The SGX Nifty indicate a gap-down opening for the index in India with a 102 points loss. The Nifty futures were trading at 15,737 on the Singaporean Exchange around 7.30 AM.
The Indian markets could open lower, in line with largely negative Asian markets today and despite mildly positive US markets on Thursday, said Deepak Jasani, Head of Retail Research, HDFC Securities.
The Nifty is expected to open flat to negative at 15,760 , since the last few days it has been making lower highs and lower lows , for Nifty to show the next up move this pattern has to be broken and Nifty has to close above 15900 levels. Nifty has strong resistance in 15,780-15,830 range and strong support at 15,700 , 15,600 and 15,450 levels. Bias in Nifty will remain negative and sell on rise is suggested as long as its daily close is below 15900," said Gaurav Udani, CEO & Founder, ThincRedBlu Securities.
Indian benchmark equity indices broke a three day losing streak on July 29 and closed higher led mainly by metal stocks. Nifty finally closed 0.44% or 69 points higher at 15778.4. Gains in the Asian markets and reassurance by the US Fed about tapering being some time away, assured market participants.
Nifty witnessed a small high low range of 80 points on July 29 despite it being an F&O expiry day. In terms of index, the markets are finding it difficult to breach near term highs. However the broader market continues to do well, boosted partly by Q1FY22 results. Nifty could remain in the 15688-15856 band for the next 1-2 sessions.
Asian shares slip
Asian shares slipped on Friday, with a gauge of regional equities set for its biggest monthly drop since the height of global pandemic lockdowns last March. Markets in Asia-Pacific were mostly lower in early trading on Friday. Meanwhile, US stocks rallied despite data showing second-quarter GDP grew less than expected. Japan's Nikkei 225 dipped 1.2 percent in early trade, while the Topix lost 0.81 percent.
Amazon became the latest mega-cap technology company to post disappointing guidance (post US market close), with a pandemic-fueled surge in e-commerce set to fade and drag on revenue growth. The company said it sees current-quarter net sales coming in at as much as $112 billion, missing estimates for $118.7 billion. Shares fell more than 7% in late trading.
US stocks close higher
US stocks ended higher on Thursday, boosted by robust US earnings and forecasts, while data showed the economy recovered to pre-pandemic levels in the second quarter.
US gross domestic product grew at an annualized pace of 6.5 percent in the second quarter, falling short of the average forecast of 9.1 percent produced by a survey of economists by The Wall Street Journal. Separately, data from the Labor Department showed first-time applications for unemployment benefits fell 24,000 last week to 400,000. Pending home sales fell 1.9 percent in June, the National Association for Realtors said Thursday. Economists polled by The Wall Street Journal had projected a 0.5 percent gain.
Robinhood opened at $38 a share shortly after midday, then lost ground on Nasdaq, marking a lukewarm welcome as shares closed down 8.4 percent.
Oil futures finished at their highest level in more than two weeks, with the U.S. benchmark rising 1.3 percent, while December gold futures jumped 1.7 percent to the highest close since June 16.
European stocks hit all-time highs on Thursday after strong earnings from commodity majors, Airbus and a clutch of other companies, while data showing record high euro zone economic sentiment in July added to the positive mood. Estimates from the European Commission showed sentiment in the 19-country single-currency bloc rose to 119.0 points in July, a record since data began to be collected in 1985.
Watch out today
India fiscal deficit in rupees for April-June period;
5:30pm: Eight Infrastructure Industries Index for June.
Britannia Industries, Sun Pharmaceutical Industries, UPL, Bandhan Bank, Indian Oil Corporation, Aditya Birla Fashion and Retail, Allied Digital Services, Asahi India Glass, Bharat Heavy Electricals, Birla Tyres, Blue Dart Express, Chemfab Alkalis, Cholamandalam Investment and Finance Company, LT Foods, Dalmia Bharat Sugar, Equitas Small Finance Bank, Exide Industries, Fairchem Organics, Finolex Industries, Gravita India, HIL, Hindustan Organic Chemicals, Jindal Saw, JK Paper, JSW Energy, Kansai Nerolac Paints, KEC International, Dr Lal PathLabs, Macrotech Developers, Marico, Nazara Technologies, PI Industries, Rossari Biotech, Shriram Transport Finance, Sundaram-Clayton, Sunteck Realty, V-Guard Industries, and Zydus Wellness will release quarterly earnings on July 30.