The Indian stock market is expected to open in the green following positive global cues. Trends on SGX Nifty indicate a positive opening for the index in India with a 26-point gain.
The Sensex closed 40 points, or 0.10 percent, up at 39,113.47 on August 27 and Nifty settled 10 points, or 0.08 percent, up at 11,559.25. According to pivot charts, the key support levels for the Nifty is placed at 11,527.43, followed by 11,495.67. If the index moves up, the key resistance levels to watch out for are 11,604.13 and 11,649.07.
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:
The S&P 500 and the Dow advanced but the Nasdaq closed lower on Thursday as investors digested the US Federal Reserve’s new strategy to adopt an average inflation target and restore the United States to full employment, as well as a promising development in the fight to contain the coronavirus pandemic.
The Dow Jones Industrial Average rose 160.35 points, or 0.57%, to 28,492.27, the S&P 500 gained 5.82 points, or 0.17%, to 3,484.55 and the Nasdaq Composite dropped 39.72 points, or 0.34%, to 11,625.34.
Asian equities are likely to have a bumpy ride on Friday after US stocks scaled new peaks for a third straight day and bond yields surged on the Federal Reserve’s average-inflation strategy, as well as a promising development in curbing the coronavirus pandemic.
Australian S&P/ASX 200 futures lost 0.15% in early trading. Japan's Nikkei 225 futures added 0.09%, while the Nikkei 225 index closed the overnight session down 0.35%. Hong Kong's Hang Seng index futures rose 0.05%.
Trends on SGX Nifty indicate a positive opening for the index in India with a 26 points gain. The Nifty futures were trading at 11,624 on the Singaporean Exchange around 07:30 hours IST.
Oil dips as US rigs, refiners appear to have avoided worst of the storm
Oil prices fell in early trade on Friday as a massive hurricane raced inland past the heart of the U.S. oil industry in Louisiana and Texas, with a storm surge weaker than predicted.
US West Texas Intermediate (WTI) crude futures fell 16 cents, or 0.4%, to $42.85 a barrel as of 0014 GMT, adding to overnight losses. Brent crude futures for October, set to expire on Friday, fell 9 cents, or 0.2%, to $45.00 a barrel.
India allows 74% FDI in defence manufacturing: PM Modi
Prime Minister Narendra Modi announced on August 27 that 74 percent foreign direct investment (FDI) will now be allowed in the defence sector through the automatic route. The move may prove a major push for ‘Aatmanirbhar Bharat’ in defence manufacturing.
Addressing the ‘Aatmanirbhar Bharat Defence Industry Outreach Webinar’ on August 27, the PM emphasised the need to make India’s defence sector self-reliant. He said: “We aim to increase defence manufacturing in India and make the nation a reliable weapon supplier to friendly nations.”
PM Modi said: “When India got independence, it has a robust defence production ecosystem. Unfortunately, defence production in India was not focussed on post-independence....But we will now work towards breaking all barriers to promote defence production in India”
FM Sitharaman said the economy is facing an extraordinary 'Act of God' situation
Finance Minister Nirmala Sitharaman during a briefing with reporters after the 41st meeting of the GST Council said the economy is facing an extraordinary 'Act of God' situation, which may result in economic contraction.
As per the Centre's calculation, the compensation requirement by the states in the current fiscal would be Rs 3 lakh crore, of which Rs 65,000 crore is expected to be met from the cess levied in the GST regime. Hence, the total shortfall is estimated at Rs 2.35 lakh crore.
New US jobless benefit claims drop to 1 million in latest week
One million people made new claims for jobless benefits in the week ended August 22, the Labor Department said on August 27, a slight improvement from the week prior.
The result was in line with expectations and a decrease of about 100,000 claims from the prior week, however the number of people filing under a special program providing benefits to workers normally ineligible increased by about 82,000 to 607,806 in the latest week.
Sebi extends timeline for implementation of procedural guidelines for proxy advisors to January 1
Markets regulator Sebi on August 27 extended the timeline for implementation of procedural guidelines for proxy advisors to January 1. The guidelines issued by the regulator on August 3, were supposed to come into force from September 1. Proxy advisors advise shareholders on corporate governance issues and assist them with voting recommendations.
The Securities and Exchange Board of India (Sebi) said the timeline was extended "after taking into consideration requests received from registered proxy advisors, and the prevailing business and market conditions due to COVID-19 pandemic"
Results on August 28
Archies, Centum Electronics, GP Petroleums, Industrial Investment Trust, Inox Wind, Khadim India, Kohinoor Foods, Magnum Ventures, SJVN, Polytex India, etc.
FII and DII data
Foreign institutional investors (FIIs) bought shares worth Rs 1,164.32 crore, whereas domestic institutional investors (DIIs) sold shares worth Rs 809.27 crore in the Indian equity market on August 27, as per provisional data available on the NSE.With inputs from Reuters & other agencies