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Updated on: Tuesday, October 05, 2021, 09:00 AM IST

SGX Nifty indicate gap-down opening for stock market index

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Trends on SGX Nifty indicate a gap-down opening for the index in India with a 143 points loss. The Nifty futures were trading at 17,567 on the Singaporean Exchange around 07:30 AM.

Indian markets could open lower, in line with mostly lower Asian markets today and sharply lower US markets on Monday (October 4), said Deepak Jasani, Head-Retail, HDFC Securities.

"Nifty is expected to open Negative at 17600, down by 100 points. Nifty has support in 17450-17480 and resistance in 17750-17800 range. Traders can consider buy on dips with strict stoploss for targets of 17750 for the next few trading sessions," said Gaurav Udani, CEO & Founder, ThincRedBlu Securities.

Sharp decline in US stocks

The dollar eased and a gauge of global equity markets fell on Monday as investors worried about the potential for renewed US-China trade tensions, stalled talks in Congress and rising inflation as oil prices surged to multi-year highs.

The Dow Jones Industrial Average fell 0.94 percent to 34,002.92, the S&P 500 lost 1.30 percent to 4,300.46 and the Nasdaq Composite dropped 2.14 percent to 14,255.49 as investors dumped Big Tech stocks in the face of rising Treasury yields.

Asian stocks down in early trade

Japanese shares tumbled to one-month low on Tuesday as spikes in oil prices stoked further worries about inflation and monetary tightening globally.

Nikkei share average fell 2.97 percent to 27,602.33, piercing below 27,865, its 76.4 percent retracement of its rally from lateAugust to September, with next support at 26,954, its August 20 low.

Japan’s services sector activity shrank for a 20th straight month in September as the coronavirus pandemic continued to weigh on sentiment, though the pace of decline eased from the sharp contraction seen in August.

The final au Jibun Bank Japan Services Purchasing Managers’ Index (PMI) rose to a seasonally adjusted 47.8 from the previous month’s 42.9, slightly better than a 47.4 flash figure.

OPEC+ to hike oil output

OPEC+ agreed on Monday to stick to an existing pact to hike oil output by 400,000 barrels per day (bpd) in November, despite consumer calls for more crude and surging prices that threaten an economic recovery from the pandemic.

OPEC+ ministers "reconfirmed the production adjustment plan" previously agreed for adding 400,000 bpd in November, the group said in a statement issued after their online ministerial talks.

Factory orders up but US economic growth slows in third quarter

New orders for US-made goods accelerated in August, pointing to sustained strength in manufacturing even as economic growth appeared to have slowed in the third quarter because of shortages of raw materials and labor.

The Commerce Department said on Monday that factory orders increased 1.2 percent in August. Data for July was revised higher to show orders rising 0.7 percent instead of gaining 0.4 percent as previously reported. Orders have now increased for four straight months.

Economists polled by Reuters had forecast factory orders gaining 1.0 percent. Orders shot up 18.0 percent on a year-on-year basis.

Dollar drifts below one-year high

The US dollar drifted below a one-year high versus major peers on Tuesday as traders waited on key US payrolls data at the end of the week for clues on the timing of a tapering of Federal Reserve stimulus and the start of interest rate hikes.

The US dollar index was about flat at 93.845, easing back slightly since peaking Thursday at 94.504, its highest since late September 2020.

RBI gives licence to NARCL

The Reserve Bank on October 4 gave licence to the Rs 6,000 crore National Asset Reconstruction Company Ltd (NARCL), a move that will help kickstart operations of the bad bank. NARCL was incorporated in July in Mumbai following registration with the Registrar of Companies (RoC).

"Happy to share #RBI has given License to #NARCL on 4.10.2021. The approval has been accorded under Section 3 of #SARFAESI Act 2002," Indian Banks' Association (IBA) CEO Sunil Mehta tweeted.

Realty sales up 92%

Home sales have recorded a 92 percent growth in volume over the last one year with 64,010 units being delivered in the third quarter of 2021, according to an agency study.

Hyderabad and Kolkata have seen the strongest recovery to the pre-COVID levels in terms of sales as well as launches, the report by Knight Frank India said.

No stocks are in F&O Ban today.

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Published on: Tuesday, October 05, 2021, 09:00 AM IST
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