The market is expected to open in the green as trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 68 points today.
The BSE Sensex was down 10 points to 60,105, while the Nifty50 fell 18 points to 17,896 and formed a small-bodied bearish candle which resembles a high wave kind of pattern on the daily charts.
As per the pivot charts, the key support level for the Nifty is seen at 17,841, followed by 17,805, and 17,747. If the index moves up, the key resistance levels to watch out for are 17,957, followed by 17,993, and 18,051.
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
US stocks ended up sharply on Wednesday, with the S&P 500 and Nasdaq gaining more than 1 percent each as investors were optimistic ahead of an inflation report that could give the Federal Reserve room to dial back on its aggressive interest rate hikes.
The Dow Jones Industrial Average rose 268.91 points, or 0.8 percent, to 33,973.01, the S&P 500 gained 50.36 points, or 1.28 percent, to 3,969.61 and the Nasdaq Composite added 189.04 points, or 1.76 percent, to 10,931.67.
Asian Markets
Asia-Pacific shares notched gains as investors look ahead to the US consumer price index report Thursday. Economists expect inflation to have cooled in December, which could signal to the Federal Reserve that previous interest rates hikes have had their intended effects.
Australia’s S&P/ASX 200 traded up 0.59 percent in its first hour of trade. The Nikkei 225 rose 0.22 percent, while the Topix climbed 0.21 percent. Similarly, the Kospi advanced 0.58 percent and the Kosdaq added 0.53 percent.
SGX Nifty
Trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 68 points. The Nifty futures were trading around 18,018 levels on the Singaporean exchange.
Oil gains 3% on global economic optimism
Oil prices climbed 3 percent to a one-week high on Wednesday as hopes for an improved global economic outlook and concern over the impact of sanctions on Russian crude output outweighed a massive surprise build in US crude stocks.
Brent futures rose $2.57, or 3.2 percent, to settle at $82.67 a barrel. US West Texas Intermediate (WTI) crude rose $2.29, or 3.1 percent, to settle at $77.41.
HSBC expects Fed's final rate hike on February 1, cuts next year
The Federal Reserve will likely hike its target interest rate for the last time at its Jan. 31-February 1 monetary policy meeting, raising it by 50 basis points (bps) to a range of 4.75-5.00 percent, HSBC said in a research note on Wednesday.
The bank also expects about 50 basis points in rate cuts from the US central bank next year.
HCL Tech Q3 revenue growth set to outperform peers; profit may jump 10%
HCL Technologies is all set to report its October-December earnings numbers on January 12 and analysts are forecasting a 3 percent sequential growth in constant currency (CC) terms, which is likely to be greater than its peers.
According to a poll of brokerages, consolidated revenue might come in at Rs 26,026 crore, registering 16.6 percent on-year (YoY) growth, while consolidated profit after tax (PAT) is expected to increase 10.6 percent YoY to Rs 3,796 crore.
Sah Polymers makes a debut today
Sah Polymers, a bulk packaging solutions provider, is expected to debut on the stock exchanges on January 12 with about 10 percent gains over the IPO sale price, supported by healthy subscription and better financial performance, analysts said. However, they are concerned about rich valuations and a competitive environment.
Sah Polymers shares traded at a 10-15 percent premium over the issue price in the grey market, an unofficial platform for IPO shares, analysts said. The grey market gives investors an indication of the expected listing price of IPO shares.
The Rs 66-crore public issue was subscribed 17.46 times, backed largely by retail investors and high net-worth individuals. The company set the issue price at Rs 65 per share, the upper end of the band of Rs 61-65 per share offered.
Results on January 12
Infosys, HCL Technologies, Anand Rathi Wealth, Cyient, Den Networks, G G Engineering, GM Breweries, GTPL Hathway, and Plastiblends India will be in focus ahead of quarterly earnings on January 12.
FII and DII data
Foreign institutional investors (FII) have net-sold shares worth Rs 3,208.15 crore, continuing selling for the 14th session in a row, but domestic institutional investors (DII) have managed to offset the FII outflow to a major extent by net-buying shares worth Rs 2,430.62 crore on January 11, as per provisional data available on the NSE.
Stocks under F&O ban on NSE
Indiabulls Housing Finance and GNFC will remain under the NSE F&O ban list for January 12. Securities thus 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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