The Singapore Exchange’s Nifty futures traded 60.5 points, or 0.32 percent, lower at 18,814, suggesting that Tuesday’s domestic market will start off poorly.
In response to gloomy global indications, domestic market indices are set to open lower on Tuesday. In the opening session, Asian stocks fell. Because it was a holiday, the US stock market was closed over night. Crude oil prices were relatively stable in early trade as the dollar rose. In advance of the Opening Bell, be aware of the following:
Outlook for the Nifty
The pivotal resistance level of 18,900 is where Nifty is currently situated. According to Nagaraj Shetti, Technical Research Analyst at HDFC Securities, the index has been in a sustained uptrend for the past few weeks, and a few negative patterns haven’t had much of an impact on it.
“The 20-day EMA has not been violated on the downside for the past three months, while the immediate support of the 10-day EMA has been intact for the last 15 sessions. The Nifty index is still in a short-term rise. Over the course of the following one or two sessions, there may be an upward bounce from the lows. 18,670 is the immediate support. At 18,900, there is a significant obstacle, he remarked.
The SGX Nifty indicates a bad start.
The Singapore Exchange’s Nifty futures traded 60.50 points, or 0.32 percent, lower at 18,814, suggesting that Tuesday’s domestic market will start off poorly.
Early trade sees a decline in Asian stocks.
Ahead of the PBOC meeting, where the Chinese central bank is anticipated to lower interest rates, Asian shares fell in early trade on Tuesday. The MSCI’s largest index of shares outside of Japan from Asia-Pacific fell 0.57 percent. South Korea’s Kospi dipped lower by 0.30 percent, China’s Shanghai fell 0.41 percent, Hong Kong’s Hang Seng fell 0.87 percent, and Japan’s Nikkei fell by 0.11 percent.
At $76 per barrel, oil prices
Tuesday’s oil prices were uneven ahead of China’s announcement on lending benchmarks; it is largely anticipated that China will lower key rates to support a sluggish recovery. Brent crude cost $76.12 per barrel, up $3 cents. Due to a US federal holiday, there was no settlement on Monday, keeping the price of US West Texas Intermediate (WTI) crude at $71.29.
Dollar-yen exchange rates reach a 7-month high.
Tuesday saw a broad increase in the US dollar and a seven-month high against the yen. In contrast, the yuan declined as a result of China lowering two benchmark lending interest rates for the first time in ten months. Other than that, cautious trading saw the US dollar edging slightly higher after a US holiday on Monday kept the market quiet. Following the announcement, the offshore yuan declined marginally and was down more than 0.1% at 7.1734 per dollar, while the dollar reached its highest level in early Asia trade at 142.26 yen. The sterling increased by 0.5% to $1.2797 while the euro fell by 0.3% to $1.0917.
Wall Street stock trading will resume
After being closed on Monday due to a federal holiday, the major US indices will open for business today. The S&P500 index decreased 0.36 percent on Friday to end the day at 4,409.77. The Dow Jones Industrial Average index fell 0.31 percent to 34,301.03 points and the Nasdaq Composite index fell 0.68 percent to 13,689.57 points.
Ban on stocks in F&O
The National Stock Exchange (NSE) has banned trading in eight companies for Tuesday, June 20: Hindustan Aeronautics (HAL), L&T Finance Holdings, Tata Chemicals, Zed Entertainment (ZEEL), Manappuram Finance, Delta Corp, and India Cements. When a security’s derivative contracts reach 95% of the market-wide position limit (MWPL), they are prohibited. There can be no new positions.
Shares sold by FPIs are valued Rs 1,031 billion.
According to preliminary NSE data, FPIs sold domestic stocks for a net amount of Rs. 1,030.90 crore on Monday. Domestic institutional investors (DIIs) sold 365.20 crore rupees worth of Indian stocks on the open market.
Rupee declines 4 paise to the dollar
On Monday, the rupee lost 4 paise to conclude the day at 81.94 against the US dollar as a result of the US dollar’s strength against its main rivals abroad and the domestic stock market’s downward trend. The decline in the domestic unit was nevertheless restrained by a trend in the price of petroleum, according to FX brokers.