The market is expected to open in the green as trends in SGX Nifty indicate a positive opening for the broader index in India with a gain of 53 points.
The BSE Sensex declined 52 points to 58,299, while the Nifty50 fell 6 points to 17,382 and formed a bearish candle on the daily charts yesterday.
As per the pivot charts, the key support level for the Nifty is placed at 17,199, followed by 17,015. If the index moves up, the key resistance levels to watch out for are 17,528 and 17,674.
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:
Wall Street stocks ended mixed, with gains for high-growth stocks offset by the drag from energy shares, as a key US jobs report loomed on Friday. The S&P 500 edged slightly lower to 4,151.94, retreating from a two-month closing high in the previous session.
The Dow dropped 0.26% to 32,726.82, from near an almost three-month high on Wednesday. The Nasdaq, though, swung to a 0.44% gain to 13,311.041 from steep early losses, extending a three-month peak.
Shares in Asia-Pacific were flat Friday as China conducts military exercises around Taiwan. The Nikkei 225 and the Topix index in Japan were fractionally higher. Australia’s S&P/ASX 200 sat just below the flatline. In South Korea, the Kospi rose 0.52% and the Kosdaq gained 0.45%. MSCI’s broadest index of Asia-Pacific shares outside Japan added 0.19%.
Trends in SGX Nifty indicate a positive opening for the broader index in India with a gain of 53 points. The Nifty futures were trading around 17,450 levels on the Singaporean exchange.
Bank of England raises key interest rate by 50 bps, highest since 1995
The Bank of England raised interest rates by the most in 27 years on Thursday, despite warning that a long recession is on its way, as it rushed to smother a rise in inflation which is now set to top 13%.
Reeling from a surge in energy prices caused by Russia's invasion of Ukraine, the BoE's Monetary Policy Committee voted 8-1 for a half percentage point rise in Bank Rate to 1.75% - its highest level since late 2008 - from 1.25%.
The 50-basis-point increase had been expected by most economists in a Reuters poll as central banks around the world scramble to contain the surge in prices.
Results on August 5 and August 6
Results on August 5: Mahindra & Mahindra, Titan Company, Engineers India, NMDC, FSN E-Commerce Ventures (Nykaa), IRB Infrastructure Developers, One 97 Communications, Petronet LNG, Aditya Birla Fashion and Retail, Alkem Laboratories, Pfizer, Raymond, Computer Age Management Services, Eris Lifesciences, Fortis Healthcare, Greenply Industries, Minda Corporation, Indigo Paints, Motherson Sumi Wiring India, R Systems International, Shipping Corporation of India, Talbros Engineering, UCO Bank, and Zensar Technologies.
Results on August 6: State Bank of India, Bharat Petroleum Corporation, Hindustan Petroleum Corporation, Marico, Advanced Enzyme Technologies, Affle (India), Amara Raja Batteries, Birla Corporation, Rossari Biotech, Skipper, Indo Rama Synthetics (India), Indian Overseas Bank, India Pesticides, Jagran Prakashan, Khadim India, Lumax Auto Technologies, Mahanagar Gas, Neogen Chemicals, Tarsons Products, Usha Martin, and West Coast Paper Mills.
SBI Q1 net profit seen 16% up but treasury could be a drag
State Bank of India (SBI) is expected to report robust balance sheet growth, improvement in asset quality and healthy core interest income for the June quarter. Treasury operations could prove to be the Achilles’ heel of the country’s largest lender in the quarter ended June, for which it will report its earnings on August 6. An average of the estimates by 10 securities firms shows that SBI’s June quarter net profit would be Rs 7,495 crore, up 16 percent year-on-year.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 1,474.77 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 46.79 crore on August 4, as per provisional data available on the NSE.
Oil prices extend losses on demand worries
Oil prices extended losses on Friday, after hitting their lowest since before Russia's February invasion of Ukraine in the previous session, as the market fretted over the impact of inflation on global economic growth and demand.
Brent crude dropped 10 cents, or 0.1%, to $94.02 a barrel by 0047 GMT, while US West Texas Intermediate crude was at $88.48 a barrel, down 6 cents.
US weekly jobless claims increase, but labour market remains tight
The number of Americans filing new claims for unemployment benefits increased last week, suggesting some softening in the labor market, though overall conditions remain tight.
That was underscored by other data on Thursday showing a sharp decline in layoffs announced by U.S.-based companies in July. The still-low level of unemployment claims and brisk pace of hiring support views that the economy is not in recession despite gross domestic product contracting in the first half.
Stocks under F&O ban on NSE
The National Stock Exchange has added Escorts on its F&O ban list for August 5 as well. 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