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 95 points gain.
On August 24, the Sensex closed 226 points, or 0.41 percent, higher at 55,555.79 while the Nifty settled at 16,496.45, up 46 points or 0.28 percent.
According to pivot charts, the key support levels for the Nifty are placed at 16,397.23, followed by 16,298.07. If the index moves up, the key resistance levels to watch out for are 16,594.04 and 16,691.67.
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
Wall Street rallied on Monday, and the Nasdaq reached an all-time closing high as sentiment was boosted by full FDA approval of a COVID-19 vaccine and market participants looked ahead to the Jackson Hole Symposium expected to convene later this week.
The Dow Jones Industrial Average rose 215.63 points, or 0.61%, to 35,335.71, the S&P 500 gained 37.86 points, or 0.85%, to 4,479.53 and the Nasdaq Composite added 227.99 points, or 1.55%, to 14,942.65.
Asian Markets
Shares in Asia-Pacific largely rose in Tuesday morning trade after the tech-heavy Nasdaq Composite jumped to a record closing high following the U.S. Food and Drug Administration’s full approval of Pfizer and BioNTech’s Covid-19 vaccine.
The Nikkei 225 in Japan gained 1.15%, as shares of conglomerate Softbank Group surged more than 2%. The Topix index advanced 1.18%. South Korea’s Kospi jumped 1.55%.
SGX Nifty
Trends on SGX Nifty indicate a positive opening for the index in India with a 95 points gain. The Nifty futures were trading at 16,590 on the Singaporean Exchange around 07:30 hours IST.
India to monetise $81 billion worth of state assets over next 4 years
India plans to monetise $81 billion worth of state assets over the next four years under a program announced earlier in the 2021/2022 budget to boost infrastructure spending and spur economic growth in Asia’s third biggest economy.
The Indian government aims to hand already built assets such as gas pipelines, roads, railway stations and warehousing facilities among others to the private sector to operate on a long-term lease, Amitabh Kant, chief executive of government think tank NITI Aayog, told a news conference on Monday.
“The strategic objective of the programme is to unlock the value of investments in brownfield public sector assets by tapping institutional and long-term patient capital which can thereafter be leveraged for further public investments.”
Govt to monetise 25 airports over 4 years under NMP plan, to fetch Rs 20,782 crore
The government is looking to monetise 25 AAI-managed airports, including Varanasi, Chennai, Nagpur and Bhubaneshwar, over the next four years, which could bring in investments worth Rs 20,782 crore. Further, divestment of Airports Authority of India's (AAI) residual stake in four airport JVs has also been considered under the national monetisation pipeline (NMP) unveiled on Monday. This includes the private sector operated airports in Mumbai (26 percent stake), Delhi (26 percent stake), Hyderabad (13 percent stake), and Bangalore (13 percent stake).
The total airport assets for monetisation account for 18 percent of the overall airport assets under management of the AAI. The total value of assets considered for monetisation is estimated at Rs 20,782 crore for FY 2022-25. Under the ambitious NMP, the government has identified 13 sectors, including airports, which could monetise their brownfield infrastructure assets.
Oil jumps 5% after 7 days of losses
Oil prices rose more than 5% on Monday, as a weaker dollar and strong global equities markets boosted crude futures after seven sessions of declines. Brent crude climbed $3.57, or 5.5%, to end the session at $68.75 a barrel after touching its lowest since May 21 at $64.60 during the session.
The expert committee on Urban Co-operative Banks was set up on February 2021 under the chairmanship of former Deputy Governor of Reserve Bank of India (RBI), NS Vishwanathan.
The expert committee on August 23 submitted its report in two parts. The first part of the report lays out the vision document for the UCBs and the second part talks about the committee’s recommendations on different aspects of strengthening and functioning of UCBs.
The committee said that the UCBs have the potential to be the harbinger of economic empowerment of a large number of financially excluded persons in the country.
IMF's $650 billion reserves distribution is 'shot in arm' for global economy: Georgieva
The IMF will distribute about $650 billion in new Special Drawing Rights to its members on Monday, providing a “significant shot in the arm” for global efforts to combat the COVID-19 pandemic, Managing Director Kristalina Georgieva said.
The International Monetary Fund’s largest-ever distribution of monetary reserves will provide additional liquidity for the global economy, supplementing member countries’ foreign exchange reserves and reducing their reliance on more expensive domestic or external debt, Georgieva said in a statement.
Countries can use the SDR allocation to support their economies and step up their fight against the coronavirus crisis, but should not use the fiscal space to delay needed economic reforms or debt restructuring, the IMF said in separate guidance document.
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 1,363.36 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 1,452.51 crore in the Indian equity market on August 23, as per provisional data available on the NSE.
Stocks under F&O ban on NSE
Four stocks – Canara Bank, Vodafone Idea, NMDC and Sun TV Network – are under the F&O ban for August 24. 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.