The market is poised to open flat as trends in the SGX Nifty indicate a cautious opening for the broader index in India with a loss of 19 points.
The BSE Sensex jumped 433 points to 53,161, while the Nifty50 rose 133 points to 15,832 and formed a bearish candle which resembles a Bearish Belt Hold kind of pattern on the daily charts.
As per the pivot charts, the key support level for the Nifty is placed at 15,789, followed by 15,746. If the index moves up, the key resistance levels to watch out for are 15,901 and 15,970.
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 stocks closed lower on Monday, with a few catalysts to sway investor sentiment as they approach the half-way point of a year in which the equity markets have been slammed by heightened inflation worries and tightening Fed policy. The major US stock indices lost ground after oscillating earlier in the session, with weakness in interest rate sensitive mega-caps such as Amazon.com, Microsoft Corp and Alphabet Inc providing the heaviest drag.
The Dow Jones Industrial Average fell 62.42 points, or 0.2 percent, to 31,438.26, the S&P 500 lost 11.63 points, or 0.3 percent, to 3,900.11 and the Nasdaq Composite dropped 93.05 points, or 0.8 percent, to 11,514.57.
Shares in the Asia-Pacific region were slightly higher on Tuesday as investors weigh economic concerns. Japan’s Nikkei 225 was up 0.11 percent, while the Topix rose 0.26 percent. In South Korea, the Kospi climbed 0.51 percent and the Kosdaq inched up 0.29 percent. Australia’s S&P/ASX 200 was 0.22 percent higher.
Trends in SGX Nifty indicate a flat opening for the broader index in India with a loss of 19 points. The Nifty futures were trading around 15,815 levels on the Singaporean exchange.
Oil climbs as major producer UAE says it has no spare capacity
Oil prices rose about 1 percent in early Asian trade on Tuesday after the United Arab Emirates’ energy minister said the nation is producing near capacity, countering expectations that it could help boost supply in a tight market.
US West Texas Intermediate (WTI) crude futures climbed $1.07, or 1 percent, to $110.64 a barrel at 0028 GMT, extending a 1.8 percent gain in the previous session. Brent crude futures jumped $1.08, or 0.9 percent, to $116.17 a barrel, adding to a 1.7 percent rise in the previous session.
India is witnessing early signs of sustainable economic revival: Deepak Parekh
The country’s economy is seeing early signs of sustainable revival amid a volatile global environment, veteran banker Deepak Parekh said on June 27. Addressing the shareholders of HDFC Life at the 22nd Annual General Meeting, he said that there is a pick-up in domestic economic activity due to an increase in private consumption.
"We remain optimistic about the resilience of India’s economy despite the high volatility in the global environment. We are now witnessing early signs of a sustainable economic revival," Parekh, who is the Chairman of the private life insurer, said. "High growth in non-oil and non-gold imports reflects the pick-up in domestic demand and the domestic economic activity is fuelled by private consumption and rising discretionary spending."
China's May industrial profits slump again despite easing COVID curbs
Profits at China's industrial firms shrank at a slower pace in May following a sharp fall in April, as activity in major manufacturing hubs resumed, but COVID-19 restrictions still weighed on factory production and squeezed factory margins. Profits fell 6.5 percent from a year earlier, less than the 8.5 percent decline in April, according to data released by the National Bureau of Statistics (NBS) on Monday.
NCLT reserves order on initiating insolvency proceedings against Future Retail
A company court on June 27 reserved its orders on admitting debt-laden Future Retail into the bankruptcy process. In legal parlance, when a court reserves its orders it means that the judge has heard oral arguments from the two parties and, rather than reaching for an immediate decision, a decision would be given at a later date. Generally, the date is not specified.
At the hearing in the Mumbai bench of the National Company Law Tribunal (NCLT), the counsel for Amazon, Zal Andhyarujina, reiterated that Bank of India’s petition to initiate insolvency proceedings against Future Retail was "malicious." He alleged that lenders to Future Retail, including Bank of India, were colluding with Future Retail by initiating sale of the distressed company’s assets to Reliance Retail.
FII and DII data
Foreign institutional investors (FIIs) have net sold Rs 1,278.42 crore worth of shares, whereas domestic institutional investors (DIIs) remained net buyers, to the tune of Rs 1,184.47 crore worth of shares on June 27, as per provisional data available on the NSE.
Gig economy may create 2.35 crore jobs by FY30, says NITI Aayog
India’s gig economy could employ 2.35 crore people by FY30, representing a three-and-a-half-times increase over 10 years, a report by the government think-tank NITI Aayog estimates. The gig economy employed around 68 lakh people in FY20, India's Booming Gig and Platform Economy: Perspectives and Recommendations on the Future of Work report said.
The total number of employed persons in India in FY20 is estimated to be 51.10 crore. The report expects the number to rise to 56.96 crore by FY30.
Stocks under F&O ban on NSE
Two stocks - Delta Corp and Sun TV Network - are under the NSE F&O ban for June 28. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.
With inputs from Reuters and other agencies