Stock Market Today: Top 10 things to know before the market opens
The market is expected to open in the green as trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 16 points.
The BSE Sensex fell 168 points to 60,093, while the Nifty50 dropped 62 points to 17,895 and formed a bearish candle which, to some extent, resembles a Dark Cloud cover kind of pattern on the daily charts, indicating a bearish reversal signal.
As per the pivot charts, we have the key support level for the Nifty at 17,858, followed by 17,812, and 17,737.
If the index moves up, the key resistance levels to watch out for are 18,008, followed by 18,054 and 18,129.
Stay tuned to Moneycontrol 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:
Stock futures were down slightly Monday night as investors attempted to keep building on early 2023 momentum and looked ahead to more corporate earnings.
Futures tied to the Dow Jones Industrial Average lost 14 points, or just under the flatline. S&P 500 futures dropped 0.1%, while Nasdaq-100 futures slid 0.2%.
All three of the major indexes are up coming off a positive first two weeks of trading in the new year.
The Nasdaq Composite is leading the way up 5.9%, as investors bought beat-up technology shares amid rising hopes of an improving landscape for growth stocks.
The S&P 500 and Dow have advanced 4.2% and 3.5%, respectively, since the start of the year.
Asian Markets
Asia-Pacific markets traded mixed Tuesday as investors await a slew of Chinese economic data.
Economists are expecting a quarterly contraction of 0.8% in the nation’s gross domestic product and 1.8% annualized growth, according to a poll by Reuters.
The Nikkei rose 1.05%, leading gains in the region, and the Topix gained 0.73%.
As the Bank of Japan kicks off its two-day monetary policy meeting, 10-year Japanese government bond yields will be in focus as it continues to test the upper ceiling of the central bank’s tolerance range.
SGX Nifty
Trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 16 points.
The Nifty futures were trading around 17,961 levels on the Singaporean exchange.
RBI tweaks norms related to acquisition for banks
The Reserve Bank of India on Monday tweaked norms related to acquisition and holding of shares in banks to ensure that their ultimate ownership and control remain well diversified and the major shareholders are ‘fit and proper’ on a continuing basis.
The central bank has issued ‘Master Direction’ Reserve Bank of India (Acquisition and Holding of Shares or Voting Rights in Banking Companies) Directions, 2023′.
“These directions are issued with the intent of ensuring that the ultimate ownership and control of banking companies are well diversified and the major shareholders of banking companies are ‘fit and proper’ on a continuing basis,” it said.
Govt cuts windfall tax on crude, export taxes on aviation fuel and diesel
India has cut its windfall tax on crude oil and exports of aviation turbine fuel (ATF) and diesel, according to a government notification dated January 16.
It cut its windfall tax on crude to 1,900 rupees ($23.28) per tonne from 2,100 rupees per tonne, effective Tuesday.
The government also cut export tax on ATF to 3.5 rupees per litre from 4.5 rupees per litre, and cut export tax on diesel to 5 rupees per litre from 6.5 rupees per litre, the notification said.
Results on January 17
Bank of India, ICICI Lombard General Insurance Company, ICICI Prudential Life Insurance Company, Delta Corp, Eris Lifesciences, Hathway Cable & Datacom, Mastek, Metro Brands, Network18 Media & Investments, TV18 Broadcast, Newgen Software Technologies, Shalby, Tata Investment Corporation, and Tata Metaliks will be in focus ahead of quarterly earnings on January 17.
FII and DII data
Foreign institutional investors (FIIs) sold shares worth Rs 750.59 crore, continuing selling for the 17th consecutive session, but domestic institutional investors (DIIs) managed to offset the FII outflow, to a major extent, by net buying shares worth Rs 685.96 crore on January 16, as per provisional data available on the NSE.
Risk of global recession high, say economists
In the latest Chief Economists’ Outlook, the World Economic Forum (WEF) spoke to leading economists to find out their views on likely headwinds that businesses may face in 2023 and sought their advice on how to best tackle such economic turbulences.
The WEF report has found that the outlook for the global economy is “gloomy, with almost one in five respondents now considering a global recession to be extremely likely in 2023, more than twice as many as in the previous survey in September 2022”, the forum said.
India’s energy imports soar in April-December 2022
Energy imports by India jumped in the nine months ended December as domestic demand remained high amid the global energy crisis.
Among imported commodities, the highest surge was reported in petroleum, crude and petroleum products, followed by coal, coke and briquette, according to the data released by Ministry of Commerce & Industry on January 16.
During April-December this fiscal, the country’s overall exports rose by 9 percent to $332.76 billion. Imports during the period increased by 24.96 percent to $551.7 billion.
According to the experts, Russia is expected to retain the position of top supplier of crude oil to India in the medium term unless the latter faces some regulatory pressure.
Stocks under F&O ban on NSE
The National Stock Exchange has added L&T Finance Holdings and retained Indiabulls Housing Finance and GNFC under its F&O ban list for January 17.
Securities thus banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.
By:Moneycontrol
