The Indian stock market is likely to witness a positive opening as trends on SGX Nifty indicate a positive opening for the index in India with a 46 points gain.
The BSE Sensex rose 272.21 points to 48,949.76 on May 6 while the Nifty50 jumped 106.90 points to 14,724.80.
According to pivot charts, the key support levels for the Nifty are placed at 14,642.9, followed by 14,561. If the index moves up, the key resistance levels to watch out for will be 14,775.3 and 14,825.8.
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 Dow Jones Industrial Average closed at a record high on Thursday, bolstered by an upbeat weekly jobless claims report, while vaccine makers dipped after U.S. President Joe Biden backed plans to waive patents on COVID-19 shots.
The Dow Jones Industrial Average rose 0.93% to end at 34,548.53 points, while the S&P 500 gained 0.82% to 4,201.62. The Nasdaq Composite climbed 0.37% to 13,632.84.
Asian markets were mixed on Friday with Japan’s Nikkei 225 shedding 0.29 percent while the Topix index traded near flat. Kospi rose 0.15 percent while in Australia, the benchmark ASX 200 traded fractionally higher.
Trends on SGX Nifty indicate a positive opening for the index in India with a 46 points gain. The Nifty futures were trading at 14,843 on the Singaporean Exchange around 07:30 hours IST.
IMF to revisit growth forecast for India due to surge in COVID-19 cases: Spokesman
The International Monetary Fund said on Thursday the recent jump in COVID-19 cases in India posed downside risks to the Fund's April forecast for 12.5% growth in India's economic output in fiscal years 2021 and 2022.
The IMF will revisit that forecast when it issued a fresh World Economic Outlook in July, IMF spokesman Gerry Rice told reporters at a regular briefing, but gave no further details.
US weekly jobless claims drop to fresh 13-month low
Fewer Americans filed new claims for unemployment benefits last week as the labor market recovery gains steam amid an economic boom, which is being fueled by a rapidly improving public health situation and massive government financial assistance.
Labor market strength was reinforced by other data on Thursday showing US-based employers in April announced the fewest job cuts in nearly 21 years. The reports added to other upbeat employment data in suggesting that the economy enjoyed another blockbuster month of job growth in April.
Indian pharma companies welcome patent waivers on COVID vaccines, says tech transfer needed to scale up
The Indian pharma industry welcomed the decision by the US government to support the temporary waiver of Trade-Related Aspects of Intellectual Property Rights (TRIPS) on Covid-19 vaccines. The industry said along with patent waivers, it is important to push for more licensing and tech transfer arrangements to expand production of COVID-19 vaccines.
"This is positive development, equitable distribution of vaccines around the world is very important to end the pandemic," said Sudarshan Jain, Secretary General of Indian Pharmaceutical Alliance (IPA).
China's April services activity expands at fastest pace in four months - Caixin
China’s services sector expanded at the sharpest pace in four months in April, driven by fast growing new businesses, a private survey showed on Friday, although surging costs are likely to weigh on growth over the coming months.
The Caixin/Markit services Purchasing Managers’ Index (PMI) rose to 56.3, the highest since December when the same reading was registered and up from 54.3 in March. The 50-mark separates growth from contraction on a monthly basis.
Japan's service sector shrinks at slowest pace since health crisis started - PMI
Japan’s services sector activity contracted in April as coronavirus emergency measures hit businesses, though the pace of decline eased to its slowest since around the time the health crisis started in early 2020.
The final au Jibun Bank Japan Services Purchasing Managers’ Index (PMI) rose to a seasonally adjusted 49.5 from the prior month’s 48.3, the slowest pace of activity decline in the current 15-month run of contractionary PMIs.
Bank of England slows bond-buying, raises 2021 growth forecast
The Bank of England said on Thursday it would slow the pace of its bond-buying as it sharply increased its forecast for Britain's economic growth this year after its coronavirus slump.
The BoE kept its benchmark interest rate at an all-time low of 0.1% and the size of its bond-buying programme unchanged at 895 billion pounds ($1.24 trillion), as expected by economists polled by Reuters.
Results on May 7
Housing Development Finance Corporation, UltraTech Cement, Dabur India, Automobile Corporation of Goa, Cholamandalam Investment and Finance Company, Duncan Engineering, EIH, Great Eastern Shipping, Glance Finance, Godrej Agrovet, Grindwell Norton, Indo-City Infotech, Kansai Nerolac Paints, Navin Fluorine International, Nitta Gelatin India, Pioneer Distilleries, Ponni Sugars (Erode), Reliance Home Finance, Reliance Power, R Systems International, Sacheta Metals, Steel Strips Wheels, Sutlej Textiles & Industries, Tanfac Industries, and Yash Trading & Finance will release their quarterly earnings on May 7.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 1,222.58 crore, while domestic institutional investors (DIIs) net sold shares worth Rs 632.51 crore in the Indian equity market on May 6, as per provisional data available on the NSE.
Stocks under F&O ban on NSE
Three stocks - BHEL, Sun TV Network and Tata Chemicals - are under the F&O ban for May 7. 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