Stock Market Today: Top 10 things to know before the market opens
India equity benchmarks are expected to open higher on March 27, as trends in SGX Nifty indicate a positive start for the broader index in India with a gain of 116 points.
In the previous session, Sensex fell 398 points to close at 57,527, while the broad-based Nifty declined 132 points to settle at 16,945.
The Nifty formed a long bearish candlestick on the daily charts, breaking the lower threshold of downward sloping channel, making the street nervous about the future trend.
As per the pivot charts, the Nifty has support at 16,917 followed by 16,872 and 16,798. If the index moves up, the key resistance levels to watch out for are 17,064 followed by 17,109 and 17,183.
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:
US Markets
US stocks closed higher on Friday, marking the end of a tumultuous week as Federal Reserve officials calmed investor fears over a potential liquidity crisis in the banking sector.
While all three major U.S. stock indexes started the session sharply lower on the heels of a sell-off among European banks, those losses reversed by closing bell, repeating the intraday roller coaster ride of recent sessions.
At the conclusion of an up-and-down week, marked by a Fed interest rate hike and mounting worries over the health of the banking system, all three indexes notched weekly gains.
The Dow Jones Industrial Average rose 132.28 points, or 0.41%, to 32,237.53, the S&P 500 gained 22.27 points, or 0.56%, to 3,970.99 and the Nasdaq Composite added 36.56 points, or 0.31%, to 11,823.96.
Asian Markets
Asian shares followed U.S. stock futures higher on Monday on hopes authorities were working to ring fence stress in the global banking system, even as the cost of insuring against default neared dangerous levels.
Helping nerves were reports First Citizens BancShares Inc was in advanced talks to acquire Silicon Valley Bank from the Federal Deposit Insurance Corp.
S&P 500 futures firmed 0.5% in early trade while Nasdaq futures added 0.4%.
MSCI’s broadest index of Asia-Pacific shares outside Japan edged up 0.1%, with trading cautious.
Japan’s Nikkei gained 0.1% and South Korea 0.2%.
SGX Nifty
Trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 116 points.
The Nifty futures were trading around 17,041 levels on the Singaporean exchange.
Motisons Jewellers files DRHP for IPO
Jaipur-based Retail Jeweller player Motisons Jewellers, has filed its draft red herring prospectus (DRHP) with the markets regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO) with a fresh issue of 3,34,71,000 equity shares, with no offer for sale component.
The company had filed preliminary IPO papers with Sebi in September last year.
The issue has a face value of Rs 10 per equity share for the proposed share sale.
The Offer is being made through the Book Building Process, wherein not more than 50% of the Offer shall be available for allocation to Qualified Institutional Buyers, not less than 15% of the Offer shall be available for allocation to Non-Institutional Bidders and not less than 35% of the Offer shall be available for allocation to Retail Individual Bidders.
The company, in consultation with the lead banker to the issue, may consider a pre-IPO placement of up to 60,00,000 equity shares for cash consideration. If such placement is completed, the fresh issue size will be reduced.
India’s forex kitty jumps by $12.8 billion to $572.8 billion
India’s forex kitty rose by USD 12.798 billion to USD 572.801 billion in the week ended March 17, the Reserve Bank said on Friday.
In the previous reporting week, the reserves had dropped by USD 2.39 billion to a three-month low of USD 560.003 billion.
It can be noted that in October 2021, the country’s forex kitty had reached an all-time high of USD 645 billion.
STT on sale of options to be hiked by 25%, Finance Ministry clarifies
After hours of confusion regarding the quantum of STT (securities transaction tax) hike on the sale of options, the Finance Ministry finally clarified that it will be hiked to Rs 6,250 on a turnover of Rs 1 crore.
This indicates a 25 percent increase. Earlier, the levy was Rs 5,000.
In the Finance Bill 2023, which was passed by Lok Sabha on March 24 morning, STT on the sale of options was hiked to Rs 2,100 on a turnover of Rs 1 crore against an earlier levy of Rs 1,700.
This created confusion as the Government had already hiked STT from Rs 1,700 to Rs 5,000 in 2016.
Meanwhile, on the sale of futures, the tax has been hiked to Rs 1,250 on a turnover of Rs 1 crore against an earlier levy of Rs 1,000. This indicates a 25 percent hike.
NSE to roll back 6% transaction charges on equity and F&O trading from April 1
The board of National Stock Exchange (NSE) on March 24 stated that it has decided to rolled back the 6 percent increase in transaction charges on equity cash and derivatives segment, with effect from April 1.
In January 2021, the charges were increased by 6 percent partly, to augment the investor corpus in view of certain market exigencies due to broker defaults.
“Further with objective to systematically augment the corpus of NSE IPFT, it was also decided to recalibrate the contribution to NSE IPFT from Rs 0.01 per crore to Rs 10 per crore in cash equities market segment and equity futures and Rs 0.01 per crore to Rs 50 per crore in equity options,” the exchange said in a release.
Oil prices climb in relief rally as banking concerns ease
Oil prices climbed in early trade on Monday as concerns over turmoil in the banking sector eased, while comments by Russian President Vladimir Putin over the weekend ratcheted up geopolitical tensions in Europe.
Brent crude futures gained 33 cents, or 0.4%, to $75.32 a barrel at 0040 GMT. U.S.
West Texas Intermediate crude was at $69.65 a barrel, up 39 cents, or 0.6%.
Brent rose 2.8% last week, while WTI rebounded 3.8% as jitters in the banking sector eased.
FII and DII
Foreign institutional investors (FII) net sold shares worth Rs 1,720.44 crore, whereas domestic institutional investors (DII) purchased shares worth Rs 2,555.53 crore on March 24, National Stock Exchange’s provisional data showed.
Stocks under F&O ban on NSE
The National Stock Exchange has retained Hindustan Aeronautics and Indiabulls Housing Finance on its F&O ban list for March 27. Securities banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.
ByMoneycontrol
