The Indian stock market is expected to open flat as trends on SGX Nifty indicate a cautious opening for the index in India with a 7 points loss.
The BSE Sensex gained 84.45 points at 49,746.21 on April 8 while the Nifty50 rose 54.80 points to 14,873.80. According to pivot charts, the key support levels for the Nifty are placed at 14,801.87, followed by 14,729.93. If the index moves up, the key resistance levels to watch out for are 14,964.97 and 15,056.13.
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:
The S&P 500 closed at a record high on Thursday, as U.S. Treasury yields fell following softer-than-anticipated labor market data, boosting technology and other growth stocks.
The Dow Jones Industrial Average rose 57.31 points, or 0.17%, to 33,503.57, the S&P 500 gained 17.22 points, or 0.42%, to 4,097.17 and the Nasdaq Composite added 140.47 points, or 1.03%, to 13,829.31.
Asian equities are set for a choppy trading session on Friday after technology stocks lifted the S&P 500 to a new record even as investors weighed an unexpected rise in the number of Americans filing new claims for unemployment benefits.
Australian S&P/ASX 200 futures rose 0.03% in early trading, while Hong Kong’s Hang Seng index futures lost 0.17%. Japan’s Nikkei 225 futures was up 0.45%.
Trends on SGX Nifty indicate a cautious opening for the index in India with a 7 points loss. The Nifty futures were trading at 14,939 on the Singaporean Exchange around 07:30 hours IST.
RBI announces Rs 25,000 crore open market purchase on April 15 under G-sec Acquisition Programme
The Reserve Bank of India (RBI) on April 8 announced the purchase of Government securities worth Rs 25,000 crore under the Government securities purchase programme announced by governor Shaktikanta Das on April 7.
Announcing the monetary policy, the RBI governor, Shaktikanta Das, announced that the Reserve Bank will conduct open market purchase of government securities of Rs one lakh crore under the G-sec Acquisition Programme (G-SAP 1.0) in Q1 2021-22 with a view to enabling a stable and orderly evolution of the yield curve.
Srei Equipment Finance receives expression of interest for up to $250 mn capital infusion
Srei Equipment Finance Limited (SEFL) announced on April 8 that it has received expression of interest for up to $250 million capital infusion in the company from international private equity funds -- United States-based Arena Investors LP and Singapore’s Makara Capital Partners.
The company’s Strategic Coordination Committee (SCC), chaired by Independent Director Malay Mukherjee, will be coordinating, negotiating, and concluding discussions with the PE investors to bring capital into the business and advise the management. Ernst & Young will be advising the committee on the proposed fundraising exercise.
Fed policymakers see risk from infections, not inflation
The U.S. Federal Reserve plans to keep its super-easy policy in place even as data shows the economy kicking into higher gear, with policymakers predicting on Thursday that an expected increase in prices this year will fade on its own, and warning about the recent uptick in COVID-19 infections.
“Cases are moving back up here, so I would just urge that people do get vaccinated and continue socially distancing,” Fed Chair Jerome Powell, who has had his shots, said at an economic forum during virtual International Monetary Fund and World Bank meetings. “We don’t want to get another outbreak; even if it might have less economic damage and kill fewer people, it’ll slow down the recovery.”
Dollar falls as U.S. weekly jobless claims rise unexpectedly
The U.S. dollar dipped to a two-week low against a basket of currencies on Thursday, tracking Treasury yields lower, after data showed a surprise rise in U.S. weekly jobless claims. The dollar index measuring the greenback against a basket of six currencies was 0.35% lower at 92.091, its lowest since March 23.
Oil flat as weaker dollar offsets surge in U.S. gasoline stocks
Oil prices were little changed on Thursday as a falling dollar and rising stock markets offset earlier declines caused by a big increase in U.S. gasoline stockpiles and subdued demand compared with pre-pandemic levels.
Brent futures remained unchanged at $63.16 a barrel by 2:00 p.m. EDT (1800 GMT), while U.S. West Texas Intermediate (WTI) crude fell 27 cents, or 0.5%, to $59.50.
Global economy recovering from pandemic, higher rates would hurt -IMF steering committee
International Monetary Fund’s steering committee on Thursday said the global economy is recovering faster than expected from the COVID-19 crisis, but warned that a spike in interest rates could be especially painful for emerging economies.
“Elevated financial vulnerabilities could pose risks, should global financial conditions tighten swiftly,” the 24-member committee said. “The crisis may cause extended scarring and exacerbate poverty and inequalities, while climate change and other shared challenges are becoming more pressing.”
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 110.85 crore, while domestic institutional investors (DIIs) net acquired shares worth Rs 552.78 crore in the Indian equity market on April 8, as per provisional data available on the NSE.
1 stock under F&O ban on NSE
SAIL is under the F&O ban for April 9. 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