SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 27.5 points, or 0.15 per cent, higher at 17,948.50, signaling that Dalal Street was headed for a positive start on Wednesday.
- Tech View: Nifty50 on Tuesday formed a bearish candle on the daily chart. The index is likely to face resistance in the 18,000-18,100 range while it may see support at 17,850-800 levels.
- India VIX: The fear gauge eased 1 per cent to 17.06 level on Tuesday over its previous close of 17.24.
Asian shares mixed in early trade
Asian markets saw a mixed start to Wednesday’s trade, ahead of the outcome of two-day Fed meet. The Japanese market was closed on account of the holiday. MSCI’s index of Asia-Pacific shares outside Japan fell 0.19 per cent.
- South Korea’s Kospi tanked 1.01%
- Australia’s ASX 200 rose 1.07%
- China’s Shanghai edged 0.20% lower
- Hong Kong’s Hang Seng declined 0.53%
Wall Street stocks hit new highs
Wall Street added to its recent run of milestones on Tuesday as stock indices hit new highs again and the Dow Jones Industrial Average closed above 36,000 points for the first time. Dow and S&P500 each rose 0.4 per cent. The Nasdaq gained 0.3 per cent. The three indices also notched all-time highs on Monday.
- Dow Jones gained 0.39% to 36,052.63
- S&P500 jumped 0.37% to 4,630.65
- Nasdaq advanced 0.34% at 15,649.60
Dollar stands tall as Fed heads toward taper
The dollar held within striking distance of the year’s peaks on the euro and yen on Wednesday, as investors looked for the Federal Reserve to begin unwinding pandemic-era policy support faster than central banks in Europe and Japan.
- Dollar index holds overnight gains at 94.117.
- Euro trades at $1.1578 against greenback
- Pound nears two-week low of $1.3620
- Yen stands at 113.94 per dollar
- Yuan trades at 6.40 against the greenback
Oil prices fall amid big build in US inventory
Oil prices fell on Wednesday as industry data pointed to a big build in crude oil and distillate stocks in the United States, the world’s largest oil consumer, and as pressure mounted on OPEC to increase supply. Brent crude futures fell by 98 cents, or 1.2 per cent, to $83.74 a barrel while US West Texas Intermediate (WTI) crude futures tumbled by $1.32, or 1.6 per cent, to $82.59 a barrel.
FPIs buy shares worth Rs 245 crore
Net-net, foreign portfolio investors (FPIs) turned buyers of domestic stocks to the tune of Rs 244.87 crore, data available with NSE suggested. DIIs were net sellers to the tune of Rs 6 crore, data suggests.
US Fed policy outcome today
At the conclusion of its two-day meeting on Wednesday, the US central bank is widely expected to reveal plans to reduce its monthly $120 billion purchases of Treasuries and mortgage-backed securities.US Treasury yields fell and the curve steepened overnight as the market awaited clues on seemingly persistent inflation and future interest rate hikes.
Q2 results today
SBI, Eicher Motors, Bata India, ABFRL, Pfizer, Gujarat State Petronet, Uflex, Grindwell Norton and Gujarat Alkalies & Chemicals are among companies which will announce their September quarter results today.
MONEY MARKETS
Rupee: The rupee gained 19 paise to close at 74.68 against the US dollar on Tuesday, supported by foreign capital inflows into local IPOs amid a lacklustre trend in the domestic equity market.
10-year bond: India’s 10-year bond eased 0.42 per cent to close at 6.360 per cent after trading in 6.353- 6.391 per cent range during the session.
Call rates: The overnight call money rate weighted average stood at 3.31 per cent on Tuesday, according to RBI data. It moved in a range of 2.00-3.55 per cent.
