NEW DELHI: A 5% spike in US stocks in overnight trade on Trump administrations efforts to shore up investor confidence has had a rub-off on Asian markets, and will most likely cheer Indian investors too, ahead of the expiry of December F&O contracts.
Let's check out what all might matter to Dalal Street on Thursday:
Singapore trading sets stage for firm start
Nifty futures on the Singapore Exchange were trading 33 points, or 0.31 per cent, higher at 10,794, indicating a positive for the Nifty50.
Tech view: Nifty forms Hammer-like candle
Nifty50 staged a smart rebound on Wednesday and closed around its 50-day exponential moving average (EMA). During the session, the index saw short coverings, as it retraced around 62 per cent of its last leg of rally from the low of 10,333. It might be too early to talk about a trend reversal, said analysts, who pointed out that the index needs to take out the immediate hurdle range of 10,750-10,480 before building up momentum on the higher side.
F&O rollovers at 69%, expiry today
Market-wide rollovers till Wednesday stood at 47 per cent against average rollovers of 42 per cent seen in the last three series. Nifty rollovers stood at 61 per cent compared with an average rollover of 55 per cent in the last three series.
Asian shares trade higher
Asian shares on Thursday latched on to a dramatic surge on Wall Street as markets, battered by a recent drum roll of deepening political and economic gloom, cheered upbeat US data and the Trump administrations effort to shore up investor confidence, Reuters reported. Australian shares jumped 1.5 percent as trading resumed after the Christmas break, while Japans Nikkei pulled out of bear market territory it had entered on Tuesday, surging 3.7 percent in mid-morning trading.
Crude prices edge higher
US West Texas Intermediate (WTI) crude futures, were up 26 cents, or 0.56 percent, at $46.48 per barrel, Reuters reported. They jumped 8.7 per cent to $46.22 per barrel in the previous session. Brent crude oil futures had yet to trade. They rose 8 per cent to $54.47 a barrel the day before.
US Fed Chair's job not in jeopardy
Kevin Hassett, chairman of the White House Council of Economic Advisers, said on Wednesday that US Federal Reserve Chairman Jerome Powells job was not in jeopardy. Just two days ago President Donald Trump described the Fed as the “only problem our economy has” as the central bank raises interest rates.
US stocks rally 5% on Wednesday
The Dow Jones Industrial Average rose 1,086.25 points, or 4.98 per cent, to 22,878.45, the S&P500 index gained 116.6 points, or 4.96 per cent, to 2,467.7 and the Nasdaq Composite index added 361.44 points, or 5.84 per cent, to 6,554.36.
Jalan to head panel on RBI reserves
The Reserve Bank of India has formed an expert committee under former governor Bimal Jalan to decide the appropriate level of reserves that the regulator should hold. This comes more than a month after the banks central board proposed the panels formation following a dispute between then governor Urjit Patel and the government over that and various other issues, which eventually led to his departure.
Anand Rathi Wealth shelves IPO
Anand Rathi Wealth Services has decided to withdraw its proposed initial public offering amid uncertain market conditions. The wealth management arm of brokerage Anand Rathi Financial said it has applied to the markets regulator Securities and Exchange Board of India (Sebi) to put its share sale plans on hold.
Re rally earns India tag of best performer
Indian indices and select heavyweight shares continue to do well in dollar terms, thanks to the rupees robust rally since the October lows. The Nifty has gained 4.2 per cent in absolute terms since October 9 — when the rupee hit a low of 74.4 against USD — and in dollar terms, it has risen 10.5 per cent.
HFC, NBFC officials meet PM
Executives from housing finance companies and nonbanking finance companies met Prime Minister Narendra Modi on Wednesday to discuss ways to restore confidence in the sector that is seeking to overcome a slowdown in growth after the IL&FS defaults.
Carlyle-GIC set to acquire 10% in SBI Life
A consortium of US private equity firm Carlyle Group and Singapores sovereign wealth fund GIC is set to buy a 10% strategic stake in SBI Life Insurance Co from BNP Paribas Cardif as the French insurer looks to trim its holding in the 17-year-old joint venture with State Bank of India to meet regulatory terms for a public float.
DIIs sell Rs 138 cr worth of equities
Foreign portfolio investors (FPIs) bought Rs 80 crore worth of domestic stocks on Wednesday, data available with NSE suggested. DIIs were net buyers to the tune of Rs 137.63 crore, data suggested.