The Indian stock market is expected to open in the red as trends on SGX Nifty indicate a negative opening for the index in India with a 29 points loss.
The BSE Sensex plunged 871.13 points, or 1.74 percent, to 49,180.31 on March 24 while the Nifty50 fell 265.40 points, or 1.79 percent, to 14,549.40. According to pivot charts, the key support levels for the Nifty are placed at 14,472.17, followed by 14,394.93. If the index moves up, the key resistance levels to watch out for are 14,689.47 and 14,829.53.
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
The S&P 500 closed lower on Wednesday, unable to halt the prior day’s selloff, as investors set aside optimism about the economic recovery by Federal Reserve Chair Jerome Powell and Treasury Secretary Janet Yellen.
The Dow Jones Industrial Average fell 5 points, or 0.02 percent, to 32,418.15, the S&P 500 lost 21.37 points, or 0.55 percent, to 3,889.15 and the Nasdaq Composite dropped 265.81 points, or 2.01 percent, to 12,961.89.
Asian Markets
Asian markets will likely open mixed on Thursday after global equities dipped and U.S. investors considered which stock market sectors would most benefit from strengthening growth.
Australian S&P/ASX 200 futures lost 0.18% in early trading. Hong Kong’s Hang Seng index futures lost 0.42%. Japan’s Nikkei 225 futures rose 0.39%.
SGX Nifty
Trends on SGX Nifty indicate a negative opening for the index in India with a 29 points loss. The Nifty futures were trading at 14,531 on the Singaporean Exchange around 07:30 hours IST.
Oil prices slide
Oil prices skidded around 2% as fuel demand concerns re-emerged alongside fresh coronavirus pandemic lockdowns, trimming overnight gains spurred by the grounding of a giant container ship blocking crude shipments through the Suez Canal.
Brent crude futures slid $1.14, or 1.8%, to $63.27 a barrel at 0139 GMT, after jumping 6% overnight. U.S. West Texas Intermediate (WTI) crude futures dropped by $1.27, or 2.1%, to $59.91 a barrel, after climbing 5.9% overnight.
CBI books DHFL promoters for creating over 2.6 lakh fake home loan accounts
The Central Bureau of Investigation (CBI) has registered another case against promoters of DHFL (Dewan Housing Finance Ltd) for allegedly creating 2.60 lakh fake home loan accounts under the Pradhan Mantri Aawas Yojana. The promoters fraudulently availed benefits under PMAY to the tune of Rs 14,046 crores. The apex investigation agency found that Rs 11,755.79 crores were diverted to accounts created in name of shell companies out of the Rs 14,046 crores.
DHFL had availed subsidy of Rs 1,887 crores under PMAY from the Center. The case registered by CBI is against promoters of DHFL Kapil Wadhawan and Dheeraj Wadhawan who are already facing two other cases by CBI in the Yes bank scam and UP power Corporation scam.
The case as per officials has been registered by CBI after a forensic audit report was submitted by auditing firm Grant Thornton which revealed irregularities by DHFL. The loans were mostly granted and processed in the name of economically weaker sections, low and middle income groups.
SEBI orders assets attachment of former Yes Bank MD and CEO Rana Kapoor
Markets regulator Sebi on March 24 ordered attachment of bank accounts as well as share and mutual fund holdings of Rana Kapoor, former MD and CEO of Yes Bank, to recover dues of over Rs 1 crore. The decision has been taken after Kapoor failed to pay the fine imposed on him.
Further, the Securities and Exchange Board of India (Sebi) issued a demand notice to Kapoor in February this year, although he did not pay any dues. The pending dues, totalling Rs 1.04 crore, include an initial fine of Rs 1 crore and an interest of Rs 4.56 lakh and a recovery cost of Rs 1,000, the attachment notice showed on Wednesday.
NPA clock ticks again after SC lifts stay; IBC back in action from today
The bad-loan clock has started ticking again with the Supreme Court lifting the stay that barred banks from classifying fresh NPAs (non-performing assets) after August 31. Also, the Insolvency and Bankruptcy Code (IBC) will start operations after a year’s gap. What impact will these developments have on banks?
Experts are of the view that there will be a rise in gross NPA levels for banks as proforma NPAs will now become actual. “We have analysed the numbers of 22 large banks that have reported proforma NPAs. With the Supreme Court stay being lifted, these figures will become actual NPAs. The expected increase will be around 1.2 per cent (in GNPAs),” said Sanjay Agarwal, head of BFSI at CARE rating agency.
Do not see India's rating downgrade: Finance Minister Nirmala Sitharaman
Finance Minister Nirmala Sitharaman on Wednesday said India enjoys an investment grade rating and she does not see a rating downgrade because of higher spending. Replying to a debate on Finance Bill 2021 in the Rajya Sabha, she cited low inflation, higher GDP growth, record foreign investment and lower fiscal deficit to defend her government's handling of the economy.
Indian IPO fundraising at 13-year peak
Indian fundraising via IPOs is at a 13-year high as a flood of foreign money and unprecedented interest from mom-and-pop investors spur more listings, making India one of the hottest IPO markets in 2021.
Indian companies have raised $2.2 billion through initial public offerings (IPOs) so far this year, the highest amount since 2008, Refinitiv data showed. That follows $9.2 billion last year, the third biggest behind the United States and China, thanks to a flurry of listings in late 2020.
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 1,951.90 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 612.80 crore in the Indian equity market on March 24, as per provisional data available on the NSE.
1 stock under F&O ban on NSE
Vodafone Idea is under the F&O ban for March 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