Moneycontrol PRO
Upcoming Webinar:Watch a panel of experts discuss: Challenges of continuously evolving regulation for Cryptocurrency, on 7th July at 3pm. Register Now

Top 10 things you must know before the market opens today

Trends on SGX Nifty indicate a negative opening for the broader index in India with a loss of 76 points.

January 20, 2022 / 07:51 AM IST
Stock market news

Stock market news

The Indian stock market is expected to open in the red as trends on the SGX Nifty indicate a negative opening for the broader index in India with a loss of 76 points.

The BSE Sensex plunged 656 points or 1.08 percent to close at 60,098.82, while the Nifty50 declined 175 points or 0.96 percent, to 17,938.40 and formed bearish candle on the daily charts.

According to pivot charts, the key support levels for the Nifty are placed at 17,839.13, followed by 17,739.87. If the index moves up, the key resistance levels to watch out for are 18,083.43 and 18,228.46.

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

Close

Wall Street's main indices ended sharply lower on Wednesday, with the tech-heavy Nasdaq confirming it was in a correction, after a diverse set of corporate earnings and as investors continued to worry about higher US Treasury yields and the Federal Reserve tightening monetary policy.

The Nasdaq ended down 10.7 percent from its November 19 closing record high, as stocks sold off into the market close. A correction is confirmed when an index closes 10 percent or more below its record closing level.

The Dow Jones Industrial Average fell 339.82 points, or 0.96 percent, to 35,028.65, the S&P 500 lost 44.35 points, or 0.97 percent, to 4,532.76 and the Nasdaq Composite dropped 166.64 points, or 1.15 percent, to 14,340.26.

Asian Markets

Markets in Asia-Pacific were mixed on Thursday as China cut its key lending rates. Wall Street fell with the Nasdaq closing in the correction territory and the US yields retreating from their recent gains. Japan’s Nikkei 225 pared earlier gains, edging up 0.1 percent, while the Topix was up 0.3 percent.

SGX Nifty

Trends on the SGX Nifty indicate a negative opening for the broader index in India with a loss of 76 points. The Nifty futures were trading around 17,901 levels on the Singaporean exchange.

Fed to raise rates three times this year to tame unruly inflation: Reuters poll

The US Federal Reserve will tighten monetary policy at a much faster pace than thought a month ago to tame persistently high inflation, now viewed by economists polled by Reuters as the biggest threat to the US economy over the coming year.

Encouraged by apparent lower severity of the Omicron variant, governments and central banks around the world are attempting to push their economies back into some version of normality. Fed Chair Jerome Powell said recently he sees an economy that "functions right through these waves of COVID-19".

Cabinet sanctions Rs 973 crore to SBI for ex-gratia payment to borrowers

The government on Wednesday approved sanction of Rs 973.74 crore to State Bank of India (SBI) as reimbursement related to loan moratorium that was implemented in 2020 amid the pandemic.

Briefing media on the Cabinet decision, Information and Broadcasting Minister Anurag Singh Thakur said the Budget had made provision of Rs 5,500 crore for the scheme of ex-gratia payment of difference between compound interest and simple interest for six months to borrowers in specified loan accounts. Of this, Rs 4,626 crore payment was made in 2020-21, he said, adding, an additional claim of Rs 1,846 crore is pending.

UK consumer prices rise at fastest pace in almost 30 years

Consumer prices in the UK have risen at the fastest pace in almost 30 years as higher costs for energy, transportation, food and furniture squeezed household incomes.

Inflation measured by the consumer price index accelerated to 5.4 percent in the 12 months through December, the Office for National Statistics said on Wednesday. That is the highest rate since March 1992, when inflation stood at 7.1 percent, and above the 5.1 percent seen a month earlier.

Results today

Hindustan Unilever, Biocon, Asian Paints, Bajaj Finserv, Havells India, Persistent Systems, PNB Housing Finance, Agro Tech Foods, Bajaj Holdings & Investment, Century Textiles & Industries, Container Corporation Of India, Cyient, Datamatics Global Services, Hatsun Agro Product, Lyka Labs, Bank Of Maharashtra, Mphasis, Reliance Industrial Infrastructure, Sasken Technologies, Shoppers Stop, South Indian Bank, Vimta Labs and VST Industries are going to announce their quarterly numbers on January 20.

FII and DII data

Foreign institutional investors (FIIs) net sold shares worth Rs 2,704.77 crore, while domestic institutional investors (DIIs) net offloaded shares worth Rs 195.07 crore in the Indian equity market on January 19, as per provisional data available on the NSE.

ICRA cuts aviation recovery estimates amid third COVID-19 wave

Rating agency ICRA on January 19 cut its estimates for recovery in the domestic aviation market to 52 percent of pre-pandemic levels from 62 percent earlier due to the outbreak of the third wave of COVID-19 in the country. The outbreak of a new wave of COVID-19 due to the emergence of the Omicron variant of COVID-19 will result in a 40-42 percent fall in domestic passenger traffic in January, ICRA said in its report.

"Overall, passenger traffic is expected to be lower by 40-45 per cent in Q4 FY2022 and the traffic recovery for FY2022 is moderated to 52 per cent of pre-Covid level as against our earlier estimates of 62 per cent of pre-Covid level," Rajeshwar Burla, Group Head of Corporate Ratings at ICRA said in a press release.

Stocks under F&O ban on NSE

Six stocks – BHEL, Escorts, Granules India, Indiabulls Housing Finance, Vodafone Idea, and SAIL – are under the F&O ban for January 20. 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
Sandip Das
first published: Jan 20, 2022 07:51 am
Sections
ISO 27001 - BSI Assurance Mark