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 62 points gain.
The BSE Sensex plunged 694.92 points or 1.56 percent to 43,828.10 on November 25 while the Nifty50 declined 196.80 points or 1.51 percent to 12,858.40. According to pivot charts, the key support levels for the Nifty is placed at 12,746.13, followed by 12,633.87. If the index moves up, the key resistance levels to watch out for are 13,058.23 and 13,258.07.
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 index closed lower on Wednesday as mounting U.S. layoffs in the wake of new mandated lockdowns to contain surging COVID-19 infections dampened investor risk appetite.
The Dow Jones Industrial Average fell 173.77 points, or 0.58%, to 29,872.47; the S&P 500 lost 5.76 points, or 0.16%, to 3,629.65; and the Nasdaq Composite added 57.08 points, or 0.47%, at 12,094.40.
Asian shares dipped slightly on Thursday as the hot run up in global markets took a breather, with investors switching their focus from vaccine hopes to disappointing U.S. jobs data and new COVID-19 lockdowns.
Australia’s S&P/ASX 200 dipped 0.12%, while Japan’s Nikkei 225 index slipped 0.16%. Hong Kong’s Hang Seng index futures were up 0.16%. E-mini futures for the S&P 500 fell 0.10%.
Trends on SGX Nifty indicate a positive opening for the index in India with a 62 points gain. The Nifty futures were trading at 12,925 on the Singaporean Exchange around 07:30 hours IST.
Oil extends gains on surprise U.S. inventory draw
U.S. oil rose for a fifth day on Thursday as a surprise drop in crude inventories extended a rally driven by hopes that vaccines would end the coronavirus pandemic and revive fuel demand.
Brent was up by 20 cents, or 0.4%, at $48.81 a barrel, after rising around 1.6% in the previous session. West Texas Intermediate crude was up by 14 cents, or 0.3%, at $45.85, having gained 1.8% on Wednesday.
Sebi withdraws proposal to increase margin requirement for non-F&O stocks in cash market
The Securities and Exchange Board of India has withdrawn a proposal to increase the margin requirement for non-futures and options (F&O) stocks in the cash market. "This shall stand withdrawn w.e.f. close of business on November 26, 2020," SEBI said, in its circular on November 25.
The regulator has also decided to withdraw the measures with respect to stocks in the derivatives segment (F&O stocks) from November 27.
US weekly jobless claims increase again
The number of Americans filing first-time claims for jobless benefits increased further last week, suggesting that an explosion in new COVID-19 infections and business restrictions were boosting layoffs and undermining the labor market recovery.
Initial claims for state unemployment benefits totaled a seasonally adjusted 778,000 for the week ended Nov. 21, compared to 748,000 in the prior week, the Labor Department said on Wednesday. Economists polled by Reuters had forecast 730,000 applications in the latest week.
NSE IFSC gets CFTC exemption for derivatives trade
NSE IFSC has received exemption from the Commodity Futures Trading Commission (CFTC) that will allow members of the bourse to trade in derivatives for US clients, the exchange said on Wednesday. NSE IFSC, a wholly-owned subsidiary of National Stock Exchange (NSE), becomes the first international exchange in Gift City to get this exemption.
The CFTC exemption enables NSE IFSC members to trade in derivatives for the US clients, NSE said in a statement. "The order issued to NSE IFSC permits its members to accept US customer funds directly for the purpose of trading in futures and options contracts on NSE IFSC without the members having to register with the CFTC as a futures commission merchant," the exchange said.
US Consumer spending up a slight 0.5% as virus maintains grip
US consumers increased their spending by a sluggish 0.5 percent last month, the weakest rise since April, when the pandemic first erupted, and a sign that Americans remain wary with the virus resurging across the country and threatening the economy.
The October gain reported Wednesday by the Commerce Department followed a seasonally adjusted 1.2 percent increase in September. It suggested that consumer spending, the primary driver of the U.S. economy, is being restrained by a weakened economy and by the failure of Congress to provide another stimulus package to struggling individuals and businesses. The government's report also showed that income, which provides fuel for spending, fell 0.7 percent in October.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 24.2 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 1,840.33 crore in the Indian equity market on November 25, as per provisional data available on the NSE.
5 stocks under F&O ban on NSE
Canara Bank, Indiabulls Housing Finance, NALCO, SAIL and Tata Motors are under the F&O ban for November 26. 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