Market Movers: What changed for D-Street while you were sleeping
Nifty futures on the Singapore Exchange were trading 38.50 points higher at 10,880.50.
Singapore trading sets stage for positive start
Nifty futures on the Singapore Exchange were trading 38.50 points, or 0.36 per cent, higher at 10,880.50, indicating a positive start for Dalal Street.
Tech view: Nifty forms Bearish Belt Hold
Nifty50 saw selling pressure from the word go on Tuesday and tested the 10,800 level in intraday trade, before forming a Bearish Belt Hold candle on the daily chart. A drop below the 10,870-10,950 range made technical analysts turn bearish on the index outlook and they now feel the recent swing low of 10,637 is achievable.
Asian shares flat
Caution ahead of an expected US interest rate cut kept wider financial markets in tight ranges. MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.05 per cent while Japan's Nikkei slid 0.03 per cent.
Oil recedes on Saudi supply reassurance
Oil prices cooled on Wednesday as Saudi Arabia said the kingdom had fully restored its oil supply following attacks on its crude facilities although caution ahead of an expected U.S. interest rate cut kept wider financial markets in tight ranges. Saudis sought to calm markets on Tuesday after an attack on its oil facilities, with sources in the kingdom saying output was recovering much more quickly than initially forecast and could be fully back in two or three weeks. International oil companies, fellow members of the OPEC oil cartel and global energy policy makers had heard no updates on the impact of the weekend attack from the Saudis for 48 hours,reports Reuters.
US stocks settle with modest gains
US stocks finished with modest gains on Tuesday amid the Federal Reserve's key monetary policy meeting and a slew of economic data. The Dow Jones Industrial Average index increased 33.98 points, or 0.13 per cent, to 27,110.80. The S&P500 index rose 7.74 points, or 0.26 per cent, to 3,005.70. The Nasdaq Composite Index was up 32.47 points, or 0.40 per cent, to 8,186.02.
FIIs sell Rs 808 crore worth equities
Net-net, foreign portfolio investors (FPIs) were sellers of domestic stocks to the tune of Rs 808 crore on Tuesday, data available with NSE suggested. DIIs were net buyers to the tune of Rs 86 crore, data suggests.
CLSA upgrades global equities
The valuation froth in Indian equities has settled even as the earnings season has been disappointing and the outlook is weak, said Credit Suisse Wealth Management India in a note.
Rupee: The rupee on Tuesday weakened by another 18 paise to settle at 71.78 against the US dollar as investors fretted over higher crude oil prices.
10-year bonds: India 10-year bond yield rose 0.27 cent to 6.73, after trading in 6.70-6.74 range.
Call rates: The overnight call money rate weighted average was 5.36 per cent, according to RBI data. It moved in a range of 4.00-5.50 per cent.
The DAY PLANNER
- Fed interest rate decision
- FOMC Economic Projections
- July foreign investment in US bonds
- Japan Aug balance of trade
- UK August inflation rate
Fed intervenes to ease funding squeeze
The Federal Reserve took action to calm money markets, injecting billions in cash to quell a surge in short-term rates that was pushing up its policy benchmark rate and threatening to drive up borrowing costs for companies and consumers, reports Bloomberg. The central bank also said it’s willing to spend another $75 billion Wednesday.
GST relief ruled out for cars, consumer durables
A panel tasked with recommending producer levies has ruled out changes in taxes on cars, consumer durables or cookies, dashing hopes of a reduction in Goods and Services Tax (GST) for automobiles and other consumption oriented industries. The Fitment Committee’s recommendations, which will be discussed by the 37th GST Council in its meeting on 20th September, blamed the current liquidity crisis and troubles of non-bank lenders for the woes of the automobile sector, which has seen its worst sales decline in about two decades.
US Fed outcome today
The Fed's September monetary policy meeting kicked off on Tuesday and the central bank is expected to announce its latest decision on interest rate on Wednesday at 1800 GMT (IST 11.30 pm) on Wednesday. Markets are betting high on further rate-cut moves.
Startups seek change in listing requirements
A clutch of India’s most richly-valued consumer internet companies will soon petition the country’s market regulator for a revision in rules that govern the listing of startups on Indian stock exchanges, according to industry executives aware of the plans. AT present, minimum 20 per cent promoter stake is a must for listing in India. Ola, Lenskart, PolicyBazaar and Oyo among companies in talks with Sebi.
Trump says China trade deal like before polls
US President Donald Trump said on Tuesday his administration could seal a deal on trade with China before the US presidential election, or an agreement could be reached the day after U.S. voters go to the polls. Trump said he had told China that if the deal comes after the Nov. 3, 2020 election, it would be on terms “far worse” for Beijing than it could achieve right now.