“Stock Market News: Trends in the SGX Nifty indicate a gap-up opening for the broader index in India with a gain of 161 points on Monday on the back of rally in the US and Asian markets and upbeat macro fundamentals”
The market is expected to open in the green as trends in the SGX Nifty indicate a gap-up opening for the broader index in India with a gain of 161 points.
The BSE Sensex tanked 453 points to 59,900 and the Nifty50 dropped 133 points to 17,860, while a similar trend was also seen in broader markets. The Nifty Midcap 100 and Smallcap 100 indices corrected eight-tenth of percent each.
As per the pivot charts, we have the key support level for the Nifty at 17,805, followed by 17,745, and 17,649. If the index moves up, the key resistance levels to watch out for are 17,997, followed by 18,056 and 18,153.
Stay tuned to Shri Ram Traders Club to find out what happens in the currency and equity markets today. We have collated a list of important headlines across news platforms which could impact Indian as well as international markets:
US Markets
Wall Street’s main indices gained more than 2 percent on Friday after December payrolls expanded more than expected even as wage increases slowed and services activity contracted, easing worries about the Federal Reserve’s interest rate hiking path.
The Dow Jones Industrial Average rose 700.53 points, or 2.13 percent, to 33,630.61; the S&P 500 gained 86.98 points, or 2.28 percent, at 3,895.08; and the Nasdaq Composite added 264.05 points, or 2.56 percent, at 10,569.29.
Asian shares rallied on Monday as hopes for less aggressive US rate hikes and the opening of China’s borders bolstered the outlook for the global economy.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.6 percent, with South Korean shares gaining 1.1 percent. Japan’s Nikkei was closed for a holiday but futures were trading at 26,235, compared with a cash close on Friday of 25,973. S&P 500 futures added 0.2% and Nasdaq futures 0.3 percent.
SGX Nifty
Trends in the SGX Nifty indicate a gap-up opening for the broader index in India with a gain of 161 points. The Nifty futures were trading around 18,120 levels on the Singaporean exchange.
Government pegs FY23 GDP growth at 7%
India’s gross domestic product (GDP) is estimated to grow by 7 percent in 2022-23, the statistics ministry said on January 6. In the fiscal year 2021-22, the GDP had grown by 8.7 percent.
The country’s nominal GDP growth for FY23 is estimated at 15.4 percent versus 19.5 percent in FY22, the ministry said in a release. The gross value added growth for FY23 is estimated at 6.7 percent versus 8.1 percent in FY22, it added.
“Real GDP or GDP at Constant (2011-12) prices in the year 2022-23 is estimated at Rs 157.60 lakh crore, as against the Provisional Estimate of GDP for the year 2021-22 of Rs 147.36 lakh crore, released on May 31, 2022. The growth in real GDP during 2022-23 is estimated at 7.0 percent as compared to 8.7 percent in 2021-22,” the ministry noted.
TCS Q3 earnings
Tata Consultancy Services will be in focus on January 9 as the country’s largest software services exporter will announce its December quarter (Q3FY23) earnings.
US added 223,000 jobs in December, a slight easing in pace
The US economy produced jobs at a slower but still comfortable rate at the end of 2022, as higher interest rates and changing consumer habits downshifted the labour market without bringing it to a halt.
Employers added 223,000 jobs in December on a seasonally adjusted basis, the Labor Department reported Friday, in line with economists’ expectations although the smallest gain since President Joe Biden took office.
The gradual cooling indicates that the economy may be coming back into balance after years of pandemic-era disruptions — so far with limited pain for workers. The unemployment rate ticked down to 3.5 percent, back to its level from early 2020, which matched a low last seen in 1969.
FII and DII data
Foreign institutional investors (FII) net sold shares worth Rs 2,902.46 crore, while domestic institutional investors (DII) net bought shares worth Rs 1,083.17 crore on January 6, as per provisional data available on the NSE.
SBI-led lenders not keen to grant additional loans to Vodafone Idea: Sources
Banking industry sources told CNBC TV-18 on January 6 that the lenders are not keen to fund the beleaguered telecom operator. According to persons who are aware of the development, the State Bank of India (SBI)-led lenders have sought clarity on whether the interest of Rs 16,130 crore on deferred adjusted gross revenue, which Vi is liable to pay, will be converted into government equity.
The lenders have also argued that Vi would use the fresh loan to repay the existing debt, which would not leave the company with any additional financial resources that could be injected into its business operations, the sources added.
Gold jumps to highest since June on suggestions of less-hawkish Fed path
Gold prices shot up over 1 percent on Friday to seven-month highs as Treasury yields and the dollar fell after US economic data cemented expectations of a less-hawkish Fed, setting the metal on track for its third consecutive weekly rise.
Spot gold jumped 1.9 percent to $1,867.18 per ounce by 1:43 pm ET (1843 GMT), their highest since June 13 last year. Prices have gained about 2.1 percent so far this week, the most since the week of December 2.
Stocks under F&O ban on NSE
The National Stock Exchange has retained Indiabulls Housing Finance under its F&O ban list for January 9. Securities thus banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.