to watch out for, followed by 18,322 and 18,396.
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.
SGX Nifty
The SGX Nifty indicates a positive start for the broader index with a gain of 58 points on Thursday. SGX futures stood at 18,281.
Trade setup for Thursday | Top 15 things to know before the opening bell
US Markets
Dow Jones Industrial Average futures slipped by 28 points, or 0.08 percent. Futures linked to the S&P 500 and Nasdaq 100 futures declined by 0.05 percent and 0.02 percent, respectively.
The major averages all ended Wednesday’s regular session higher. The Dow gained more than 400 points. The S&P 500 rose 1.19 percent, and the Nasdaq Composite advanced 1.28 percent. A rebound in regional bank shares also contributed to Wednesday’s rally. The SPDR S&P Regional Bank ETF (KRE) jumped more than 7 percent, while Western Alliance shares surged more than 10 percent.
European Markets
European markets were mixed on Wednesday, as investors kept an eye on U.S. debt ceiling negotiations. The pan-European Stoxx 600 index closed 0.15 percent lower despite morning gains in U.S. stocks, following signs of progress in the talks. Germany’s DAX posted a 0.3 percent increase, while the U.K.’s FTSE 100 was down 0.4 percent.
Asian markets
In Japan, the Nikkei 225 rose 1.7 percent and the Topix was up 1.21 percent as investors further digested Japan’s trade data for April – imports fell further than expected while exports also missed forecasts by Reuters. South Korea’s Kospi gained 0.66 percent and the Kosdaq gained 0.77 percent in Asia’s morning trade.
Stocks in Australia also rose, with the S&P/ASX 200 up 0.74 percent as investors await the economy’s unemployment figures for April. Economists polled by Reuters expect the country’s unemployment rate to hold steady at 3.5 percent. Hong Kong’s Hang Seng index look set for a rebound after a late sell off on Wednesday’s session, with futures at 19,680 compared to the HSI’s close of 19,560.57.
Jubilant Foodworks Q4 net profit falls 59% on hike in raw material costs
Leading quick service restaurant player Jubilant Foodworks on May 17 reported a significant 59.5 percent decline in its consolidated net profit at Rs 47.5 crore from Rs 116.1 crore in year-ago period.
The company's revenue from operations grew 8.2 percent on-year to Rs 1,252.3 crore, while EBITDA, which measures its operating profitability, declined 12.9 percent to Rs 252.2 crore.
ITC Q4 preview | Net profit to grow 14%, cigarette volume growth pegged at 13%
Cigarette-to-soap maker ITC is expected to report a 14 percent year-on-year jump in standalone consolidated net profit at Rs 4,764.4 crore, when it announces its March quarter results today.
As per a poll of brokerages, topline (excluding excise duty) is expected to grow 4 percent year-on-year to Rs 16,152 crore on the back of 13 percent cigarette volume growth. More than a third of ITC's overall revenue comes from cigarettes.
Oil prices
Oil prices rose 2 percent on Wednesday as optimism on oil demand and U.S. debt ceiling negotiations outweighed supply concerns. Brent crude futures rose $1.48, or 2 percent, to $76.39 a barrel. West Texas Intermediate U.S. crude was up $1.50 cents or 2.1 percent to $72.36.
Dollar
The Dollar index traded 0.24 percent higher in futures at 102.81, whereas the value of one dollar hovered near Rs 82.40.
Gold
Gold retreated on Wednesday as the dollar advanced after hawkish comments from U.S. Federal Reserve officials raised doubts over interest-rates cuts this year. Spot gold dropped 0.4 percent to $1,981.29 per ounce after touching its lowest since April 27. U.S. gold futures fell 0.4 percent to $1,984.90.
FII and DII
Foreign institutional investors (FIIs) bought shares worth Rs 149.33 crore, whereas domestic institutional investors (DIIs) sold shares worth Rs 203.87 crore on May 17, provisional data from the National Stock Exchange showed.
With inputs from Reuters and other agencies.
