Friday’s sharp rally on Wall Street may have a rub off on domestic stocks, which are likely to kick off the week on a positive note. Auto stocks would be in focus ahead of the release of October auto sales data. All eyes would be on policy reviews of central banks scheduled for later in the week. Here’s what you should know before the Opening Bell:
Nifty outlook
Nifty50 had on Friday formed an indecisive candle on the weekly chart. The index has been failing to breach the 17,800 level on a closing basis. Analysts believe the index may face resistance near 17,800-17,850 levels while they see the 17,700 level, followed by the 17,500 level, to act as key supports.
SGX Nifty signals a solid start
Nifty futures on the Singapore Exchange quoted 174.50 points, or 0.98 per cent, higher at 18,009, hinting at a strong start for the domestic market on Monday.
Asian markets rise in early trade
Asian markets, barring mainland China and Hong Kong, rose on Monday morning ahead of the US Federal Reserve’s policy review later this week. Japan’s Nikkei jumped 1.58 per cent to 27,539.50. Korea’s Kospi gained 0.86 per cent to 2,287.92. Markets across Taiwan, Australia and New Zealand rose up to 1.6 per cent. China’s Shanghai Composite edged 0.13 per cent lower while Hong Kong’s Hang Seng was down 0.23 per cent.
Wall Street on Friday
Economic prints such as better-than-expected consumer spending and easing wage growth sent US stocks soaring on Friday. US stocks gained even as the US Fed was expected to raise interest rate by 75 basis points in its November 1-2 policy meet. Dow Jones jumped 828.52 points, or 2.59 per cent, to closed at 32,861.80. S&P 500 advanced 93.76 points, or 2.46 per cent, to 3,901.06. Meanwhile, the Nasdaq Composite gained 309.78 points, or 2.87 per cent, to 11,102.45.
3 Nifty cos to report Q2 results
Bharti Airtel, Tata Steel, Larsen & Toubro, Motherson Sumi Wiring, Equitas Small Finance Bank, Supreme Industries, Castrol India and Timken India are among dozens of companies that would announce their September quarter results later in the day.
Corporate actions today
A total of nine stocks such as Nestle India, Asian Paints, Symphony, Colgate-Palmolive and ICICI Securities will go ex-dividend today. Shares of Sanmit Infra will go ex-split from a face value of Rs 10 to face value of Re 1. Shares of TD Power Systems will also go ex-split. This scrip will split from a face value of Rs 10 to Rs 2.
Stocks in F&O ban
No security is banned in the F&O segment today. Derivative contracts in a security is 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 the security. The prohibition is lifted when the open interest in the stock drops below 80 per cent of the MWPL.
Auto sales data
Auto stocks will be in focus ahead of October sales data. Emkay Global expects wholesales to grow in passenger vehicle (PVs), commercial vehicles (CVs), three wheelers (3-Ws) and two-wheelers (2-Ws), supported by the healthy festive season. Tractor wholesales are likely to decline on account of inventory de-stocking. “Our channel checks indicate robust double-digit growth in PVs, CVs, and 3Ws and single-digit growth in 2Ws and tractors for the festive season’s retail sales,” Emkay Global said.
FPIs sell shares worth Rs 1,569 crore
Provisional data available with NSE suggests FPIs were net buyers of domestic stocks to the tune of Rs 1,568.75 crore. Domestic institutional investors (DIIs), on the other hand, were sellers of equities to the tune of Rs 613.37 crore.
Rupee at 82.47 against dollar
The domestic currency fell 14 paise to settle at 82.47 against the dollar on Friday. Analysts said as a stronger greenback overseas weighed on the domestic currency but positive trend in domestic stocks and fresh foreign fund inflows capped the loss.
Also read: Sensex, Nifty: IPOs, quarterly results, US Fed rates – factors that may influence market this week
Also read: Nifty momentum still positive; 17,800 a key hurdle, say technical analysts