The Indian stock market is expected to open in the green despite US markets closing in the red, and Asian stocks under pressure. Trends on SGX Nifty indicate a positive opening for the index in India with a 25 points gain.
On July 28, Sensex closed with a strong gain of 558 points, or 1.47 percent, at 38,492.95 and Nifty settled at 11,300.55, up 169 points, or 1.52 percent.
According to pivot charts, the key support level for Nifty is placed at 11,195.33, followed by 11,090.17. If the index moves up, the key resistance levels to watch out for are 11,361.73 and 11,422.97.
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 which could impact Indian as well as international markets:
Wall Street closed lower on Tuesday as investors fretted about weakening consumer confidence, disappointing financial results and as investors worried about wrangling in the US Congress over a coronavirus aid plan.
The Dow Jones Industrial Average fell 205.49 points, or 0.77%, to 26,379.28, the S&P 500 lost 20.97 points, or 0.65%, to 3,218.44 and the Nasdaq Composite dropped 134.18 points, or 1.27%, to 10,402.09.
Asian equities pulled backed on Wednesday as an impasse in US economic stimulus negotiations pushed global stocks lower and sent investors into safe-haven assets like gold, which hovered near record highs.
Hong Kong's Hang Seng index futures were down 0.14%. Australian S&P/ASX 200 was flat while Japan's Nikkei 225 futures dipped 0.5%.
Trends on SGX Nifty indicate a positive opening for the index in India with a 25 points gain. The Nifty futures were trading at 11,310 on the Singaporean Exchange around 07:30 hours IST.
Oil falls as US stimulus package faces tough talks
Oil prices fell on Tuesday as U.S. lawmakers prepared to wrangle over an economic stimulus package and investors worried about a rise in coronavirus cases worldwide.
Brent crude futures fell 19 cents, or 0.4%, to settle at $43.22 a barrel, while U.S. West Texas Intermediate (WTI) crude futures fell 56 cents, or 1.4%, to settle at $41.04 a barrel.
Edelweiss, Deloitte selected as pre-IPO advisors for largest-ever LIC IPO
The government has picked Edelweiss Financial Services Ltd and Deloitte as the two pre-initial public offer (IPO) transaction advisors for the listing of the country’s biggest insurer – Life Insurance Corporation of India (LIC), whose public offer is expected to be the largest ever in the history of the domestic capital markets, two individuals told Moneycontrol on condition of anonymity.
The scope of the mandate includes advising the Centre on the modalities of the IPO and the timing, arriving at an optimal capital structure, preparing restated consolidated financial statements for the past three years for LIC and its subsidiaries, structuring the transaction amongst other aspects. Edelweiss Financial Services and Deloitte were unavailable for immediate comment.
Indian refiners cuts runs as fuel demand dips, margins fade
Indian refiners are cutting crude processing and shutting units for maintenance as local fuel demand falls and global refining margins are weak, officials at the companies said. Fuel demand had been rising since May from historic lows in April, when a nation-wide lockdown to stem the spread of the novel coronavirus was enforced.
In July, however, local demand growth has slowed because of high fuel prices, renewed lockdown in parts of the country and as monsoon rains hit transport, industrial and construction activity.
Fertiliser companies to post healthy profitability in FY21: ICRA
Fertiliser companies are expected to register healthy profitability in the current financial year due to the robust fertiliser off-take by the farmers in the first quarter coupled with strong growth visible across segments, according to a report.
The urea fertiliser sales volume witnessed an annual growth of 69 percent, Di-Ammonium Phosphate (115 percent), Complexes (120 percent), Muriate of Potash (70 percent) and Single Super Phosphate (43 percent), ICRA Ratings said in a report. ICRA in its report stated that in the initial phase of the lockdown, dispatches were affected due to the shortage of labour and shutdown of a few fertiliser plants located in the integrated chemical complexes.
Mindspace Business Parks REIT IPO fully subscribed on second day
The Rs 4,500-crore public offer of Mindspace Business Parks REIT has been fully subscribed on July 28, the second day of its bidding, driven by the demand from non-institutional investors. The issue has seen a 1.20 times subscription as it received bids for 8,13,75,200 units against IPO size of 6,77,46,400 units (excluding anchor and strategic investors' portion), the data available on the exchange showed.
Mindspace REIT, backed by K Raheja Corp and Blackstone Group, has already received a commitment of Rs 2,643.74 crore from strategic and anchor investors. Hence, the net issue is now reduced to Rs 1,856.26 crore.
PM Modi likely to meet heads of PSBs, NBFCs this week to take stock of credit availability
Prime Minister Modi is expected to hold a meeting with stakeholders from the financial sector in the next few days, a senior government official told Moneycontrol. "It (the meeting) will happen soon. Expectedly this week itself, in the next few days," the official said.
The meeting is expected to be attended by heads of public sector banks and non-banking financial companies (NBFCs). "Yes, the prime minister is expected to chair the meeting. Officials from finance ministry would also attend it. It will be a kind of stock taking of credit flow and how much of the liquidity benefits have been passed on," the official said.
Results on July 29
Bharti Airtel, Maruti Suzuki India, Dr Reddy's Laboratories, TVS Motor Company, InterGlobe Aviation, Ansal Housing, Bombay Burmah Trading Corp, Carborundum Universal, CEAT, Chambal Fertilisers, Colgate-Palmolive, Genus Power Infrastructures, GSK Pharmaceuticals, GMM Pfaudler, Heritage Foods, Indian Energy Exchange, Indowind Energy, JK Paper, JMT Auto, Mahindra Lifespace Developers, Manappuram Finance, Mastek, Navin Fluorine International, Omaxe, Rail Vikas Nigam, Sagar Cements, Sasken Technologies, Security and Intelligence Services (India), Snowman Logistics, etc.
FII and DII data
Foreign institutional investors (FIIs) bought shares worth Rs 245.95 crore while domestic institutional investors (DIIs) sold shares worth Rs 1,017.4 crore in the Indian equity market on July 28, provisional data available on the NSE showed.With inputs from Reuters & other agencies