The Indian stock market is expected to open flat as trends on SGX Nifty indicate a muted start for the index with a 61-point loss.
On December 28, the BSE Sensex rallied 477 points to 57,897, while the Nifty50 jumped 147 points to 17,233 and formed a bullish candle on the daily charts.
According to pivot charts, the key support levels for the Nifty are at 17,179.53, followed by 17,125.87. If the index moves up, the key resistance levels to watch out for will be 17,268.53 and 17,303.87.
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 end mixed
The S&P 500 closed slightly lower after hitting a record intraday high on Tuesday, as a four-day rally lost steam in thin trading and investors weighed Omicron-driven travel disruptions and store closures.
The Dow Jones Industrial Average rose 95.83 points, or 0.26%, to 36,398.21; the S&P 500 lost 4.84 points, or 0.10%, to 4,786.35 and the Nasdaq Composite fell 89.54 points, or 0.56%, to 15,781.72.
Asian stocks slipped on Wednesday, following a mixed Wall Street session as investors positioned their portfolios for the new year and continued to grapple with increasing global numbers of Omicron coronavirus cases.
MSCI's broadest index of Asia-Pacific shares outside Japan lost 0.25%, after six sessions of gains, tracking a volatile US session.
Benchmark indices in Hong Kong were down 0.6%, hurt by declines in mainland tech stocks, while Chinese blue chips shed 0.25%.
Japan's Nikkei slid 0.58% on Wednesday after hitting a one-month high on Tuesday.
Trends on SGX Nifty indicate a flat opening for the index in India with a 61-point loss. The Nifty futures were trading at 17,201.50 on the Singaporean Exchange around 07:45 hours IST.
Global investment firm KKR is in advanced talks to purchase around 10 percent in Shriram General Insurance, a senior executive told Moneycontrol.
KKR could buy the stake for Rs 1,800 to Rs 2,000 crore as Shriram Capital, the holding company of the Chennai-based Shriram Group, presses ahead with a major revamp.
The stake dilution will happen before the insurance business is separated or demerged from Shriram Capital, said S Natarajan, a senior member of the Shriram Group. Ipso facto, the money would come into Shriram Capital.
Oil near highest levels since late November
US oil rose for the sixth consecutive session on Wednesday while Brent gained more ground with a broad-based rally in global markets supporting prices.
The benchmark Brent crude rose 23 cents, or 0.3 percent, at $79.17 a barrel by 0101 GMT. US West Texas Intermediate (WTI) crude added 21 cents, or 0.3 percent, at $76.19 a barrel.
Both contracts are trading near their highest levels in a month, aided by strength in equities.
Dollar inches up in thin holiday trading
The dollar firmed slightly in early Asian trade on Wednesday as the recent stock market rally showed signs of petering out, but holiday-thinned trading meant markets were showing little real direction.
The euro lost 0.14 percent overnight to $1.1307 and the pound slipped from a five-week high, pushing the dollar index higher, which measures the greenback against major peers, to 96.165 from as low as 95.958 on Friday.
The Securities and Exchange Board of India (SEBI) on December 28 cleared the rules for tightening initial public offerings (IPOs) near the end of a year in which companies raised a record Rs.1.2 lakh crore in first-time share sales.
These rules will address gaps like conditions for the objective of IPOs, utilisation of proceeds from the share sales, price bands, anchor investors’ lock-in period and the size of the stake a majority shareholder may sell on listing day.
At present, shareholders can sell their entire shareholding through an offer for sale, but the market regulator has now mandated that shareholders who hold 20 percent or more cannot exit more than 50 percent of their stake on listing day.
Scheduled commercial banks' (SCB) gross non-performing assets (NPAs) declined from 8.2 percent in March 2020 to 7.3 percent in March 2021, and further to 6.9 percent by September 2021, the RBI said in its report on Trend and Progress of Banking in India 2020-21 released on December 28.
Also, the return on assets (RoA) of SCBs improved from 0.2 percent in March 2020 to 0.7 percent in March 2021, aided by stable income and decline in expenditure, the report said.
The report has presented the performance of the banking sector, including co-operative banks, and non-banking financial institutions during 2020-21 and 2021-22 so far.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 207.31 crore, while domestic institutional investors (DIIs) net purchased shares worth Rs 567.47 crore in the Indian equity market on December 28, as per provisional data available on the NSE.
Stocks under F&O ban on NSE
Three stocks - Indiabulls Housing Finance, Vodafone Idea, and RBL Bank - are under the F&O ban for December 29. 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 & other agencies