Market likely to open lower

Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could fall 99 points at the opening bell. HCL Technologies will declare its January-March quarter result today, 7 May 2020.

Overseas, Asian stocks were trading lower on Thursday, digesting weak overnight cues from the U.S. amid mixed corporate earnings and worsening macro data. Markets in Singapore, Malaysia and Indonesia are closed for holidays.

On the economic data front, China's Caixin/Markit services Purchasing Managers' Index for April showed that the country's services sector slumped for the third straight month. It came in at 44.4, an improvement from the 43 reading in March but still off the 50-level that separates growth from contraction.

In US, stocks closed mixed, as investors pored over data showing a collapse in private-sector employment in April and weighed the easing of lockdowns imposed by the coronavirus pandemic. Investors also parsed corporate quarterly updates from some of the nation's largest companies, with Walt Disney Co.'s profit diving more than 90% in the second quarter due to the hit from the pandemic on the entertainment giant.

The Dow Jones Industrial Average fell 218.45 points, or 0.91%, to finish at 23,664.64. The S&P 500 lost 20.02 points, or 0.70%, to end at 2,848.42. The Nasdaq Composite added 45.27 points, or 0.51%, to close at 8,854.39.

Labor-market data released Wednesday from payment processor Automatic Data Processing Inc. ADP, showed private-sector employers shed more than 20 million jobs in April.

The Bank of England will declare its policy decision later this evening. Investors now await Thursday's U.S. weekly jobless claims data and Friday's monthly nonfarm payrolls and unemployment report.

Back home, key domestic benchmarks snapped two-day losing run and ended with decent gains on bargain hunting on Wednesday. Weak domestic economic data and rising number of COVID-19 cases capped gains. The barometer S&P BSE Sensex gained 232.24 points or 0.74% at 31,685.75. The Nifty 50 index jumped 65.30 points or 0.71% at 9,270.90.

Foreign portfolio investors (FPIs) sold shares worth Rs 493.68 crore, while domestic institutional investors (DIIs) bought shares worth Rs 322.47 crore in the Indian equity market on 6 May, provisional data showed.

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