The market is expected to open in the green as trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 43 points.
The BSE Sensex rose 21 points to 58,136, while the Nifty50 increased 5.5 points to 17,345.50 and formed a Doji kind of indecisive pattern on the daily charts on Tuesday, with higher high-higher low formation for the fourth straight session.
As per the pivot charts, the key support level for the Nifty is placed at 17,244, followed by 17,143. If the index moves up, the key resistance levels to watch out for are 17,418 and 17,492.
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:
Wall Street ended lower after a choppy session on Tuesday, with geopolitical tensions flaring after US House of Representatives Speaker Nancy Pelosi visited Taiwan.
The Nasdaq declined 0.16 percent to 12,348.76 points, while Dow Jones Industrial Average declined 1.23 percent to 32,396.30 points. The S&P 500 declined 0.66 percent to end the session at 4,091.32 points.
Shares in the Asia-Pacific were mostly higher Wednesday as geopolitical tensions between the US and China intensified over US House Speaker Nancy Pelosi’s visit to Taiwan.
Mainland China markets led gains. The Shanghai Composite rose 0.93 percent, and the Shenzhen Component added 1.29 percent. On Tuesday, before Pelosi’s arrival, both the indices fell as much as 3 percent in the trading session. Hong Kong’s Hang Seng index advanced 1.14 percent. Taiwan’s Taiex was 0.27 percent lower.
The Kospi in South Korea gained 0.4 percent and the Kosdaq was 0.67 percent higher. Japan’s Nikkei 225 rose 0.49 percent and the Topix index was up 0.15 percent. The S&P/ASX 200 in Australia, however, fell 0.55 percent. MSCI’s broadest index of Asia-Pacific shares outside of Japan increased 0.12 percent.
Trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 43 points. The Nifty futures were trading around 17,369 levels on the Singaporean exchange.
Trade deficit hits new record high of $31 billion in July, exports fall 12% MoM
India's merchandise trade deficit jumped to a new record high of $31.02 billion in July, Commerce Secretary BVR Subrahmanyam said on August 2. The previous record high was set in June, when the trade deficit was $26.18 billion. The deficit in July 2021 was nearly one-third of last month's figure at $10.63 billion.
As per provisional data released by the commerce ministry, merchandise imports stood at $66.26 billion in July compared to $46.15 billion in the same month last year.
Results on August 3,
Adani Power, Adani Power, InterGlobe Aviation, Vodafone Idea, Godrej Consumer Products, Aditya Birla Capital, Adani Transmission, Adani Wilmar, BASF India, Birlasoft, Chambal Fertilisers, Devyani International, Firstsource Solutions, Gujarat Gas, Inox Leisure, KEC International, Paras Defence and Space Technologies, PI Industries, Sandhar Technologies, Satin Creditcare Network, Speciality Restaurants, Tata Coffee, and Zuari Agro Chemicals will be in focus ahead of June quarter earnings on August 3.
Oil falls on demand worries, stronger US dollar
Oil prices fell about 1 percent in early trade on Wednesday, reversing gains from the previous session ahead of a meeting OPEC+ producers on fears of a slowdown in global growth hitting fuel demand and a firmer dollar.
Brent crude futures fell 94 cents, or 0.9 percent, to $99.60 a barrel at midnight in London, wiping out the previous session's gain. West Texas Intermediate (WTI) crude futures were down 68 cents, or 0.7 percent, at $93.74 a barrel, after climbing 53 cents on Tuesday.
US dollar climbs with US yields after Fed doves say expect more rate hikes
The US dollar remained elevated on Wednesday following its biggest surge in three weeks against major peers overnight, with Federal Reserve officials talking up the potential for further, aggressive interest rate hikes.
The greenback continued its rise versus the safe-haven yen, extending its best gain for six weeks, as US Treasury yields also rebounded after House Speaker Nancy Pelosi's arrival in Taiwan was met with a strong, but not off-the-scale response by China.
The US dollar index, which gauges the currency against six major peers including the yen, was 0.05% higher at 106.50, after rebounding 1% overnight following its slide to a nearly one-month low at 105.03.
FII and DII data
On August 2, foreign institutional investors (FIIs) bought shares worth Rs 825.18 crore, while domestic institutional investors (DIIs) net purchased shares worth Rs 117.79 crore, as per provisional data available on the NSE.
China July services activity expands at quickest pace in 15 months - Caixin PMI
China's services activity grew at the fastest rate in 15 months in July as easing COVID curbs boosted consumer confidence, but foreign demand fell and companies cut staff for the seventh month in a row, a private-sector survey showed on Wednesday.
The Caixin services purchasing managers' index (PM) rose to 55.5 in July, the fastest growth since April 2021, rising further from the robust reading of 54.5 in June.
Stocks under F & O ban on NSE
The National Stock Exchange has added escorts to its F & O ban list for August 3. 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.