Top 10 things to know before of today's market opening for the stock market

  • Oct. 28, 2022, 12:19 p.m.

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 48 points on Friday.

The BSE Sensex jumped over 200 points to 59,757, while the Nifty50 rose 81 points to 17,737 and formed a small-bodied bearish candle. It resembles the Hanging Man kind of pattern on the daily charts, which is a bearish reversal pattern formed in an uptrend.

As per the pivot charts, the key support level for the Nifty is placed at 17,676, followed by 17,645 and 17,596. If the index moves up, the key resistance levels to watch out for are 17,774 followed by 17,805 and 17,854.

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 that could impact Indian as well as international markets.

The S&P 500 and Nasdaq both fell on Thursday, despite solid economic data and a mixed bag of corporate earnings.The price-weighted Dow advanced, held aloft by industrials, while weakness in market-moving tech and tech-adjacent mega-caps depressed the S&P 500 and Nasdaq in the wake of downbeat quarterly results and dour guidance.

The Dow Jones Industrial Average rose 194.17 points, or 0.61 percent, to 32,033.28, while the S&P 500 dropped 23.3 points, or 0.61 percent, to 3,807.3 and the Nasdaq Composite fell 178.32 points, or 1.63 percent, to 10,792.68.

Asian markets

Shares in the Asia-Pacific fell ahead of the Bank of Japan’s interest rate decision and a slew of companies in the region reporting earnings.

The Nikkei 225 in Japan fell 0.63 percent, while the Topix fell slightly.was slightly lower. The S&P/ASX 200 in Australia was down 0.49 percent.MSCI’s broadest index of Asia-Pacific shares outside Japan declined 0.42 percent.

SGX Nifty

Trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 48 points. The Nifty futures were trading at 17,851 levels on the Singaporean exchange.

Oil settles higher on strong crude demand, easing recession fears.

Oil rose more than $1 a barrel on Thursday, extending the previous day's rally of nearly 3 percent, as optimism over record U.S. crude exports and signs that recession fears are abating outweighed concern over slack demand in China. Data showed record US crude exports, a hopeful sign for demand. Speculation that central banks could be nearing the end of rate-hiking cycles added support after the European Central Bank raised rates by 75 basis points.

Brent crude rose $1.27, or 1.3 percent, to $96.96 per barrel, while WTI crude in the United States rose $1.17, or 1.3 percent, to $89.08 per barrel.

The IMF cuts Asia's economic forecasts as China's slowdown bites.

The International Monetary Fund cut Asia's economic forecasts on Friday as global monetary tightening, rising inflation blamed on the war in Ukraine, and China's sharp slowdown dampened the region's recovery prospects.

While inflation in Asia remains subdued compared with other regions, most central banks must continue raising interest rates to ensure inflation expectations do not become de-anchored, the IMF said in its Asia-Pacific regional economic outlook report.

"Asia's strong economic rebound early this year is losing momentum, with a weaker-than-expected second quarter," said Krishna Srinivasan, director of the IMF's Asia and Pacific Department.

The US economy expanded slowly in the third quarter.

Economic growth rebounded over the summer, the latest government data shows, but slowing consumer spending and a rapidly weakening housing market mean the report will do little to ease fears of a looming recession.

The Commerce Department said Thursday that gross domestic product, adjusted for inflation, rose 0.6 percent in the third quarter, a 2.6 percent annual rate of growth. It was the first increase after two consecutive quarterly contractions.

But the third-quarter figures were skewed by the international trade component, which often exhibits big swings from one period to the next. Economists tend to focus on less volatile components, which have shown the recovery steadily losing momentum as the year has progressed.

The European Central Bank raised interest rates by 75 basis points.

The European Central Bank on Thursday rolled out another bumper rate hike to combat soaring inflation, despite growing concern that the eurozone is hurtling towards a painful recession. The ECB's 25-member governing council repeated last month's unprecedented move and opted for another increase of 75 basis points, leaving its three main rates sitting in a range of between 1.5 and 2.25 percent.

The hike was widely expected and comes as the Frankfurt institution faces pressure to rein in record-high inflation, mainly driven by skyrocketing energy costs in the wake of Russia's war in Ukraine.

Experts believe that while the RBI may continue to intervene as the rupee falls, depleting forex reserves is not a concern.

The Reserve Bank of India is expected to continue to intervene in the forex markets as the depletion of foreign exchange reserves is not a major concern at the moment, experts have said. India’s foreign exchange reserves dropped by more than $100 billion in the past year as the RBI intervened in the forex market in the wake of the Russia-Ukraine war and the US Federal Reserve’s policy tightening.

The RBI is likely to continue with its forex interventions, currency experts and economists told Moneycontrol on October 27.

Results for the 28th and 29th of October

Maruti Suzuki India, Dr Reddy's Laboratories, JSW Energy, Vedanta, Tata Power Company, Bandhan Bank, Blue Dart Express, CCL Products (India), Dwarikesh Sugar Industries, Eveready Industries India, NIIT, Satin Creditcare Network, Sona BLW Precision Forgings, Sumitomo Chemical India, and TTK Healthcare will be in focus ahead of the September FY23 quarter earnings on October 28.

Indian Oil Corporation, NTPC, Alankit, Himadri Speciality Chemical, Kirloskar Electric Company, Seshasayee Paper & Boards, and Transport Corporation of India will be in focus ahead of the September FY23 quarter earnings on October 29.

FII and DII data

On October 27, foreign institutional investors (FIIs) bought shares worth Rs 2,818.40 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 1,580.10 crore, as per provisional data available on the NSE.

Author : Rajdhani Delhi Representative

Rajdhani delhi representative

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