The benchmark stock market indices opened higher on December 8. The Sensex was up 638.62 points or 1.11 percent at 58,272.27. The broader Nifty was up 185.30 points or 1.08 percent at 17,362. About 1812 shares have advanced, 355 shares declined, and 63 shares are unchanged. Bank Nifty soared 1.24 percent while India VIX was down 8 percent.
Nifty reversed the losses of the previous day on December 7 and posted the biggest single day gain since September 23, 2021. At close Nifty was up 1.56 percent or 264 points to 17,176.7.
Nifty clawed back most of the losses of the previous day on December 7. 16,983 could now be the support for the Nifty while 17,401 could be the resistance. The way the advance decline ratio has improved suggests a few more days of upward moves in the Nifty, though the pace could slow.
Asian shares extend gains
Asian shares extended gains on Wednesday, continuing a global relief rally as markets found positive news in early reports about the potential impact of the Omicron variant.
MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 percent and Japan's Nikkei rose 1 percent. U.S. S&P 500 futures rose 0.25 percent. British drugmaker GSK said on Tuesday its antibody-based COVID-19 therapy with US partner Vir Biotechnology is effective against all mutations of the new Omicron coronavirus variant.
US stocks close higher
US stock benchmarks closed higher Tuesday, with a surge extending Monday’s sharp gains, as Wall Street focused on early reports that the omicron variant of coronavirus that causes COVID-19 is less severe than originally feared.
A lot of the fear over the omicron variant of the coronavirus is waning and investors see in recent data that “there is still a lot of economic momentum” in the US British drugmaker GSK said an antibody-based COVID-19 therapy it is developing with Vir Biotechnology was effective against all mutations of the Omicron variant, according to Reuters.
US trade deficit sinks almost 18% in October
The US trade deficit sank almost 18 percent in October after the biggest surge in exports in 13 years and a slowdown in imports partly tied to congestion at domestic ports. The trade gap shrank to $67.1 billion from a record $81.4 billion in the prior month.
US crude dipped 0.45 percent to $71.79 a barrel. Brent crude fell 0.44 percent to $75.11 per barrel. Spot gold rose 0.3 percent to $1,789 an ounce, within its recent range, and rival inflation hedge, bitcoin was also calm after an exciting weekend, barely changed at $50,600.
RBI policy today
The RBI policy statement is due today, with the central bank widely expected to stand pat on key rates as the Omicron variant poses risks to India's recovery.
Abheek Barua, Chief Economist, HDFC Bank said the RBI policy meeting on December 8,comes against the backdrop of uncertainty around the Omicron virus on the one hand and the US Fed continuing to sound hawkish and markets pricing in accelerated tightening globally on the other. "In our base case, we continue to see a high probability of a reverse repo rate hike by the RBI in December, especially in light of 1) increasing inflationary concerns and signs of growth picking up (Q2 GDP at 8.4 percent) and 2) some normalisation (liquidity and rates) since the October policy that has already been underway. That said, we recognise the risk of the Omicron virus putting a brief pause to/or caution towards normalisation plans by the RBI but at this stage we do not think they will be jettisoned completely."
China's exports lose steam
China's exports growth lost steam in November, pressured by a strong yuan, weakening demand and higher costs, but imports unexpectedly accelerated as the country scrambled to restock depleted commodities like coal. Exports rose 22 percent year-on-year in November, customs data showed on Tuesday, slower than the 27.1 percent jump in the previous month but faster than the 19.0 percent expected in a Reuters poll. Imports climbed 31.7 percent, beating the 19.8 percent rise in October and well above the forecast 20.6 percent gain.
Japan's economy shrinks
Japan's economy shrank 3.6 percent in the third quarter, worse than the initial estimate of a 3.0 percent contraction, revised government data showed on Wednesday, posting a decline as private spending took a hit from a resurgence in COVID-19.
Rategain Travel IPO subscribed 41 pc on Day 1 of offer
Rategain Travel Technologies Limited IPO received a 41 per cent subscription on the first day on Tuesday.The IPO received bids for 71,88,090 shares against 1,73,51,146 shares on offer, according to data available with the exchanges.
The Retail Individual Investors (RIIs) category received full subscriptions on the first day, getting subscribed 2.23 times, while the non-institutional investors’ portion got subscribed 4 per cent.
The initial public offer (IPO) has a fresh issue of up to Rs 375 crore and an offer for sale of up to 2,26,05,530 equity shares. The three-day offer has a price range of Rs 405-425 per share.
RateGain Travel Technologies on Monday raised Rs 599 crore from anchor investors.
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