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Updated on: Monday, October 11, 2021, 09:10 AM IST

Trends on SGX Nifty indicate flat opening for stock market indices

Indian markets could open flat to mildly higher, in line with largely positive Asian markets today and despite flat to lower US markets on Friday./Representational image of stock market  | AFP PHOTO / Yoshikazu TSUNO

Indian markets could open flat to mildly higher, in line with largely positive Asian markets today and despite flat to lower US markets on Friday./Representational image of stock market | AFP PHOTO / Yoshikazu TSUNO

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Trends on SGX Nifty indicate a flat opening for the index in India with a 13 points loss. The Nifty futures were trading at 17,906.50 on the Singaporean Exchange.

Indian markets could open flat to mildly higher, in line with largely positive Asian markets today and despite flat to lower US markets on Friday, said Deepak Jasani, Head-Retail, HDFC Securities..

Gaurav Udani, CEO & Founder, ThincRedBlu Securities said, "The Nifty is expected to open flat at 17,910 , down by 5 points. Since the last few trading sessions Nifty has been taking resistance in 17,900-17,950 range and support in 17,580-17,620 range. Overall trend in Nifty is bullish and traders can consider fresh buying with strict stoploss either on dips or when Nifty closes above 17,950 levels."

Mohit Nigam, Head - PMS, Hem Securities said the "Benchmark Indices are expected to open on a flat note as suggested by trends on SGX Nifty. Aditya Birla Sun Life AMC is going to make its market debut today. Some stock specific actions can be witnessed in stocks such as Tata Motors (JLR Retail sales were down 18.4 percent year-on-year at 92,710 vehicles Vs 1,13,569 vehicles), Jubilant Ingrevia (To acquire of 26.60% percent stake in AMP Energy Green Fifteen for Rs 5.11 crore), Tata Group Stocks (Tata Sons emerged as the winning bidder of Air India). On the technical front, markets are in a structural positive trend. Strong support can be seen at 17,700 level and 18,100 level may act as a near term resistance in Nifty 50."

The S&P 500 ended lower on Friday after data showed weaker jobs growth than expected in September, yet investors still expected the Federal Reserve to begin tapering asset purchases this year.

Dow Jones closes low on Friday

The Dow Jones Industrial Average dipped 0.03% to end at 34,746.25 points, while the S&P 500 lost

0.19 percent to 4,391.35. The Nasdaq Composite dropped 0.51percent to 14,579.54.

Asian markets trade high

Asian markets were trading higher with Hang Seng and Nikkei up 1 percent each, while Shanghai Composite up 0.5 percent.

India's job market clocks records 57% Y-o-Y growth

The Indian job market maintained its record-breaking run for the third consecutive month in a row, clocking 57 percent year-on-year growth in September, according to the latest Naukri JobSpeak report.

At 2,753 job postings, the index hit an all-time high in September surpassing pre-COVID levels in September 2019 by 21 percent.

It said sectors like hospitality (82 percent) and retail (+70 percent) which were most impacted by the pandemic, also witnessed significant YoY growth in September with several hotels and physical store outlets across the country gradually reopening.

Hiring activity has also grown in the education (53 percent), banking/financial services (43 percent) and telecom/ISP (+37 percent) sectors as compared to September, 202The government has initiated the process of filling about 100 vacancies of independent directors in public sector banks and financial institutions to meet regulatory norms of corporate governance.

There have been vacancies at the independent director level across the public sector.

US unemployment rate declines

The United States added 194,000 jobs last month and the unemployment rate fell to 4.8 percent, government data released Friday showed, a mixed result as the world's largest economy recovers from the pandemic.

Fewer jobs were gained than expected but the unemployment rate dropped by more than analysts predicted, with the Labor Department noting employment rising in the leisure and hospitality sector that had been hard hit by Covid-19, but declining in public education.

Hiring was overall much weaker than the upwardly revised 366,000 positions added in August, and may indicate that the COVID-19 Delta variant made businesses hesitant and held back employment.

Driven by record inflows into Systematic Investment Plans (SIPs), the overall mutual funds industry's assets under management jumped to nearly Rs 37 lakh crore in September, registering an over 33 per cent growth compared to the year-ago period, according to Amfi data.

AUM up at 36.77 lakh crore in September

The overall Assets Under Management (AUM) touched Rs 36.74 lakh crore last month, up from Rs 27.6 lakh crore in September 2020, the data from the Association of Mutual Funds (Amfi) showed on Friday.

Amfi CEO N S Venkatesh attributed the record AUM to the record inflows into the SIPs which crossed the Rs 10,000-crore milestone for the first time. This is also reflective of the continued retail investor confidence in mutual funds. Retail investors are preferring mutual funds over low-yielding traditional savings avenue like bank fixed deposits as well as gold and real estate, he added.

Forex dips

The country's foreign exchange reserves dipped by $1.169 billion to stand at $637.477 billion in the week ended October 1, RBI data showed on Friday. In the previous week ended September 24, 2021, the reserves had declined by $997 million to $638.646 billion. The reserves had surged by $8.895 billion to a lifetime high of $642.453 billion in the week ended September 3, 2021.

During the reporting week ended October 1, 2021, the dip in the forex kitty was on account of a fall in the foreign currency assets (FCAs), a major component of the overall reserves. FCAs declined by $1.28 billion to $575.451 billion, as per weekly data by the Reserve Bank of India (RBI).

Results on October 11

Delta Corp, HFCL, Krsnaa Diagnostics, Ramkrishna Forgings, Saregama India, Tata Metaliks, Tinplate Company of India, Lesha Industries, and Sri Lakshmi Saraswathi Textiles will release its quarterly earnings on October 11.

Seven stocks under F&O ban

Seven stocks - Canara Bank, Indiabulls Housing Finance, IRCTC, NALCO, Punjab National Bank, SAIL, and Sun TV Network - are under the F&O ban for October 11. 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.

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Published on: Monday, October 11, 2021, 09:01 AM IST
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