Trends in SGX Nifty suggested a positive start for BSE Sensex and Nifty 50 on Tuesday. Nifty futures were trading 69 points or 0.61 per cent higher at 11,428.80 on Singaporean Exchange.
Domestic equity market benchmarks BSE Sensex and Nifty 50 stare at a gap-up opening on Tuesday. In the previous session, headline indices corrected over 2 per cent on the back of geopolitical tensions between China and India. Market participants will react to GDP numbers, where the Indian economy shrank 23.9 per cent during the April-June quarter and eight core industries’ output which contracted 9.6 per cent in July. Besides, the Supreme Court’s verdict AGR judgment, geopolitical tensions, PMI Manufacturing data and August auto sales numbers will be keenly tracked. The implementation of the new margin norms from today will also sway market sentiments.
SGX Nifty: Trends in SGX Nifty suggested a positive start for BSE Sensex and Nifty 50 on Tuesday. Nifty futures were trading 69 points or 0.61 per cent higher at 11,428.80 on Singaporean Exchange.
India GDP records historic contraction: India’s economy contracted by 23.9 per cent in the first quarter of the current fiscal. It is for the first time in 40 years when the GDP registered negative growth. While the construction activity halved in the first quarter, the manufacturing sector had a freefall.
Eight core industries’ output contracts: Contracting for the fifth consecutive month, the output of eight core infrastructure sectors dropped by 9.6 per cent in July due to decline mostly in the production of steel, refinery products and cement.
August auto sales numbers: Auto stocks will remain in focus today as auto companies will start releasing August sales numbers from today.
Global markets: Asian stock markets were trading mixed on Tuesday. Shanghai Composite was down 0.16 per cent, while Hong Kong’s Hang Seng index advanced 0.13 per cent. In overnight trade on Wall Street, the Dow Jones Industrial Average fell 0.78%, the S&P 500 lost 0.22%, and the Nasdaq Composite added 0.68%.
Technical talk: “The short term trend of Nifty seems to have reversed. Follow-through weakness is expected to confirm this reversal pattern. We expect to sell on rise opportunity on any upside bounce back attempt around 11450-11500 levels. One may expect further weakness in the short term and the next lower levels to be watched at 11100-11000,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities