The Indian stock market is expected to open in the red as trends on SGX Nifty indicate a gap-down opening for the broader index in India with a loss of 100 points.
The BSE Sensex climbed 936 points or 1.68 percent to 56,486, while the Nifty50 jumped 241 points or 1.45 percent to 16,871 and formed a bullish candle on the daily charts.
As per the pivot charts, the key support level for the Nifty is placed at 16,689, followed by 16,507. If the index moves up, the key resistance levels to watch out for are 16,971 and 17,070.
Stay tuned to Moneycontrol to find out what happens in the 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:
Major US stock indexes closed mostly lower on Monday, led by a more than 2% drop in Nasdaq, as investors sold tech and big growth names ahead of this week's Federal Reserve meeting and an expected hike in interest rates.
The Dow Jones Industrial Average rose 1.05 points to 32,945.24, the S&P 500 lost 31.2 points, or 0.74%, to 4,173.11 and the Nasdaq Composite dropped 262.59 points, or 2.04%, to 12,581.22.
Shares in China led losses in Asia-Pacific on Tuesday as investors continued to assess the economic outlook, with developments in the Russia-Ukraine war being monitored as well as Chinese economic data releases expected. Hong Kong’s Hang Seng index led losses regionally on Tuesday, dropping 3.64% in morning trade — adding to losses after closing at its lowest since March 2016 on Monday.
South Korea’s Kospi shed 0.82%. In Australia, the S&P/ASX 200 slipped 0.87%. Nikkei 225 in Japan climbed 0.22% while the Topix index advanced 0.75%.
Trends on SGX Nifty indicate a gap-down opening for the broader index in India with a loss of 100 points. The Nifty futures were trading around 16,782 levels on the Singaporean exchange.
CPI inflation rises
India's retail inflation in February rose marginally to 6.07 percent from 6.01 percent in the previous month, data released on March 14 by the Ministry of Statistics and Programme Implementation showed. Inflation based on the Consumer Price Index (CPI) was 5.03 percent in February 2021.
The CPI inflation print for February is above the consensus estimate. As per a Reuters poll, economists had expected retail inflation to slip to 5.93 percent.
Oil falls on Ukraine peace hopes
Oil prices fell and European stocks rose on Monday as investors weighed positive comments from ceasefire talks between Russia and Ukraine, while US Treasury yields hit two-and-a-half year highs on expectations of a first US rate hike. Brent futures fell 5.1% to settle at $106.90 a barrel, while US West Texas Intermediate (WTI) crude fell 5.8% to settle at $103.01.
FII and DII data
Foreign institutional investors (FIIs) continue selling in India as they have net sold shares worth Rs 176.52 crore on March 14, the lowest offloading in a single day in the last one month. However, domestic institutional investors (DIIs) have bought shares worth Rs 1,098.62 crore on the same day, as per provisional data available on the NSE.
NBFC-retail's assets under management likely to grow 8-10% in FY23: Report
The asset under management (AUM) of non-banking financial companies (retail) is expected to grow 5-7 per cent in fiscal 2022 and 8-10 per cent in fiscal 2023, according to a report. Housing finance companies (HFCs) are likely to see their AUM expanding by 8-10 per cent in the current fiscal and 9-11 per cent in the next financial year, rating agency ICRA Ratings said in a report on Monday.
The agency’s Vice-President (Financial Sector Ratings) Manushree Saggar said that within the NBFC-retail segment, personal credit, microfinance and gold loans are likely to be the primary growth drivers as other traditional asset segments-vehicle finance and business credit are still facing headwinds because of supply constraints and asset quality concerns.
BoE to lift Bank Rate on Thursday, inflation to peak in Q2
The Bank of England is almost certain to increase borrowing costs on Thursday, nearly all economists polled by Reuters said, marking the third consecutive meeting where it has raised Bank Rate as it continues its exit from pandemic-related support.
Like most central banks the BoE slashed interest rates to a record low as the coronavirus swept across the world but is now facing soaring inflation, which reached a near 30-year high of 5.5% in January and is likely to rise further.
US consumers lift inflation, spending expectations
US consumers upped their outlook for where inflation will be a year from now and in three years time, and they expect to spend substantially more on food, gas and rent in the next 12 months, according to a survey released on Monday by the New York Federal Reserve.
Expectations for where inflation will be in one year increased to 6.0% in February from 5.8% in January, returning to the high reached in November for the survey, which was launched in 2013. Expectations for inflation three years out rose to a median of 3.8% from 3.5%, remaining below the levels seen in November and December of last year. The rise in inflation expectations reverses some of the declines seen in January.
Stocks under F&O ban on NSE
One stock - Balrampur Chini Mills - is under the F&O ban for March 15. 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.