The Sensex closed 346 points, or 0.94 percent, lower at 36,329.01 on July 8 and the Nifty ended down 94 points, or 0.87 percent, at 10,705.75 levels.
According to pivot charts, the key support level for the Nifty is placed at 10,638.93 followed by 10,572.07. If the index moves up, the key resistance levels to watch out for are 10,810.23 and 10,914.67.
Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines across news platforms that could impact Indian as well as international markets:
US stocks rose on July 8 and the Nasdaq hit a record closing high, supported by technology shares as early signs of an economic rebound offset concern about further lockdowns due to a jump in coronavirus cases across the country.
The Dow Jones Industrial Average rose 177.1 points, or 0.68 percent, to 26,067.28, the S&P 500 gained 24.62 points, or 0.78 percent, at 3,169.94 and the Nasdaq Composite added 148.61 points, or 1.44%, at 10,492.50.
Asian stocks were expected to rise on July 9, as hopes of a robust economic recovery offset concerns over flare-ups in the coronavirus pandemic, and as investors looked ahead to earnings season.
Australian S&P/ASX 200 futures were up 0.85 percent, Japan’s Nikkei 225 futures added 0.16 percent, and Hong Kong’s Hang Seng index futures rose 0.82 percent. E-mini futures for the S&P 500 edged up 0.08 percent.
Trends on SGX Nifty indicate a positive opening for the index in India, with a 50-point gain. The Nifty futures were trading at 10,733 on the Singaporean Exchange around 0730 hours.
Oil prices idle as coronavirus cases spike
Oil prices barely moved in early trade on July 9 as positive momentum from signs of a recovery in US gasoline demand were tempered by concerns over renewed lockdowns with COVID-19 infections surging in the country.
US West Texas Intermediate (WTI) crude futures were unchanged at $40.90 a barrel at 0035 GMT, after rising 0.7 percent the previous day. Brent crude futures inched up 3 cents to $43.32, after gaining 0.5 percent the previous day.
IMF calls for global fiscal reforms
The International Monetary Fund (IMF) is concerned about rising debt in both emerging and advanced economies due to coronavirus stimulus spending, and will urge countries to tackle fiscal reform once the pandemic ends, deputy managing director Mitsuhiro Furusawa has said. For the first time in history, global public debt is seen rising to above 100 percent of combined GDP after governments responded to the health crisis, Furusawa said.
"Once the economy gets back on track, (a) medium to long-term fiscal framework must be created to manage public finances accordingly," Furusawa told an online panel discussion organised by Columbia Business School's Center on Japanese Economy and Business.
BSE derivatives segment reports Rs 6,442 crore turnover
The equity derivatives segment of BSE witnessed a turnover of Rs 6,442 crore on July 8. The country's oldest exchange had launched weekly contracts on the Sensex, with Monday expiry, from June 29, which has received an encouraging response from stakeholders, the exchange said in a statement.
"With the launch of weekly Sensex contracts with Monday expiry, coupled with benefits of interoperability framework, we look forward to gaining wider participation and adding new vibrancy to our equity derivatives platform," Sameer Patil, Chief Business Officer at BSE, said.
COVID-19 pause facility pulls down SIP inflows in June: AMFI CEO
The novel coronavirus, or COVID-19, impact along with the pause facility provided by some mutual fund houses have dragged down inflows in systematic investment plans (SIPs) to below Rs 8,000 crore. SIP inflows in June fell to Rs 7,927.11 crore from Rs 8,123.03 crore in May, a fall of 2.4 percent.
On the rationale behind the fall, NS Venkatesh, CEO, Association of Mutual Funds in India (AMFI), said, “The small dip in SIPs is largely because of the COVID impact as cash flows have got affected. Plus, the (MF) industry has also provided a SIP pause facility, so a lot of people have opted for pause facility because of which inflows have fallen marginally,” Venkatesh said.
Merger of PSU general insurers called off
More than two years after proposing a merger of public sector general insurance companies, the government on July 8 said it has "ceased" the process. The focus would now be on their profitable growth and maintaining minimum capital levels, the government has said.
As of Q3FY20, United India's solvency ratio stood at 0.94 as against the regulatory requirement of 1.5. Here, solvency means the minimum capital/assets that have to be maintained against the liabilities. The solvency ratio of Oriental Insurance stood at 1.54 at the end of Q3FY20 while that of National Insurance stood at 0.12 percent as of Q3FY20.
Results on July 9
Tata Consultancy Services, Arvind Fashions, Sadbhav Engineering, Arihant Capital Markets, Brady & Morris Engineering, CIL Nova Petrochemicals, HPL Electric & Power, SKIL Infrastructure, Tree House Education, Tirupati Tyres, WH Brady & Co.
FII and DII data
Foreign institutional investors (FIIs) and domestic institutional investors (DIIs) sold shares of worth Rs 994.87 crore and 853.41 crore, respectively, in the Indian equity market on July 8, provisional data available on the NSE showed.
5 stocks under F&O ban on NSE
BHEL, Equitas Holdings, Glenmark Pharmaceuticals, Indiabulls Housing Finance and SAIL are under the F&O ban for July 9. The 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