STATE OF THE MARKETS
SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 73.50 points, or 0.42 per cent, higher at 17,777.50, signaling that Dalal Street was headed for a positive start on Monday.
- Tech View: Nifty50 on Thursday formed a bearish candle on the daily charts. Analysts believe a drop below the 50-day exponential moving average (EMA), which the index sustained on Thursday, could open up doors for more weakness ahead.
- India VIX: The fear gauge fell 0.81 per cent to 14.86 level on Thursday over its close at 14.98 on Wednesday.
Asian shares mixed in early trade
Asian stocks made a soft start to the week on Monday, as the return of Covid-19 restrictions in Europe and talk about hastened tapering from the US Federal Reserve put investors on guard. MSCI’s index of Asia-Pacific shares outside
Japan was up 0.13 per cent.
- Japan’s Nikkei declined 0.30%
- South Korea’s Kospi gained 1.10%
- Australia’s ASX 200 dropped 0.50%
- China’s Shanghai advanced 0.39%
- Hong Kong’s Hang Seng fell 0.11%
US stocks settled lower on Friday
Wall Street closed out a week of choppy trading with stocks mostly lower on Friday, though gains for several tech companies pushed the Nasdaq composite to another record high and its first close over 16,000 points.
- Dow Jones shed 0.75% to 35,601.98
- S&P 500 fell 0.14% to 4,697.96
- Nasdaq added 0.40% at 16,057.44
Dollar shines as Covid fears flare over Europe
The safe-haven US dollar traded close to a 16-month high to the euro on Monday on growing anxiety over the impact of surging Covid-19 infections in Europe, with Austria reimposing a full lockdown and Germany considering following suit.
- Dollar index traded at 96.065
- Euro slumped to $1.1274
- Pound stayed at $1.34
- Yen flat at 114.03 per dollar
- Yuan fell to 6.388 against the greenback
Oil prices drop to 7-week lows
Crude oil fell to seven-week lows on Monday, extending declines after the previous session’s slide, on concerns about excess supply after Japan said it was weighing releasing oil reserves and over demand from a worsening Covid-19 situation in Europe. Brent lost 57 cents, or 0.72 per cent, to $78.32 a barrel and US West Texas Intermediate (WTI) crude futures were down 39 cents, or 0.51 per cent, at $75.55 a barrel.
FPIs sell shares worth Rs 3,931 crore
Net-net, foreign portfolio investors (FPIs) turned sellers of domestic stocks to the tune of Rs 3,931 crore, data available with NSE suggested. DIIs were net buyers to the tune of Rs 1,885.66 crore, data suggests.
MONEY MARKETS
Rupee: The rupee erased most of its initial gains on Thursday to settle the week 4 paise higher at 74.24 against the dollar. Some pullback in crude oil prices and a weak greenback in the overseas market supported the local unit.
10-year bond: India’s 10-year bond fell 0.25 per cent to 6.345 after trading in 6.335-6.351 range on Thursday.
Call rates: The overnight call money rate weighted average stood at 3.20 per cent on Thursday, according to RBI data. It moved in a range of 2.00-3.40 per cent.
