The Indian stock market is expected to open in the red as trends on SGX Nifty indicate a gap-down opening with a 281 points loss.
The S&P BSE Sensex climbed 257.62 points to 51,039.31 on February 25 while the Nifty50 gained 115.40 points at 15,097.40 levels.
According to pivot charts, the key support levels for the Nifty are placed at 15,049.57, followed by 15,001.83. If the index moves up, the key resistance levels to watch out for are 15,160.77 and 15,224.23.
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:
Wall Street’s main indices tumbled on Thursday, with the Nasdaq index posting its largest daily percentage fall in four months, as technology-related stocks remained under pressure following a rise in U.S. bond yields.
The Dow Jones Industrial Average closed 559.85 points lower, or 1.75%, to 31,402.01, the S&P 500 lost 96.09 points, or 2.45%, to 3,829.34 and the Nasdaq Composite dropped 478.54 points, or 3.52%, to 13,119.43.
Asian stocks opened sharply lower on Friday after Wall Street’s main indexes tumbled, with technology-related stocks under pressure following a steep rise in benchmark U.S. Treasury yields.
Australia’s S&P/ASX 200 fell 2% in early trade, on track for the biggest intraday percentage loss since Jan. 28. Japan’s Nikkei 225 was down 1.8% while Hong Kong’s Hang Seng index futures lost 1.69%.
Trends on SGX Nifty indicate a gap-down opening for the index in India with a 281 points loss. The Nifty futures were trading at 14,899 on the Singaporean Exchange around 07:30 hours IST.
Retail loans to remain most affected due to pandemic: Moody's
Moody's Investors Service on Thursday said loans to retail customers, especially those to low-income borrowers, will remain most affected due to the shock caused by the coronavirus pandemic. Despite the pandemic challenges, asset quality at Indian banks has performed better than expected at the start of the outbreak, Moody's said.
"Corporate loans, in particular, have performed well because banks prior to the pandemic had largely provisioned for legacy problem loans and tightened underwriting standards," Moody's Vice President and Senior Credit Officer Srikanth Vadlamani said.
Sixteen stocks are set to trade in the futures and options (F&O) market from the March series, starting tomorrow. The F&O list is close to about 146 stocks as of now and from tomorrow this number will be 156.
Alembic Pharmaceuticals, Alkem Laboratories, AU Small Finance Bank, City Union Bank, Deepak Nitrite, Granules India, Gujarat Gas, IRCTC, L&T Technology Services, L&T Infotech, Mphasis, Navin Fluorine, Nippon Life, Pfizer, PI Industries and Trent are the new entrants.
Markets regulator Securities and Exchanges Board of India (SEBI) has put out a comprehensive framework to deal with technical glitches at market infrastructure institutions (MIIs). As per a statement released by the regulator on February 25, MIIs should submit a detailed root cause analysis to SEBI in a time-bound manner after due vetting by the Technology Committee and Governing Board of the MII.
The framework proposes a monitoring mechanism for ensuring corrective action along with appropriate penalty wherever warranted.
Japan's January factory output rises for first time in three months
Japan’s industrial output rose for the first time in three months in January thanks to a pickup in global demand, in a welcome sign for an economy still looking to shake off the drag of the coronavirus pandemic.
Official data released on Friday showed factory output advanced 4.2% in January, boosted by sharp rises in production of electronic parts and general-purpose machinery, as well as a smaller increase in car output.
Oil mixed, U.S. crude hits highest since 2019 as refineries restart
Oil prices were mixed on Thursday with U.S. crude edging up to its highest close since 2019 as Texas refineries restarted production after last week’s freeze, while Brent eased on worries that four months of gains will prompt producers to boost output.
Brent futures for April delivery fell 16 cents, or 0.2%, to settle at $66.88 a barrel. The April Brent contract expires on Friday. U.S. West Texas Intermediate (WTI) crude, meanwhile, ended 31 cents, or 0.5%, higher at $63.53, its highest close since May 2019.
Anticipating 2021 boom, US Q4 GDP revised up slightly to 4.1%
The economy grew at a 4.1 percent pace in the final three months of 2020, slightly faster than first estimated, ending a year in which the overall economy, ravaged by a global pandemic, shrank more than in any year in the past seven decades.
The 4.1 percent gain in the gross domestic product — the broadest measure of economic health — is a slight upward revision from 4 percent growth in the first estimate released a month ago, the Commerce Department reported Thursday.
Institutional investments in Indian real estate expected to grow by 14.6% to Rs 396 bn in 2021: Colliers
Investments in Indian real estate are expected to grow by 14.6% to Rs 396 billion from Rs 346 billion in 2020 as institutional investors continue to be bullish on Indian real estate asset classes such as offices, data centers and warehouses and are looking to deploy their existing dry powder, Colliers has said in its report.
“The investment climate in India is very buoyant with global investors’ interest in real assets getting stronger. Further, the resilience of the Indian market is also evident from continued good housing sales performance across various markets, the large institutional investments in commercial office and industrial parks, and the listing of two REITs in the past six months,” said Piyush Gupta, Managing Director, Capital Markets & Investment Services (India) at Colliers.
RailTel Corporation of India, one of the largest neutral telecom infrastructure providers in India, is likely to list with a 10-25 percent premium on February 26 given its monopolistic business, diversified portfolio of service and solution, and key position as a partner in digital transformation of the Indian Railways, experts feel.
The state-owned entity has raised around Rs 819 crore through public issue which was subscribed 42.4 times during February 16-18. It was a complete offer for sale by the government, so all the money will go to the government.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 188.08 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 746.57 crore in the Indian equity market on February 25, as per provisional data available on the NSE.With inputs from Reuters & other agencies