The Indian stock market is expected to open on a cautious note after US markets closed in the positive. Trends on SGX Nifty indicate a flat opening for the index in India with a 9 point loss.
The Sensex closed 230 points, or 0.59 percent, up at 39,073.92 on August 26 and the Nifty settled 77 points, or 0.67 percent, higher at 11,549.6. According to pivot charts, the key support levels for the Nifty is placed at 11,487, followed by 11,424.4. If the index moves up, the key resistance levels to watch out for are 11,587 and 11,624.4.
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:
US stocks surged on Wednesday, pushing the S&P 500 to its fourth straight record closing high, as investors stayed focused on largecap momentum stocks that have outperformed since the onset of the coronavirus pandemic.
The Dow Jones Industrial Average rose 83.48 points, or 0.3 percent, to 28,331.92, the S&P 500 gained 35.11 points, or 1.02 percent, to 3,478.73 and the Nasdaq Composite added 198.59 points, or 1.73 percent, to 11,665.06.
Asian stocks will likely climb on Thursday after the S&P 500 and Nasdaq rallied to fresh records on upbeat corporate results, while the dollar eased a day before the US Federal Reserve possibly sets a new course on inflation.
Australian S&P/ASX 200 futures rose 0.25 percent in early trading. Japan’s Nikkei 225 futures fell 0.04 percent, while the Nikkei 225 index closed the overnight session down 0.03 percent at 23,290.86. Hong Kong’s Hang Seng index futures were up 0.12 percent.
Trends on SGX Nifty indicate a flat opening for the index in India with a 9 point loss. The Nifty futures were trading at 11,540 on the Singaporean Exchange around 07:30 hours IST.
Oil steady as huge Gulf of Mexico storm shuts down production
Oil prices were mixed in early trade on Thursday even as oil rigs and refineries shut ahead of a massive storm in the Gulf of Mexico racing towards Texas and Louisiana, with slim worries about the impact on supply as oil stockpiles remain high.
U.S. West Texas Intermediate (WTI) crude futures fell 5 cents, or 0.1 percent, to $43.34 a barrel at 0014 GMT, reversing a 4 cent gain on Wednesday. Brent crude futures inched up 2 cents to $45.66 a barrel after falling 22 cents, or 0.5 percent, on Wednesday.
China's industrial profits grow 19.6% year-on-year in July
Profits at China’s industrial firms grew 19.6 percent year-on-year to 589.5 billion yuan ($85.58 billion), the statistics bureau said on Thursday, another sign that the economy’s recovery from the coronavirus shock is firming.
It follows an 11.5 percent gain in June and the third straight month of profit growth in this year.
Maharashtra government slashes stamp duty to 2% until Dec 2020 to boost demand
To boost the stagnant real estate market hit by COVID-19, the Maharashtra government on August 26 decided to temporarily reduce stamp duty on housing units from 5 percent to 2 percent until December 31, 2020, sources said. Stamp duty from Jan 1, 2021, until March 31, 2021, will be 3 percent, they said.
The decision was taken at the state cabinet meeting on August 26. Real estate developers had been asking for a reduction in stamp duty following the lockdown to encourage homebuyers to purchase properties during the pandemic.
Telecom subscriber base falls to 116.3 crore in May; Jio, BSNL gain
Telecom consumer base in the country dipped to around 116.36 crore in May but service providers were able to narrow the loss of subscriber base to 57.6 lakh as compared to the previous month, according to data released by the sector regulator TRAI on Wednesday. The telecom subscriber base had declined 85.3 lakh in April, when the country was under complete lockdown, to 116.94 crore.
"The number of telephone subscribers in India decreased from 1,169.44 million at the end of April 2020 to 1,163.67 million at the end of May 2020, thereby showing a monthly decline rate of 0.49 percent," the Telecom Regulatory Authority of India's (TRAI) subscription report for May said.
Earnings on August 27
Edelweiss Financial Services, NMDC, ARSS Infrastructure Projects, Avanti Feeds, BFL Asset Finvest, BL Kashyap, Chennai Ferrous Industries, Gayatri Projects, GMR Infrastructure, HCC, ICRA, IDFC, PNC Infratech, etc.
FII and DII data
Foreign institutional investors (FIIs) bought shares worth Rs 1,581.31 crore, whereas domestic institutional investors (DIIs) sold shares worth Rs 1,194.62 crore in the Indian equity market on August 26, as per provisional data available on the NSE.
10 stocks under F&O ban on NSE
Ashok Leyland, Bharat Heavy Electricals, Canara Bank, GMR Infra, Indiabulls Housing Finance, Vodafone Idea, LIC Housing Finance, Punjab National Bank, Steel Authority of India and Vedanta are under the F&O ban for August 27. 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