SGX Nifty up 70 points; here's what changed for market while you were sleeping

The strong up move on Tuesday indicated that domestic equities could sustain gains on Wednesday, but trends in the global markets will continue to guide investors. Options data indicates 18100-18400 as the trading range for the Nifty 50.

Here's breaking down the pre-market actions:

STATE OF THE MARKETS

SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 69.5 points, or 0.38 per cent, higher at 18,357, signaling that Dalal Street was headed for a positive start on Wednesday.

• Tech View: Charts indicate that Nifty 50 has to hold above 18200 points for an upmove towards 18350, whereas initial support is placed at 18088 level.
• India VIX: The sharp upmove in equities today drove risk-on sentiment in the market and pulled down the volatility index by 6.4% to 13.84 points on Tuesday.

US stocks rally
US stocks rallied on Tuesday, with the S&P 500 closing at its highest level in 2-1/2 months, as a sales forecast by Best Buy dampened concerns high inflation would lead to a dismal holiday shopping season while a bounce in oil prices helped lift energy shares.

• Dow up 1.18%
• S&P 500 rises 1.36%
• Nasdaq gains 1.36%

Asian stocks advance
Asian share markets were mostly in positive territory on Wednesday despite rising COVID-19 cases in mainland China leaving investors uncertain over how much the fresh outbreaks could slow the reopening of the world's second-largest economy. MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.3%, after U.S. stocks ended the previous session with gains. The index is up 12% so far this month.

• Futures on the S&P 500 were little changed as of 9:29 a.m. Tokyo time. The S&P 500 rose 1.4%
• Nasdaq 100 futures were little changed. The Nasdaq 100 rose 1.5%
• Hang Seng futures rose 0.3%
• Australia’s S&P/ASX 200 Index rose 0.9%
• South Korea’s Kospi index rose 0.8%

Dollar tentative
The US dollar was steady on Wednesday as investors tempered their risk appetites ahead of the release of minutes of the Federal Reserve's policy meeting that could offer clues on the outlook for inflation and interest rates.

Oil prices climb
Oil prices rose in early trade on Wednesday after industry data showed U.S. crude stockpiles fell more sharply than expected last week, highlighting supply tightness ahead of a looming European Union ban and G7 price cap on Russian oil.

Brent crude futures gained 25 cents, or 0.3%, to $88.61 a barrel at 0101 GMT, while U.S. West Texas Intermediate (WTI) crude futures rose 35 cents, or 0.4%, to $81.30 a barrel.

FII/DII action
Foreign portfolio investors (FPIs) on Friday net sold shares worth Rs 1,594 crore, provisional data showed. DIIs, however, purchased shares to the tune of Rs 1,263 crore.

Stocks in F&O ban today
Nil. Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.

Rupee: The Indian unit closed higher on Tuesday, snapping a four-session losing streak. It ended at 81.66 per dollar against the previous close of 81.84

IPO LISTING
Inox Green Energy Services will debut on the bourses on Wednesday, and grey market trends indicate muted gains for the stock. The stock was traded at a slight discount in the grey market as of Tuesday.


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