SGX Nifty up 40 points; here's what changed for market while you were sleeping

Domestic equities are set to sustain the momentum and move further northwards, as the overall sentiment has turned bullish following the encouraging inflation data in the US.

The sustained gains is likely to see Nifty 50 and Sensex testing record highs, after they hit 1-year highs last week.

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 38.5 points, or 0.21 per cent, higher at 18,474.50, signaling that Dalal Street was headed for a positive start on Monday.

• Tech View: Having decisively crossed the key hurdle of 18150 level on Friday, the trend for Nifty 50 has turned bullish, and analysts see higher probability of the index hitting record high levels.
• India VIX: The strong upmove in stocks amid risk-on sentiment pulled down the ‘far gauge’ sharply on Friday. The volatility index ended 7.5% down at 14.4050 points.

US stocks
Stocks on Wall Street rose for the second day on Friday and notched strong weekly gains as data showing a lesser than anticipated rise in inflation last month strengthened prospects for a slowdown in the pace of rate hikes by the Federal Reserve. Technology stocks were among the lead gainers.

• Dow Jones rises 0.1% to 33747.8 pts
• S&P 500 gains 0.9% to 3992.93 pts
• Nasdaq surges 1.9% to 11323.3 pts

Asia shares pause
Asian share markets were taking a breather on Monday after last week's sweeping rally as a top U.S. central banker warned investors against getting carried away over one inflation number, nudging up bond yields and the dollar.

• S&P 500 futures fell 0.2% as of 9:08 a.m. Tokyo time. The S&P 500 rose 0.9%
• Nasdaq 100 futures fell 0.3%. The Nasdaq 100 rose 1.8%
• Japan’s Topix fell 0.3%
• South Korea’s Kospi rose 0.3%
• Australia’s S&P/ASX 200 rose 0.2%
• Hong Kong’s Hang Seng futures rose 1.1%

Oil prices extend gains
Oil prices rose nearly 1% on Monday, extending gains from the previous session as China eased some of its strict COVID-19 protocols, fuelling hopes of a recovery in economic activity and demand at the world's top crude importer. Brent crude futures rose 87 cents, or 0.9%, to $96.86 a barrel by 0041 GMT after settling up 1.1% on Friday.



FII/DII action
Foreign portfolio investors (FPIs) net bought stocks worth Rs 3,958 crore on Friday, provisional data showed. DIIs turned net buyers after selling in the last few sessions. They net bought shares to the tune of Rs 615 crore.

Stocks in F&O ban today
Gujarat Narmada Valley Fertilizers and Punjab National Bank. 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 rose sharply on Friday as a lesser rise in inflation in the US triggered selling in dollar. The rupee posted its biggest single-day gain in four years. The rupee settled at 80.7950 a dollar, the highest since September 2021.

MACRO NEWS
India’s industrial production hit a three-month high of 3.1% in September after contracting 0.7% in August.

Earnings Monday
1,415 companies are scheduled to report earnings for the quarter ended September. Oil and Natural Gas Corp, Dish TV, and NMDC are among the major ones.


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