The Indian stock market is expected to open in the green as trends on SGX Nifty indicate a positive opening for the index in India with a 33 points gain.
BSE Sensex jumped 600.87 points, or 1.54 percent, to close at 39,574.57 on October 6 while the Nifty rose 159 points or, 1.38 percent, to 11,662.40, the highest closing level since February 26 this year.
According to pivot charts, the key support levels for the Nifty is placed at 11,591.03, followed by 11,519.67. If the index moves up, the key resistance levels to watch out for are 11,707.03 and 11,751.67.
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 which could impact Indian as well as international markets:
US Markets
U.S. stocks ended down more than 1% on Tuesday after President Donald Trump said he was calling off negotiations with Democratic lawmakers on coronavirus relief legislation until after the election.
The Dow Jones Industrial Average fell 375.88 points, or 1.34%, to 27,772.76, the S&P 500 lost 47.66 points, or 1.40%, to 3,360.97 and the Nasdaq Composite dropped 177.88 points, or 1.57%, to 11,154.60.
Asian Markets
Asian stocks were set to open lower on Wednesday, weighed by a weaker Wall Street finish after U.S. President Donald Trump dashed hopes for a fourth stimulus package with a tweet.
Futures for the S&P 500 fell 0.58% in early trading, while Australia's S&P/ASX 200 futures and Japan's Nikkei 225 futures lost 0.29% and 0.17%, respectively.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the index in India with a 33 points gain. The Nifty futures were trading at 11,708 on the Singaporean Exchange around 07:30 hours IST.
Dinesh Khara appointed as SBI Chairman for 3 years effective October 7
The Union government on October 6 appointed Dinesh Khara as the new Chairman of State Bank of India for a period of three years. His appointment is effective from October 7. Currently, Khara is the Managing Director in-charge of Global Banking & Subsidiaries.
The Union Ministry of Finance confirmed about the new development by issuing a formal notification stating the Managing Director of SBI Dinesh Kumar Khara has been appointed as the Chairman of the national bank.
Swift economic recovery critical to limiting Indian banks' loan losses: Fitch Ratings
Indian banks are likely to face a tough operating environment in the near term as stressed loans and write-offs are set to increase due to the economic fallout from the coronavirus pandemic, said Fitch Ratings on October 6.
However, a swift economic recovery will be critical to limiting the banks' loan losses in what is likely to be a protracted period of weakness in the asset-quality cycle, the American credit rating agency added.
Trump calls off aid talks
U.S. President Donald Trump, still being treated for COVID-19, abruptly ended talks with Democrats on an economic aid package on Tuesday, drawing criticism from presidential rival Joe Biden that he was abandoning Americans in the midst of a pandemic.
Trump’s tweet breaking off talks for a new round of stimulus spooked Wall Street, sending stocks down as much as 2% from their session highs and tarnishing one of the metrics that the Republican president has touted as a sign of his success.
India's services sector slump eased in September, but job losses balloon
The plunge in India’s services sector activity eased considerably in September after the government lifted some coronavirus restrictions, but demand continued to contract, prompting firms to cut more jobs, a private business survey showed on Tuesday.
The Nikkei/IHS Markit Services Purchasing Managers’ Index bounced to 49.8 in September from August’s 41.8, a touch below the 50 mark that separates expansion from contraction on a monthly basis.
Trump administration announces new rules
Trump administration on Tuesday announced the interim final rule that restricts H-1B visas to protect American workers.
The new rule will do three things: It will narrow the definition of specialty occupation, additional documentation required by companies to prove that they need the H-1B workers to prevent them from displacing American workers and DHS’ power to enforce compliance would be enhanced through worksite inspection and monitor compliance before, during and after H-1B petitions are approved.
Oil prices slide as Trump cancels aid talks, U.S. crude stocks expand
Oil prices slipped on Wednesday after U.S. President Donald Trump dashed hopes for a fourth stimulus package to boost the coronavirus-hit economy and on a larger-than-expected build-up in U.S. crude stocks.
U.S. West Texas Intermediate (WTI) crude oil futures fell 87 cents, or 2.1%, to $39.80 a barrel by 0104 GMT while Brent crude futures fell by 74 cents, or 1.7%, to $41.91 a barrel.
President Trump, still being treated for COVID-19, ended talks on Tuesday with Democrats on an economic aid package for his pandemic-hit country with the U.S. presidential election only weeks away.
TCS Q2
Company is expected to see sequential decline in Q2FY21 reported profit due to provision in EPIC legal case, but adjusted bottomline may grow in double digit QoQ. The ramp up of large deals is likely to boost dollar revenue growth in the range of 2.5-3 percent and constant currency revenue growth could be in the range of 4.5-5 percent for the quarter ended September 2020, compared to previous quarter (Q1) which was impacted by supply-side constraints.
India Inc fundraising jumps 64% to Rs 1.1 lakh crore in August
Companies garnered more than Rs 1 lakh crore from the capital markets in August, a surge of 64 percent from the preceding month, with private placement of debt instruments emerging as the most preferred route for financing business needs. The funds have been mopped-up mainly for business expansion plans, loan repayments and working capital requirements.
According to data available with the markets regulator Sebi, companies raised a total of Rs 1.1 lakh crore in August as compared to Rs 66,915 crore in July 2020 by way of issuing equity and debt securities. Out of the cumulative Rs 1.1 lakh crore garnered in August, Rs 58,419 crore was mopped up from private placement of debt securities and Rs 45,471 crore through private placement of equity, which include qualified institutional placement (QIP) and preferential allotment routes.
US trade deficit up to $67.1 billion in August, 14-year high
The US trade deficit rose in August to the highest level in 14 years. The Commerce Department reported Tuesday that the gap between the goods and services the United States sells and what it buys abroad climbed 5.9 percent in August to $67.1 billion, highest since August 2006. Exports rose 2.2 percent to $171.9 billion on a surge in shipments of soybeans, but imports rose more — up 3.2 percent to $239 billion — led by purchases of crude oil, cars and auto parts.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 1,101.76 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 934.84 crore in the Indian equity market on October 6, as per provisional data available on the NSE.
2 stocks under F&O ban on NSE
Vodafone Idea and Vedanta are under the F&O ban for October 7. 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
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