The Indian stock market is expected to open in the red as trends on SGX Nifty indicate a negative opening for the index in India with a 107-points loss.
The BSE Sensex dropped 410.28 points to 59,667.60, while the Nifty50 fell 106.50 points to 17,748.60 and formed a bearish candle on the daily charts as the closing was lower than opening levels.
According to pivot charts, the key support levels for the Nifty are placed at 17,578.87, followed by 17,409.13. If the index moves up, the key resistance levels to watch out for are 17,915.57 and 18,082.54.
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 sharply lower on Tuesday in a broad sell-off driven by rising US Treasury yields, deepening concerns over persistent inflation, and contentious debt ceiling negotiations in Washington.
The Dow Jones Industrial Average fell 569.38 points, or 1.63%, to 34,299.99; the S&P 500 lost 90.48 points, or 2.04%, at 4,352.63; and the Nasdaq Composite dropped 423.29 points, or 2.83%, to 14,546.68.
Asia-Pacific stocks fell in Wednesday morning trade following an overnight tumble on Wall Street, with the Nasdaq Composite plunging nearly 3% as bond yields rise.
In Japan, the Nikkei 225 slipped 2.41% while the Topix index dropped 2.5%. South Korea’s Kospi declined 1.85%.
Trends on SGX Nifty indicate a negative opening for the index in India with a 107-points loss. The Nifty futures were trading at 17,617 on the Singaporean Exchange around 07:30 hours IST.
Brent dips after topping $80 a barrel, highest since October 2018
Brent oil dipped on Tuesday after topping $80 per barrel for the first time in nearly three years, as a five-day rally ran out of steam with investors locking in profits.
Oil benchmark prices have been on a tear, with fuel demand growing and traders expecting major oil-producing nations will decide to keep supplies tight when the Organization of the Petroleum Exporting Countries (OPEC) meets next week.
Brent dipped 44 cents, or 0.6%, to $79.09 a barrel, after reaching its highest level since October 2018 at $80.75.
Dollar hits 10-1/2-month high
The US dollar climbed to its highest level in more than 10 months on Tuesday, while other major G10 currencies weakened, as a rise in US Treasury yields made the greenback more attractive to investors. The US dollar index hit its highest level since early November and was last up 0.4% at 93.750 .
The board of the markets regulator Securities and Exchange Board of India (SEBI) took a number of key decisions including detailing a framework for spot gold trading, tightening norms for related party transactions, easing rules for issuance of shares with superior voting rights in tech companies and delisting norms.
The Mumbai Bench of the National Company Law Tribunal (NCLT) on September 28 passed an order, inter-alia, allowing the Future Group permission to meet with its shareholders and creditors for the purpose of seeking approval for the sale of its assets to Reliance Retail Ltd.
The NCLT rejected the intervention application filed by Amazon on the Reliance-Future deal. “The order was pronounced in open court today and a copy thereof is awaited,” the Future Group said in a statement.
Market regulator Sebi has tightened the regulations linked to related party transactions or RPT’s in India Inc, a thorny issue for several domestic investors. The decision was taken post a board meet held on 28th September and the new regime will come into force with effect from April 1st 2022, unless specified otherwise in the fineprint.
In layman terms, a related party transaction is a transaction which takes place between two parties who hold a pre-existing connection prior to the transaction.
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 1,957.70 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 161.45 crore in the Indian equity market on September 28, as per provisional data available on the NSE.
Stocks under F&O ban on NSE
Four stocks - Vodafone Idea, SAIL, Sun TV and Zee Entertainment - are under the F&O ban for September 27. 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.
Disclaimer: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.With inputs from Reuters & other agencies