The BSE Sensex and NSE Nifty are likely to open in red on Tuesday tracking SGX Nifty and weak global cues.
At 8.14 am (IST), SGX Nifty was down 59.50 points, or 0.76 per cent, at 7,870.
Asian shares slipped to one-month lows on Tuesday as the spectre of higher borrowing costs in the United States and slower global economic growth prompted investors to trim their exposure to riskier assets. Hang Seng, Nikkei and Shanghai were down 1.31 per cent, 0.59 per cent and 0.60 per cent, respectively.
On Wall Street, the S&P 500 index suffered its worst loss in six weeks on Monday, falling 1 per cent.
Back home, the BSE Sensex staged a spectacular recovery from over 600-point deficit logged in early trade on Monday, but settled 144 points lower at 26,121.40 on BJP-led NDA’s defeat in Bihar assembly polls.
Indian rupee extending it weakness for the third straight day on Monday depreciated substantially against dollar on strong demand for American currency from banks and importers, amid sharp surge in dollar globally on data showing a stronger-than-expected rise in US non-farm payrolls in October. Besides, sell-off in the equity market also hit the rupee sentiment. The Indian rupee slumped to over 1-month low. This is the lowest level of the rupee since September 16 when it had hit 66.51. Finally, the rupee ended at 66.44, 68 paise weaker from its previous close of 65.76 on Friday.
Stock markets will remain closed on Wednesday and Thursday for Diwali Laxmi pujan and Diwali Balipratipada, except for a one-hour Muhurat trading on Wednesday evening. Both the stock exchanges, Bombay stock Exchange (BSE) and National Stock Exchange (NSE), will conduct a special Muhurat Trading session on account of Diwali on November 11. Trading would be conducted between 5.45 pm and 6.45 pm on the day.
(With inputs from agencies)