The Sensex closed with a loss of 155 points, or 0.40 percent, at 38,667.33, with 13 stocks in the green and 17 in the red on September 30. The Nifty pack closed 38 points, or 0.33 percent, lower at 11,474.45, with 22 stocks up and 28 down.
The broader markets suffered more than the frontline indices. BSE Midcap and Smallcap indices declined 1.13 percent and 1.21 percent, respectively, underperforming BSE Sensex.
Market experts are of the view that key indices may not see any sharp upmove until the result season begins. Moreover, all eyes are now on the RBI's monetary policy meet on October 4 which will give a direction to the market in the near-term.
Nifty ended above its 5-EMA placed around 11,450 levels and formed a hammer pattern on daily charts as the decline was being bought into the market but at the same time supply is intact at higher zones.
According to the pivot charts, key support level for Nifty is placed at 11,407.47, followed by 11,340.43. If the index starts moving up, key resistance levels to watch out for are 11,524.87 and 11,575.23.
Nifty Bank closed with a loss of 2.59 percent at 29,103.15. The important pivot level, which will act as crucial support for the index, is placed at 28,779.6, followed by 28,456. On the upside, key resistance levels are placed at 29,590.6 and 30,078.
Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines from across news:
US Markets
US stocks climbed on Monday, helped by gains in Apple, Microsoft and Merck & Co, as investors set aside worries about the US-China trade war. The Dow Jones Industrial Average rose 0.36% to end at 26,916.83 points, while the S&P 500 gained 0.50% to 2,976.73.
The Nasdaq Composite added 0.75% to 7,999.34. For the month, the S&P 500 rose 1.7%, the Dow added 2.1% and the Nasdaq gained 0.5%.
Asian Markets
Global share prices ticked up on Tuesday as some investors clung to hopes that China and the United States could work towards reaching a deal on trade and other issues in the fourth quarter.
Japan's Nikkei rose 0.6% while MSCI's broadest index of Asia-Pacific shares outside Japan inched up 0.11%. Chinese markets will be shut for a week from Tuesday to mark 70 years since the founding of the People’s Republic of China.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the broader index in India, with a 23.5 points gain or 0.2 percent. Nifty futures were trading around 11,561-level on the Singaporean Exchange.
Oil falls, Brent posts biggest quarterly drop this year on demand fears
Oil prices fell on Monday on fading concerns of supply shortfalls and conflicts in the Middle East after the September 14 attack on Saudi Arabia, but global benchmark Brent posted its biggest quarterly loss this year on demand fears due to the escalating US-China trade war.
Brent crude futures settled at $60.78, down $1.13, or 1.8%. US West Texas Intermediate (WTI) crude futures, the US benchmark, fell $1.84, or 3.3%, to $54.07.
Rupee retreats 31 paise to 70.87 against USD
The Indian rupee declined 31 paise to close at 70.87 against the US dollar on Monday amid rising demand for the greenback vis-a-vis other currencies overseas, even as crude oil prices eased. Forex traders said globally risk appetite has plunged as US-China trade concerns continue to linger. Besides, selling in domestic equities and unabated foreign fund outflows also weighed on the local unit.
At the interbank foreign exchange market, the rupee opened on a strong note at 70.37, then lost ground and fell to an intra-day low of 70.88 against the American currency. However, it finally closed at 70.87 per US dollar, down 31 paise over its previous close.
Core sector output declines by 0.5% in August
The eight core industries in August recorded a 0.5 percent decline in output of coal, crude oil, natural gas, cement, and electricity, according to a government data released on September 30. The eight core sector industries - coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity - had expanded by 4.7 percent in August last year.
Coal, crude oil, natural gas, cement, and electricity recorded a negative growth of 8.6 percent, 5.4 percent , 3.9 percent, 4.9 percent and 2.9 percent, respectively, in August, according to the data of the Commerce and Industry Ministry.
RBI likely to reduce repo rates by 25 bps on October 4: Goldman Sachs
The RBI is expected to go for a further rate cut in the ensuing monetary policy review meet amid weak economic activity and benign inflation, Goldman Sachs said in a report on September 30. According to the global financial services major, the RBI is likely to cut policy rate by 25 bps in October, and another 25 bps in December.
"Based on the weakness in activity, still benign inflation, and soft global growth with central banks around the world in an easing mode, we believe the RBI MPC will almost certainly cut the policy repo rate on October 4th," Goldman Sachs said in a report.
Fiscal deficit reaches over 78% at Rs 5.54 lakh cr till August end
The country's fiscal deficit touched Rs 5.54 lakh crore at the end of August, which was 78.7 per cent of the Budget Estimate for 2019-20, official data showed on Monday. In absolute terms, the fiscal deficit or the gap between expenditure and revenue was Rs 5,53,840 crore as on August 31, according to the data released by the Controller General of Accounts (CGA).
The deficit was at 86.5 per cent of the 2018-19 Budget Estimate (BE) in corresponding month a year ago. The government has pegged the fiscal deficit for the current financial year at Rs 7.03 lakh crore, while aiming to restrict the deficit at 3.3 per cent of the gross domestic product (GDP). However, the government has let go of its revenues to the tune of Rs 1.45 lakh crore by announcing cuts in corporate tax, aimed at boosting the faltering economy.
Montecarlo files fresh IPO papers with Sebi
Construction company Montecarlo Ltd has filed fresh IPO papers with capital markets regulator Sebi to raise an estimated Rs 550 crore. The initial public offer (IPO) comprises fresh issuance of shares worth Rs 450 crore, besides an offer for sale of up to 30 lakh equity stocks by existing shareholder Kanubhai M Patel Trust, as per the draft papers. The company may consider a pre-IPO placement for an aggregate amount not exceeding Rs 100 crore.
"If the Pre-IPO Placement is undertaken, the amount raised from the Pre-IPO placement will be reduced from the fresh issue," the draft prospectus noted. According to merchant banking sources, the IPO is expected to fetch Rs 550 crore.
India's real GDP growth likely to be 5.2% this fiscal: EIU
India's real GDP growth for the current financial year is likely to be 5.2 percent as muted business confidence, subdued demand conditions and concerns in the financial sector are hurting investments, according to the Economist Intelligence Unit. According to the the Economist Intelligence Unit, annual real GDP growth dropped to a six-year low of 5 percent in the second quarter and data from the third quarter show "little sign of improvement".
"Consumer and business confidence are low, car sales plunged by 30 percent year-on-year in July. Credit growth remains hobbled by problems in the financial sector, which is hurting investment," EIU said in a report.
With inputs from Reuters & other agencies
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