The market is expected to open in the green as trends in the SGX Nifty indicate a positive opening for the broader index in India with a gain of 98 points.
The BSE Sensex climbed 114 points to 60,950, while the Nifty50 rose 65 points to 18,117, and formed a bullish candle on the daily charts, taking support at 17,900-18,000.
As per the pivot charts, the key support level for the Nifty is placed at 18,045, followed by 18,017 and 17,972. If the index moves up, the key resistance levels to watch out for are 18,135, followed by 18,163 and 18,208.
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
Global shares rose on Friday and the US dollar fell, after jobs data came in stronger than expected but also hinted at some slack in the tight American labour market, raising hopes the Federal Reserve might ease up on monetary tightening.
The Dow Jones Industrial Average rose 1.26 percent to 32,403.22, the S&P 500 gained 1.36 percent to 3,770.55 and the Nasdaq Composite added 1.28 percent to 10,475.25.
Asian Markets
Shares in the Asia-Pacific rose early Monday as investors digest the latest US jobs report and look ahead to the midterm elections.
The Nikkei 225 in Japan was 0.75 percent higher and the Topix also gained 0.75 percent. In South Korea, the Kospi was up 0.86 percent. The S&P/ASX 200 traded 0.43 percent higher in Australia. MSCI’s broadest index of Asia-Pacific shares outside Japan was 0.4 percent higher.
SGX Nifty
Trends in SGX Nifty indicate a positive opening for the broader index in India with a gain of 98 points. The Nifty futures were trading around 18,301 levels on the Singaporean exchange.
Oil falls as China sticks to strict Covid policy
Oil prices fell more than 2 percent at the start of Asia trade on Monday after Chinese officials on the weekend reiterated their commitment to a strict Covid containment approach, dashing hopes of an oil demand rebound at the world's top crude importer.
Brent crude futures dropped $1.58, or 1.6 percent, to $96.99 a barrel by 2336 GMT, after hitting as low as $96.50 earlier. US West Texas Intermediate crude was at $90.84 a barrel, down $1.77, or 1.9 percent, dropping to a session-low of $90.40 a barrel earlier in the session.
US job growth strong in October
US job growth increased more than expected in October, but the pace is slowing and the unemployment rate rose to 3.7 percent, suggesting some loosening in labour market conditions, which would allow the Federal Reserve to shift towards smaller interest rates increases starting in December.
The Labor Department's closely watched unemployment report on Friday also showed annual wages increasing at their slowest pace in just over a year last month. Household employment decreased and the employment-to-population ratio, viewed as a measure of an economy's ability to create employment, for prime-age workers fell by the most in 2-1/2 years.
The survey of establishments showed nonfarm payrolls increased 261,000 last month, the smallest gain since December 2020. Data for September was revised higher to show 315,000 jobs added instead of 263,000 as previously reported.
India's forex kitty swells by $6.56 billion to $531 billion
India's forex reserves increased by $6.561 billion to reach $531.081 billion for the week ended October 28, the RBI said on Friday. The overall reserves, which have been on a declining spree, had dropped by $3.847 billion to $524.52 billion in the previous reporting week.
Foreign currency assets (FCA), a major component of the overall reserves, increased by $5.772 billion to $470.847 billion during the week to October 28, according to the Weekly Statistical Supplement released by the RBI on Friday.
Results on November 7 and November 8
Results on November 7: Coal India, Divis Laboratories, One 97 Communications (Paytm), PB Fintech (Policybazaar), Bharat Petroleum Corporation, Aditya Birla Capital, Affle India, Ceat, Cera Sanitaryware, Endurance Technologies, Greenply Industries, India Cements, KEC International, RateGain Travel Technologies, Sun Pharma Advanced Research Company, Sundaram-Clayton, Tata Teleservices (Maharashtra), Ujjivan Small Finance Bank, and Vascon Engineers will be in focus ahead of September FY23 quarter earnings on November 7.
Results on November 8: Aegis Logistics, Arvind, Bajaj Electricals, Bosch, CARE Ratings, Godrej Consumer Products, Honeywell Automation, Jubilant FoodWorks, Dr Lal PathLabs, Laxmi Organic Industries, Metropolis Healthcare, MRF, NCC, Piramal Pharma, Shankara Building Products, Sundram Fasteners, VST Industries, and Welspun India will be in focus ahead of September FY23 quarter earnings on November 8.
FII and DII data
Foreign institutional investors (FIIs) have net bought shares worth Rs 1,436.25 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 548.59 crore on November 4, as per provisional data available on the NSE.
Fed officials keep rate-hike pivot on the radar despite strong jobs data
Four Federal Reserve policymakers on Friday indicated they would still consider a smaller interest rate hike at their next policy meeting, despite new data showing another month of robust job gains and only small signs of progress in lowering inflation.
The United States added 261,000 jobs last month, the Labor Department said in its closely watched employment report, well above the 200,000 gain expected by economists in a Reuters poll. Data for September was revised higher to show 315,000 jobs created instead of the previously reported 263,000, but the unemployment rate ticked up to 3.7 percent from 3.5 percent.
Stocks under F&O ban on NSE
The NSE has retained LIC Housing Finance under its F&O ban list for November 7. Securities thus banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.
With inputs from Reuters and other agencies