Stock Market Today: Top 10 things to know before the market opens on 3rd August
Equity benchmark indices Sensex and Nifty are expected to open marginally higher on August 3 as trends in the GIFT Nifty indicate a positive start for the broader index with a gain of 12 points.
The BSE Sensex in the previous session lost 676 points to close at 65,782 points while the Nifty50 closed 207 points lower at 19,526 points trading comfortably higher than its 200-day moving average of 19,485 and trying to sustain the ongoing momentum.
The pivot point calculator suggests that the Nifty may get support at 19,446, followed by 19,385 and 19,288.
In case of an upside, 19,640 can be the key resistance followed by 19,700 and 19,797.
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.
GIFT Nifty
The GIFT Nifty indicates a marginally positive to flat start for the broader index with a gain of 12 points after Nifty closed 207 points lower at 19,526 points on August 2.
GIFT Nifty futures stood at 19,513 points.
US Markets
Stocks hit selloff mode Wednesday, and the Nasdaq Composite registered its worst day since February, after Fitch downgraded the long-term rating for the US and risk-off sentiment resurfaced.
The tech-heavy index shed 2.17 percent to end at 13,973.45, while the S&P 500 pulled back 1.38 percent to close at 4,513.39.
The Dow Jones Industrial Average tumbled 348.16 points, or 0.98 percent, to finish at 35,282.52.
Fitch Ratings cut the long-term foreign currency issuer default rating for the US to AA+ from AAA Tuesday night, citing “expected fiscal deterioration over the next three years.
The last time the US got a downgrade from a major ratings agency was in 2011 when Standard & Poor’s cut the rating to AA+ from AAA.
European Markets
European stock markets fell Wednesday as global sentiment was pulled down by a US credit rating downgrade.
The pan-European Stoxx 600 index closed 1.35 percent lower, with all sectors and bourses in negative territory.
Mining and retail stocks were the biggest downward pressures on the index, both down around 2.7 percent. Germany’s DAX and the UK’s FTSE 100 both declined by around 1.36 percent as France’s CAC 40 dropped 1.26 percent.
Asian Markets
Asia-Pacific markets extended their losses on Thursday, tracking Wall Street’s sell-off after ratings agency Fitch downgraded the United States’ long-term credit rating from AAA to AA+.
In Asia, investors will be watching the Caixin private survey for China’s service sector activity in July.
Futures for Hong Kong’s Hang Seng index stood at 19,403, pointing to a weaker open compared to the HSI’s close of 19,517,38.
Hong Kong will also see private surveys for its July business activity. Japan’s Nikkei 225 tumbled 0.95 percent on its open, while the Topix also fell 0.9 percent.
South Korea’s Kospi fell 0.11 percent and the Kosdaq was also down 0.88 percent. South Korean internet giant Kakao saw its second quarter net profit fall by 44 percent, prompting a slide in its shares.
In Australia, the S&P/ASX 200 slid 0.57 percent, and it will release its trade balance for June.
Titan Q1 results: Net profit falls 4.3% to Rs 756 crore; revenue up 26%, misses estimates
Titan Company Ltd. on August 2 reported a consolidated net profit of Rs 756 crore for the June quarter of FY24, registering a decline of 4.3 percent from Rs 790 crore in the same quarter of the previous financial year.
The company reported a 2.7 percent rise in profit from Rs 736 crore in the previous quarter.
The total consolidated revenue is Rs 11,897 crore, rising 25.97 percent from Rs 9,443 crore in the year-ago quarter, the company said in a regulatory filing.
The revenue increased 14.83 percent from Rs 10,360 crore in the previous quarter.
“The year has started well for us with double-digit revenue growth across business segments.
The jewellery business remained the star performer with a 19 percent growth on a YOY basis,” said CK Venkataraman, managing director of the company.
HPCL Q1 results: Net profit comes in Rs 6,765 crore; revenue dips marginally
Hindustan Petroleum Corporation Limited (HPCL) on August 2 reported a consolidated net profit of Rs 6,765.5 crore in the first quarter of the financial year 2023-24 on account of healthy marketing margins.
The state-run oil marketing company had posted a net loss of Rs 8,557 crore in the same period last year as crude oil prices skyrocketed. Sequentially, the net profit of the company increased by 87.5 percent from Rs 3,608 crore in the quarter ending March 31.
Revenue from the sale of products marginally declined to Rs 1.18 lakh crore in Q1FY24, as against 1.21 lakh crore in the same period last year.
The company’s EBITDA in the June quarter stood at Rs 10,945 crore.
IndiGo Q1 results: Airline posts profit of Rs 3,090 crore in Q1 on higher traffic, airfares
InterGlobe Aviation, the operator of low-cost airline IndiGo, on August 2 posted a profit of Rs 3,090.6 crore for the quarter ended June 2023, as compared to a net loss of Rs 1,064 crore in the same period a year ago.
Revenue from operations for IndiGo, the largest airline in the country, rose 29.8 percent to Rs 16,683.1 crore, from the year-ago period when the airline had reported a topline of Rs 12,855 crore.
The surge in revenue was led by a sharp rise in domestic travel during the quarter, as demand for domestic travel in India has continued to surge for the past two quarters. Sequentially, IndiGo had reported a profit of Rs 919 crore on sales of Rs 14,160 crore in Q4 FY22-23.
Oil Prices
Oil prices eased on August 2 after sharp gains, but remained near their highest levels since April, as crude and fuel product inventory data showed robust US demand and offset concerns about the Chinese economy.
Brent crude futures for October last slipped 79 cents, or 0.93 percent, to $84.12 a barrel.
US West Texas Intermediate crude for September fell 91 cents, or 1.12 percent, to $80.46 a barrel.
Dollar Index
The Dollar index traded 0.27 percent higher in futures at 102.57, whereas the value of one dollar hovered near Rs 82.72
Gold Prices
Gold prices pared gains on August 2, hurt by a stronger dollar and a rebound in bond yields as investors digested Fitch’s US credit rating downgrade and focused on nonfarm payrolls data later this week.
Spot gold was last down 0.35 percent at $1,937.20 per ounce, after rising as much as 0.6 percent earlier on some safe-haven bids after ratings agency Fitch downgraded the US government to AA+ from AAA.
U.S. gold futures slid 0.25 percent to $1,973.90.
“Higher interest rates would ultimately put pressure on gold. Also, we are seeing more strength in the dollar.
Prices are trapped below $2,000 and above $1,900 for the time being,” said Daniel Pavilonis, senior market strategist at RJO Futures.
FIIs and DIIs
Foreign institutional investors (FII) offloaded shares worth Rs 1,877.84 crore, while domestic institutional investors (DII) sold Rs 2.23 crore worth of stocks on August 2, provisional data from the National Stock Exchange (NSE) shows.
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