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Asian stocks were steady on Tuesday as traders evaluated a record-high close for US equities and awaited key central bank decisions amid concerns about elevated inflation. Several companies are expected to announce their September quarter results today. Bank of India, Bharti Airtel Ltd, Bombay Dyeing, Dabur India, Hindustan Petroleum Corp., and Jindal Steel & Power Ltd are among them.
Petrol and diesel prices witnessed a hike for the seventh consecutive day across the country on Tuesday. In Delhi, with an increase of ₹0.35 in petrol and diesel prices, their cost rose to ₹110.04 per litre and ₹98.42 per litre respectively today. In the country's financial capital, Mumbai, the petrol and diesel prices increased to ₹115.85 per litre and ₹106.62 per litre respectively. Petrol and diesel have been priced at ₹110.49 and ₹101.56 per litre respectively in West Bengal's Kolkata and ₹106.66 and ₹102.59 per litre respectively in Chennai. Meanwhile, the central government is in talks with several oil-exporting countries on the issue of supply and demand of oils but there is no possibility of immediate relief in prices.
The initial public offering (IPO) of FSN E-Commerce Ventures Ltd, which runs an online marketplace for beauty and wellness products Nykaa, was subscribed 81.78 times on the last day of subscription on Monday, mainly helped by huge interest from institutional investors. (Read here)
Chinese tech stocks rallied by the most in three weeks, tracking its US peers overnight, on expectations that easing US-Sino trade tensions would help the battered sector. Hong Kong’s Hang Seng Tech Index jumped as much as 4%, poised to snap two days of losses. Bilibili Inc. and Hua Hong Semiconductor Ltd. led the gains, each rising at least 8.3%. The broader Hang Seng Index advanced 1.9%. Investors are starting to wade back into the tech sector after a combination of over-heated markets and Beijing’s regulatory crackdown sent the gauge tumbling over 40% from a February high. A report that Treasury Secretary Janet Yellen said the US expected China to meet its commitments under the Phase 1 trade agreement and could look at eventually lower tariffs in a reciprocal way also improved sentiment.
Last week’s corrective move was followed by a decent gap up opening to kick-start the festive week on a cheerful note. In the initial hour, market gave up some gains but fortunately at lower levels, the strong buying emerged across the broader market. In fact as the day progressed, the buying momentum accelerated to reclaim the 17,900 mark. Eventually, Nifty ended the session with nearly one and half a percent gains.
Markets were extremely oversold and after testing the key support of 17600, some respite was on cards. It’s certainly a good start as we have stepped into a Diwali week. Generally market do not correct in this week and looking at today’s strong rebound, market seems to be repeating the history. However we are still not completely out of the woods as we can see multiple hurdles in the vicinity of 100 – 150 from hereon. Technically speaking, Nifty has precisely closed at the ‘200-SMA’ on the hourly chart and not far from here, we can see previous important support zone of 18,000–18,100, which is now likely to act as strong resistance. Hence, unless we do not surpass 18,100 and stays above it, we may see some profit booking to come again. Hence, momentum traders are advised not to get carried away, till the time important levels are not reclaimed. On the flipside, 17,800 followed by 17,700 are to be seen as immediate supports.
Stocks to buy today as recommended by analysts: Hindalco, Tata Power, Birlasoft, SAIL, ITC, and Sun TV (Read here)
Samara Capital-promoted Sapphire Foods India Ltd has fixed the price band for its initial public offering (IPO) between ₹1,120 and ₹1,180 per share. Earlier, the firm said its IPO will open on 9 November and close on 11 November. (Read here)
Stocks ended a wobbly day modestly higher on Wall Street, enough to notch more all-time highs for major indexes. The S&P 500 rose 0.2% and the Dow Jones Industrial Average rose 0.3%. The Nasdaq rose 0.6%. Smaller company stocks far outpaced the broader market. Energy stocks made solid gains as oil prices rose. Bond yields also rose. This week traders will be watching another policy meeting by the Federal Reserve, which is in the process of considering how to wind down its extraordinary support measures for the economy. More companies are reporting quarterly earnings and the government releases its monthly jobs report Friday.
Bitcoin prices today declined as the world's largest cryptocurrency by market capitalization was trading 0.5% lower at $61,443. The digital token is up 110% this year so far after hitting a record high of near $67,000 in October. Other cryptocurrencies' performance were mixed over the last 24 hours. (Read here)
Bandhan Bank, TCS, and Kotak are among stocks to watch. (Read here)
Asian stocks were steady on Tuesday as traders evaluated a record-high close for US equities and awaited key central bank decisions amid concerns about elevated inflation. Hong Kong advanced after an index of Chinese stocks traded in the US jumped the most since early October. Japan fell and China was little changed. US contracts fluctuated after optimism over corporate earnings saw the S&P 500 hit a new peak and the Dow Jones Industrial Average touch 36,000 for the first time. Electric-vehicle giant Tesla Inc. extended a rally. The US 10-year Treasury yield and the dollar nudged higher ahead of the Federal Reserve meeting. The policy review comes amid price pressures stoked by the most-widespread US supply crunch since the oil crisis of 1973. The Fed is expected to announce a tapering of its massive bond-purchase programme. Australia’s central bank meeting Tuesday is being shadowed by speculation that it will scrap a bond-yield target after opting against defending it. The nation’s sovereign bonds slipped. Bank of England policy makers head into their 4 November gathering knowing that a failure to deliver a once-unthinkable interest-rate hike would raise questions over their credibility with markets. The earnings season has underpinned the equity market, countering worries about inflation and the prospect of tighter monetary policy. But pandemic-era supply-chain challenges coupled with higher energy costs could become a bigger test if they feed into wider, more enduring price pressures.
Stocks
S&P 500 futures were little changed as of 10:28 a.m. in Tokyo. The S&P 500 rose 0.2%
Nasdaq 100 futures slipped 0.1%. The Nasdaq 100 rose 0.4%
Topix index fell 0.5%
Australia’s S&P/ASX 200 Index lost 0.6%
Kospi index rose 1.5%
Hang Seng Index rose 1.8%
Shanghai Composite Index was little changed
Currencies
The Japanese yen was at 114.07 per dollar
The offshore yuan was at 6.3933 per dollar
The Bloomberg Dollar Spot Index rose less than 0.1%
The euro traded at $1.1597
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