STATE OF THE MARKETS
SGX Nifty signals a positive start
Nifty futures on Singapore Exchange traded 46.5 points, or 0.29 per cent, higher at 15,868, signaling that Dalal Street was headed for a positive start on Tuesday.
- Tech View: Nifty50 formed an indecisive Spinning Top candle on the daily chart on Monday.
- India VIX: The fear gauge jumped 6 per cent to 12.45 level on Monday over its close at 11.76 on Friday.
Asian stocks rise in early trade
Asian shares markets were trading mostly higher on Tuesday in cautious trade ahead of the results of the US Federal Reserve’s latest meeting. MSCI’s broadest index of Asia-Pacific shares outside Japan was up by 0.13 per cent.
- Japan’s Nikkei added 0.62%
- Korea’s Kospi climbed 0.77%
- Australia’s ASX 200 gained 0.35%
- China’s Shanghai Composite rose 0.32%
- Hong Kong’s Hang Seng shed 0.16%
US stocks settled higher
All three major US stock indices eked out record closing highs for a second straight session on Monday as investors were optimistic heading into a slew of earnings from heavyweight technology and internet names this week, while caution ahead of a Federal Reserve policy meeting kept the market in check.
- Dow Jones gained 0.24% to 35,144.31
- S&P 500 rose 0.24% to 4,422.30
- Nasdaq added 0.03% to 14,840.71
Dollar hovers near recent highs
The US dollar hovered just below recent peaks on Tuesday, as investors turned to this week’s Federal Reserve meeting for clues on the policy outlook, while cryptocurrencies pulled back sharply after an attempt to break out of a monthslong range.
- Dollar index fell to 92.584
- Euro gained to $1.1809
- Pound jumped to $1.3827
- Yen rose to 110.27 per dollar
- Yuan flat at 6.4790 against the greenback
FPIs sell shares worth Rs 2,377 crore
Net-net, foreign portfolio investors (FPIs) turned sellers of domestic stocks to the tune of Rs 2376.79 crore, data available with NSE suggested. DIIs, turned buyers to the tune of 1551.27 crore, data suggests.
Q1 earnings today
Dr Reddy’s Laboratories, IndusInd Bank, InterGlobe Aviation, Canara Bank,
, Dalmia Bharat, Dixon Technologies (India), The Ramco Cements, Sanofi India, UCO Bank, TTK Prestige, KPR Mills, Lux Industries and IIFL Finance are among the company that will announce quarterly earnings today.
Glenmark Life IPO opens today
The initial public offer (IPO) of Glenmark Life Sciences will open for subscription on Tuesday. The company and its shareholders seek to raise Rs 1,514 crore from primary market investors. Most analysts are positive on the company’s future prospects and suggest subscribing to the issue. They believe the company, which is a spin-off of
, is well placed in the Active Pharmaceutical Ingredient (API) business.
MONEY MARKETS
Rupee: The rupee slipped by 2 paise to close at 74.42 against the US dollar on Monday, snapping its three-day gaining streak amid a muted trend in domestic equities.
10-year bond: India 10-year bond yield marginally gained 0.64 per cent to 6.17 after trading in 6.16 – 6.18 range.
DATA/EVENTS TO WATCH
- Q1 Earnings: Dr. Reddy’s Lab | IndusInd Bank | InterGlobe Aviation
- BoJ Gov Kuroda Speech (7:30 am)
- UK 5-Year Treasury Gilt Auction (9:45 am)
- EU Loans to Households and Companies (8 am)
- US Durable Goods Orders MoM (12:30 pm)
- US Redbook YoY (12:55 pm)
- US House Price Index YoY (1 pm)
- US 42-day Bill Auction (3:30 pm)
- BOJ Summary of Opinions (11:50 pm)
MACROS
Ratan Tata says board to decide successor
Tata Trusts chairman Ratan Tata has said any decision regarding succession at Tata Sons will be done after due deliberations by the board. “I would like to state on record that no one has contacted me with regard to this development or approached me on behalf of Chandrasekaran (Tata Sons chairman) on his second term. I would like to assure shareholders that any decision regarding the succession will be taken after fair and due deliberations by the board of Tata Sons,” Ratan Tata said in a statement on Monday.
India can offer sops to get Tesla to make in India
India is open to considering lower import duty and other incentives for Tesla if the company decided to manufacture its cars in the country, a senior government official told
ET. Tesla has approached the government to seek reduced customs duty on its cars, reasoning that they should be treated as electric vehicles and not luxury automobiles. “We will be open to consider, especially if they will set up a manufacturing place here,” said the official, who did not want to be identified. Any decision on this count will be sector specific and not for a particular company.
Stuck due to Covid, expats, HNIs face tax mess
Many Indian employees on global assignments, expats and High Net Worth Indians (HNIs) who manage their residencies are set to face tax and other regulatory problems this year given no fresh guidelines by Indian tax authorities for FY22 on people who have had to stay for extended period in India due to Covid disruption. Many executives on global assignments had moved back to India during the peak of the second Covid wave but are now unable to return. Industry trackers say that they may see some complications around their income tax payments, if tax authorities decide to scrutinise them.
Sebi wants PEs to hire iBankers for fund raise
Sebi wants all private equity (PE) and venture capital (VC) funds raising money to hire investment banks — a proposal that fund houses are trying to push back. The regulator wants a third-party intermediary, governed by rules of the capital market, to verify information in a fund’s ‘private placement memorandum.’ PPM is the key document prospective investors skim through before putting money in alternative investment funds (AIFs) — the regulatory term for PE and VC funds.
RBI seeks transparency in forex deals
In the last few weeks, a plan broached by the regulator has caught banks by surprise: the Reserve Bank of India (RBI) wants banks to disclose the money made on foreign exchange deals to clients. The central bank believes this would prevent banks from taking customers for a ride and enable businesses to fish for better exchange rates when they enter into forward contracts with banks, or buy or sell foreign currency in the spot market.
