SGX Nifty up 31 points: Asian stocks, US markets, dollar movement, Q4 earnings & more
SGX Nifty up 31 points: Asian stocks, US markets, dollar movement, Q4 earnings & more
Domestic stock indices are likely to kick off the week with positive momentum, thanks to positive global cues. Asian stocks were up in the early trade while US stocks settled higher on Friday following upbeat jobs data and strong earnings from Apple. Domestic investors would be keenly aawaiting Q4 earnings of a handful companies and the listing of Mankind Pharma later today. Here's what you should know before the opening bell:
Nifty outlook
Nifty on Friday saw a negative divergence on the daily chart, which indicates a loss of momentum on the upside, said Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas.
"We believe that the index has completed a Five Wave advance at Friday’s high of 18,268 and now one should expect a 38.2 per cent retracement of the rally from 16,828-18,268. We change our short-term outlook on Nifty to negative for a target of 17,800, which coincides with the 20-day moving average. On the weekly time frame, Nifty formed a Shooting Star pattern, which has bearish implications," he said.
SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 31 points, or 0.17 per cent, higher at 18,155, hinting at a positive start for the domestic market on Monday.
Asian stocks moved higher
Asian shares crept higher on Monday as investors braced for a week where US inflation data will test wagers the next move in interest rates will be down, while worries about a possible credit crunch weighed on the dollar. MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.56 per cent. Japan's Nikkei dropped 0.71 per cent; China's Shanghai Composite added 0.09 per cent; Hong Kong's Hang Seng jumped 0.43 per cent and Korea's Kospi surged 0.94 per cent.
Oil prices inch up
Oil prices rose slightly in early Asian trade on Monday as fears of a recession in the US which drove prices down for three straight weeks for the first time since November, began to recede. Brent crude futures were up 6 cents at $75.36 a barrel at 0022 GMT. US West Texas Intermediate (WTI) crude futures were up 8 cents at $71.42.
Dollar pauses after fall
The dollar was catching its breath on Monday after dropping last week when the Federal Reserve hinted at an end to the US rate increase cycle, with traders turning their focus to US inflation and bank lending data for the week ahead. Dollar index dropped for a second week in a row last week, losing about 0.4 per cent. Sterling hovered at $1.2633, just below an 11-month high hit on Friday. The euro was losing a momentum at $1.1021. Yen slipped slightly and was last seen 0.2 per cent higher at 135.05.
Wall Street stocks settle higher
US stocks rallied on Friday, with the Dow posting its biggest one-day percentage gain since January 6, as shares of Apple surged more than 4 per cent after upbeat results and US jobs data pointed to a resilient labor market. Dow Jones rose 546.64 points, or 1.65 per cent, to 33,674.38, the S&P500 gained 75.03 points, or 1.85 per cent, to 4,136.25 and the Nasdaq Composite added 269.02 points, or 2.25 per cent, to 12,235.41.
Q4 earnings today
Pidilite Industries, Canara Bank, UPL, CG Power and Industrial Solutions, Indian Bank, Kansai Nerolac Paints, Carborundum Universal, Aarti Industries, Exide Industries, Happiest Minds Technologies, Apar Industries, Mahanagar Gas, HFCL, VIP Industries, Kalpataru Power Transmissions and Birlasoft are among the companies that will announce their earnings for the March 2023 quarter.
Stocks in F&O ban
Two stocks- Gujarat Narmada Valley Fertilizers & Chemicals (GNFC) and Manappuram Finance- have been put under the ban by National Stock Exchange (NSE) for Monday, May 8. Derivative contracts in a security are banned when it crosses 95 per cent of the market-wide position limit (MWPL). No new positions can be created in the derivative contracts of said security. This prohibition is lifted when the open interest in the stock drops below 80 per cent of the MWPL across exchanges.
FPIs buy shares worth Rs 778 cr
Provisional data available with NSE suggest that FPIs turned net buyers of domestic stocks to the tune of Rs 777.68 crore on Friday. However, domestic institutional investors (DIIs) turned net sellers of Indian equities to the tune of Rs 2,198.77 crore.
Rupee gains 2 paise against dollar
The rupee edged up by 2 paise to settle at 81.78 against the US dollar in a range-bound trade on Thursday, tracking the weakness of the American currency in the overseas market. Forex traders said significant foreign fund inflows and crude oil prices trading below US dollar 75 a barrel also supported the local unit. Currency markets were shut on Friday.