The Indian market is likely to open in the red as trends on the SGX Nifty indicate a negative opening for the broader index with a loss of 36 points.
The BSE Sensex jumped more than 400 points to 59,447, while the Nifty50 rose 145 points to 17,784 and smartly defended the 17,600 mark, forming a bullish candle on the daily charts as the closing levels were higher than the opening levels. On the weekly charts, there was a Doji-like pattern formation as the closing was near the opening levels. The index settled with six-tenths of a percent gain during the week.
As per the pivot charts, the key support level for the Nifty is placed at 17,642, followed by 17,500. If the index moves up, the key resistance levels to watch out for are 17,884 and 17,985.
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 Dow rose and the S&P 500 ended lower in choppy trade on Friday, as beaten-down bank shares gained and investors grappled with how best to deal with an economy that could skid as the Federal Reserve moves to aggressively tackle inflation.
The Dow Jones Industrial Average rose 137.55 points, or 0.4 percent, to 34,721.12, the S&P 500 lost 11.93 points, or 0.27 percent, to 4,488.28, and the Nasdaq Composite dropped 186.30 points, or 1.34 percent, to 13,711.00. For the week, the S&P fell 1.16 percent, the Dow lost 0.28 percent and the Nasdaq shed 3.86 percent, as the index was hit after Fed officials raised concerns about rapid rate hikes causing a slowdown.
Asian shares slipped on Monday ahead of a week thronging with central bank meetings and US inflation data, while the euro eked out a gain on relief that the far right did not win the first round of the French presidential elections.
The Nikkei 225 in Japan slipped 0.61% in early trade while the Topix index shed 0.35 percent. South Korea’s Kospi dipped 0.47 percent. Australia’s S & P/ASX 200 climbed 0.1 percent.
Trends on the SGX Nifty indicate a negative opening for the broader index in India with a loss of 36 points. The Nifty futures were trading at around 17,860 levels on the Singaporean exchange.
Oil prices edged lower in early trading.
Oil prices slipped in early Asian trading, following the second straight weekly decline after world consumers announced plans to release crude from strategic stocks and as Chinese lockdowns continued.
As of 2202 GMT, Brent crude fell 38 cents to $102.40 a barrel, while US crude lost 16 cents to $98.18. Last week, Brent dropped 1.5 percent, while the US West Texas Intermediate slid 1 percent. For several weeks, the benchmarks have been at their most volatile since June 2020.
FPIs have turned net buyers in April so far, investing Rs 7,707 cr in equities.
After a six-month selling spree, foreign investors have turned net buyers in April so far by infusing Rs 7,707 crore in Indian equities as a correction in the markets provided them with a good buying opportunity.
In the entire FY 22, FPIs withdrew a net of Rs 1.4 lakh crore from equities. Despite the pullout, the NSE Nifty rose 19 per cent in the same period on the back of support from domestic institutions and retail investors. However, if this trend continues, there might be limited capacity to absorb further liquidation at current price levels, Agarrwal added.
Tata Consultancy Services, Birla Tyres, Delta Corp, Elnet Technologies, Kesoram Industries, and Lasa Supergenerics will release quarterly earnings on April 11.
FII and DII data
On April 8, as per provisional data available on the NSE, foreign institutional investors (FIIs) have net sold shares worth Rs 575.04 crore, while domestic institutional investors (DIIs) have net offloaded shares worth Rs 16.51 crore on April 8, as per provisional data available on the NSE.
RBI Policy: Interest rates are set to go up later this year, say experts.
The Monetary Policy Committee (MPC) has kept policy rates unchanged yet again—for the 11th time in a row. However, economists say that the MPC may gradually hike policy rates later this year to fight rising inflation.
"The RBI has maintained its accommodative stance, but its withdrawal in the next 3–4 months is inevitable. "RBI has raised its inflation forecast and lowered its growth forecast, given the global uncertainty looming that will have a dual impact on growth and inflation in FY23," said YS Chakravarti, MD and CEO, Shriram City Union Finance, a non-banking financial company (NBFC).
While many economists are of the view that this accommodative stance is the right approach to deal with the current economic situation, some say that it may have repercussions in the future.
Dollar riding high after index hits 100 for the first time in nearly two years.
The US dollar index strengthened to 100 for the first time in nearly two years on Friday, supported by the prospect of a more aggressive pace of Federal Reserve interest rate hikes. The greenback has gained ground on a basket of rivals over the past month, particularly against the euro, which has been pressured by investor concerns about the economic costs of war in Ukraine and a potentially nail-biting election in France.
The dollar index rose as high as 100 in early European trading hours, its best level since May 2020. It later lost some momentum and was last broadly flat at 99.844.
Stocks under F & O ban on NSE
One stock, RBL Bank, is under the F & O ban for April 11. The stock fell 10 percent in the last four consecutive sessions. 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.