The Indian stock market is expected to open in the green as trends on SGX Nifty indicate a positive opening for the index in India with a 107 points gain.
The S&P BSE Sensex declined 746.22 points to 48,878.54 on January 22 while the Nifty50 index plunged 218.50 points to 14,371.90.
According to pivot charts, the key support levels for the Nifty are placed at 14,279.83, followed by 14,187.77. If the index moves up, the key resistance levels to watch out for are 14,541.93 and 14,711.97.
Stay tuned to Moneycontrol to find out what happens in 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
The Dow and S&P 500 ended modestly lower on Friday, dragged down by losses in blue-chip technology stalwarts Intel and IBM following their quarterly results, as hopes for a full economic reopening in the coming months waned.
The Dow Jones Industrial Average fell 179.03 points, or 0.57%, to 30,996.98, the S&P 500 lost 11.6 points, or 0.30%, to 3,841.47 and the Nasdaq Composite added 12.15 points, or 0.09%, to 13,543.06.
Asian Markets
Asian shares were on the defensive on Monday as rising COVID-19 cases and doubts over the ability of vaccine makers to supply the promised doses on time soured risk appetite.
MSCI’s broadest index of Asia-Pacific shares outside Japan was barely changed at 718.72. Japan’s Nikkei fell 0.1%. Australian shares were higher after the country’s drug regulator approved the Pfizer/BioNTech COVID-19 vaccine with authorities saying a phased rollout will begin late next month.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the index in India with a 107 points gain. The Nifty futures were trading at 14,464 on the Singaporean Exchange around 07:30 hours IST.
IRDAI panel for separate payments of vehicle, insurance premium
Buyer of a new vehicle may have to pay cost of vehicle and insurance premium through separate cheques, if the recommendations of a committee to review MISP guidelines are accepted by the insurance regulator Irdai.
The Insurance Regulatory and Development Authority of India (Irdai) had issued MISP guidelines in 2017 with the intention of streamlining the process and bringing the practices of vehicle insurance, being sold by automotive dealers under the provisions of the Insurance Act, 1938.
RBI discussion paper proposes tighter rules for big NBFCs
A Reserve Bank of India (RBI) discussion paper on regulation of non-banking finance companies (NBFCs) has proposed tighter regulations for large NBFCs and creation of a multilayer model in the industry. The discussion paper has proposed a multiple layer structure to categorise NBFCs depending on their size and interconnectedness with the system.
Going by this, NBFCs in the lower layer will be known as NBFC-Base Layer (NBFC-BL). NBFCs in the middle layer will be known as NBFC-Middle Layer (NBFC-ML). An NBFC in the Upper Layer will be known as NBFC-Upper Layer (NBFC-UL) and will invite a new regulatory superstructure, the RBI said.
FPIs net investors at Rs 18,456 crore in January so far
Foreign portfolio investors (FPI) remained net buyers to the tune of Rs 18,456 crore so far in January as global liquidity led to continued investment in emerging markets. According to depositories data, overseas investors pumped in Rs 24,469 crore into equities but pulled out Rs 6,013 crore from the bonds market between January 1-22.
The total net investment during the period under review stood at Rs 18,456 crore. "The inflow into the Indian markets continue as global liquidity leads to more investments in emerging markets like India," said Harsh Jain, co-founder and COO at Groww.
Stove Kraft IPO opens today
Kitchen appliances maker Stove Kraft is set to open its initial public offering for subscription on January 25. It is the fourth company to launch IPO in the current month after Indian Railway Finance Corporation, Indigo Paints and Home First Finance Company. The issue will close on January 28. Equity shares will be listed on both BSE and the National Stock Exchange. Edelweiss Financial Services and JM Financial are the book running lead managers to the offer.
The initial public offering comprises fresh issue of Rs 95 crore by the company and offer for sale of 82.50 lakh equity shares by promoters and investors. The offer for sale consists 6,90,700 equity shares by promoter Rajendra Gandhi and 59,300 shares by promoter Sunita Rajendra Gandhi, and 14,92,080 shares by Sequoia Capital India Growth Investment Holdings I and up to 60,07,920 shares by SCI Growth Investments II.
India's forex reserves down by $1.839 billion to $584.242 billion
After touching a record high in the preceding week, the country's foreign exchange reserves declined by $1.839 billion to $584.242 billion in the week ended January 15, RBI data showed on Friday. In the previous week ended January 8, the reserves had climbed by $758 million to touch a lifetime high of $586.082 billion.
In the reporting week, foreign currency assets (FCA) — a major component of the overall reserves — decreased by $284 million to $541.507 billion, weekly data by the Reserve Bank of India (RBI) showed.
Results today
Larsen & Toubro, Kotak Mahindra Bank, Aarti Drugs, APL Apollo Tubes, Astec Lifesciences, Can Fin Homes, Chennai Petroleum Corporation, ICICI Securities, Mahindra Holidays & Resorts India, Navin Fluorine International, RPG Life Sciences, Sharda Cropchem and UCO Bank are among 41 companies that are slated to announce their quarterly earnings on January 25.
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 635.69 crore, while domestic institutional investors (DIIs) net sold shares worth Rs 1,290.35 crore in the Indian equity market on January 22, as per provisional data available on the NSE.
3 stocks under F&O ban on NSE
NALCO, PNB and SAIL are under the F&O ban for January 25. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.
With inputs from Reuters & other agencies