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 53 points gain.
The benchmark indices ended at record closing high with the BSE Sensex climbing 393.83 points to 49,792.12 on January 20 while the Nifty50 jumped 123.50 points to 14,644.70.
According to pivot charts, the key support levels for the Nifty are placed at 14,552.63, followed by 14,460.57. If the index moves up, the key resistance levels to watch out for are 14,701.63 and 14,758.57.
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:
U.S. stocks closed at record highs on Wednesday as Joe Biden was sworn in as the 46th U.S. president, while solid results from Netflix sparked a rally in shares of “stay-at-home” beneficiaries.
The Dow Jones Industrial Average rose 257.86 points, or 0.83%, to 31,188.38, the S&P 500 gained 52.94 points, or 1.39%, to 3,851.85 and the Nasdaq Composite added 260.07 points, or 1.97%, to 13,457.25.
Asian markets were set to rise on Thursday after U.S. stocks closed at record highs on hopes that newly inaugurated U.S. President Joe Biden would put in place further economic stimulus to offset damage wreaked by the COVID-19 pandemic.
MSCI’s gauge of stocks across the globe gained 0.07%. Australia’s ASX 200 jumped more than 0.80% in early trade Thursday. Hong Kong’s Hang Seng index futures rose 0.23%. The Nikkei 225 index closed down 0.38% on Wednesday, and the futures contract is up 0.74% from that close.
Trends on SGX Nifty indicate a positive opening for the index in India with a 53 points gain. The Nifty futures were trading at 14,697 on the Singaporean Exchange around 07:30 hours IST.
Joe R. Biden sworn in as 46 President of the United States
Joseph Robinette Biden Jr. was sworn in as the 46 President of the United US on January 20. Biden enters the White House with the top challenge to lift the country from the devastation of a raging pandemic that has killed more than 400,000 Americans and thrown millions into economic distress.
Revival of the economy, which has been badly bruised by the pandemic, is another challenge that he faces.
Oil rises on U.S. stimulus hopes, tighter market under Biden
Oil edged higher on Wednesday on expectations that U.S. President Joe Biden’s administration will deliver hefty pandemic-related economic stimulus that will lift fuel demand and enact policies that will tighten crude supply.
Brent crude settled at $56.08 a barrel, gaining 18 cents. U.S. West Texas Intermediate (WTI) crude settled at $53.24 a barrel, climbing 26 cents.
Housing sales demand rises 78% in December quarter on pent-up demand: Report
Total sales of home units in top seven cities across the country increased by 78 percent in Q4 2020 to 110,811 units versus 62,197 units in Q3 2020 on the back of pent-up demand and increased sales during the festive season. Sales in the fourth quarter of 2020 versus the same quarter in 2019 also increased by 25 percent, a report by PropEquity, a real estate data, research and analytics firm said.
The National Capital Region (NCR) was the only region where the sales decreased by 32 percent while other cities including Bengaluru, Chennai, Hyderabad, Kolkata, MMR and Pune saw sales going up by 46 percent, 52 percent, 74 percent, 41 percent, 130 percent and 120 percent, respectively on Q-o-Q comparison, the report said.
New launches witnessed a decline of 28 percent to 4,553 units from 6,297 units and the absorption decreased by 32 percent to 7,211 units from 11,840 units in Delhi-NCR, the report said.
Indian insurers’ growth to rebound backed by health, protection business: Moody’s
The Indian insurance sector will see growth rebounding in 2021 lead by growth in the health and protection segments, according to a report by Moody’s Investors Service. Mohammed Ali Riyazuddin Londe, Vice President-Senior Analyst, Financial Institutions, Moody’s Investors Service told Moneycontrol in an interaction that this is not a one-off growth as far as health insurance is concerned.
He added that the health insurance sales saw a spike in 2020 due to a rise in awareness amidst the Coronavirus outbreak. He said that this will see general insurers growth to move to positive territory in 2021.
Home First Finance Company mops up Rs 346 crore from anchor investors ahead of IPO
Home First Finance Company, one of the fastest growing affordable housing finance companies in India, has raised Rs 346.11 crore from anchor investors ahead of its initial public offer (IPO), that opens on January 21.
The company in its circular available on exchanges said IPO committee and selling shareholders in consultation with merchant bankers have finalised the allocation of 66,81,766 equity shares to anchor investors, at upper price band of Rs 518 per share. The issue will close on January 25. The price band has been fixed at Rs 517-518 per share.
CCI approves Axis-Max Life deal
Fair trade regulator Competition Commission of India (CCI) on Wednesday said it has approved the stake acquisition in Max Life Insurance Company by Axis Bank, Axis Capital and Axis Securities. As per the combination notice filed with CCI, the shareholding of Axis Bank in Max Life will increase to approximately 9.9 per cent.
Currently, the bank holds about 1 per cent stake in Max Life and is also the biggest distributor of the insurer's products through banking channel. Additionally, Axis Capital Ltd and Axis Securities will acquire 2 percent and 1 percent, respectively, shareholding in Max Life.
CCI approves Flipkart's acquisition of 7.8% stake in Aditya Birla Fashion
The Competition Commission of India (CCI) on January 20 approved a Rs 1,500 crore deal between Aditya Birla Fashion and Flipkart, which allows the latter to acquire a minority stake of 7.8 percent in the Birla Group-linked entity.
"Commission approves acquisition of a 7.8% minority stake in Aditya Birla Fashion and Retail Ltd by Flipkart Investments Pvt Ltd," the CCI, which is India’s nodal anti-trust regulator, said in a social media update.
Results on January 21
Asian Paints, Bajaj Auto, AAVAS Financiers, MCX India, SBI Cards and Payment Services, Bajaj Holdings & Investment, Bandhan Bank, Biocon, Cyient, Genus Power Infrastructures, Indo Count Industries, Indian Energy Exchange, IIFL Securities, JBF Industries, Jindal Steel & Power, JK Tyre & Industries, Kajaria Ceramics, Kirloskar Pneumatic, Man Industries, Mphasis, Music Broadcast, Reliance Power, Saregama India, South Indian Bank, SRF, Supreme Petrochem, Westlife Development, Zensar Technologies and Zicom Electronic Security Systems are among 57 companies to announce their quarterly earnings on January 21.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 2,289.05 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 864.62 crore in the Indian equity market on January 20, as per provisional data available on the NSE.
3 stocks under F&O ban on NSE
Vodafone Idea, SAIL and Sun TV Network are under the F&O ban for January 21. 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