SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 41.5 points, or 0.23 per cent higher at 17,897, signaling that Dalal Street was headed for a positive start on Tuesday.
- Tech View: Nifty50 on Monday formed a small bearish candle on the daily chart and negated the higher highs and lows that it was making over the past three sessions, suggesting a pause in the momentum.
- India VIX: The fear gauge rose 6.67 per cent to 18.05 level on Monday over its close of 16.92 on Friday.
Asian stocks drop in early trade
Asian stocks opened lower on Tuesday following a mixed close on Wall Street, where investors were eyeing the risk of a US government shutdown. MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.24 per cent.
- Australia’s ASX 200 dropped 0.93%
- New Zealand’s DJ declined 0.87%
- Japan’s Nikkei shed 0.73%
- China’s Shanghai Comp down 0.04%
- Hong Kong’s Hang Seng added 0.65%
US stocks settled mostly lower
Financial and oil-linked equities were among the Wall Street winners on Monday on a mostly down day as markets weighed the risk that congressional gridlock could lead to a US government shutdown.
- Dow Jones rose 0.02% to 34,869.37
- S&P500 fell 0.30% to 4,443.11
- Nasdaq declined 0.50% to 14,969.97
Dollar gains, tracking US Treasury yields
Dollar rose, bolstered by the rise in Treasury yields, ahead of a slew of Federal Reserve speakers this week who could affirm expectations of the start of asset purchase reduction before the end of the year.
- Dollar index stood at 93.37
- Euro slipped to $1.1698
- Pound fell 0.05% to $1.3707
- Yen stood at 110.99 per dollar
- Yuan traded at 6.46 against the greenback
Oil prices ease after 5-day rally
Oil markets eased on Tuesday after a five-day rally as investors took profits on fears that higher prices may weaken fuel demand, though market sentiment remained firm amid tight supply. Brent crude futures fell 17 cents, or 0.2 per cent, to $79.36 a barrel after surging 1.8 per cent and reaching its highest since October 2018 on Monday.
DIIs buy equities worth Rs 1,398 crore
Net-net, foreign portfolio investors (FPIs) turned sellers of domestic stocks to the tune of Rs 594.63 crore, data available with NSE suggested. DIIs were buyers to the tune of Rs 1,397.69 crore, data suggests.
MONEY MARKETS
Rupee: The rupee dropped by 15 paise to close at 73.83 against the US dollar on Monday as a stronger greenback against key rivals and rising crude oil prices weighed on investor sentiment.
10-year bond: India 10-year bond rose 0.45 per cent to 6.209 after trading in 6.191-6.214 range.
DATA/EVENTS TO WATCH
- JP BoJ Monetary Policy Meeting Minutes (5:20 am)
- EA ECB President Lagarde Speech (5:30 pm)
- US Wholesale Inventories MoM Adv AUG (6 pm)
- US Fed Chair Powell Testimony (7:30 pm)
- US CB Consumer Confidence SEP (7:30 pm)
- US Fed Bowman Speech (11:10 pm)
MACROS
Govt to borrow Rs 5.03 lakh crore in H2 FY22
The government will borrow Rs 5.03 lakh crore in the second half of the current fiscal to fund the revenue gap for reviving the pandemic-hit economy. During the first half (April-September), the government has raised Rs 7.02 lakh crore by issuing bonds.
Invesco may invest in Swiggy at $10 b valuation
Swiggy is finalising a new financing round of about $500-600 million that is likely to be led by US asset manager Invesco, according to three people aware of the matter. The exercise is likely to catapult the valuation of the online food delivery company to as much as $10 billion, which is double the valuation ascribed to the seven-year-old venture a few months ago.
Maruti to raise production in October
Maruti Suzuki has told its component suppliers to be ready for the production of 160,000-180,000 cars and SUVs in October, as the nation’s largest passenger vehicle maker is making arrangements to secure supply of chipsets through multiple channels, ET reported.
High LNG prices to hurt: GAIL chairman
Record-high liquefied natural gas (LNG) prices will hurt the sector in the long run, slow industries’ switch to natural gas, and delay India’s plan of launching LNG-powered trucks, GAIL chairman Manoj Jain has said.
WFH beginning to end in many companies
Procter & Gamble, Wipro, HDFC, Axis Bank, Yes Bank and Deloitte are among the top corporates getting ready to re-open their offices as the steel-and-glass symbols of shining India are scrubbed clean to play host to the first set of staff in about a year and a half. While some of the corporates have started operations at pre-Covid levels, others are seeking to get more employees to office. The financial pack – banks, NBFCs and fintech companies – are at the vanguard of the move.
