Market may open lower

Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could fall 38 points at the opening bell.

Overseas, Asian market were trading higher. China Caixin services and composite PMIs are due today, 9 October 2017. Stock markets in Japan, South Korea and Taiwan were shut for public holiday.

In US, the S&P 500 and Dow Jones Industrial Average logged minor losses on Friday, 6 October 2017, though the Nasdaq eked out a closing record as investors mostly shrugged off a September jobs report that showed the first monthly drop in payrolls in seven years.

The Dow Jones Industrial Average declined 1.72 points, or 0.01%, to 22,773.67. The S&P 500 fell 2.74 points, or 0.11%, to finish at 2,549.33. The Nasdaq Composite Index ended slightly higher, eking out a record close. The tech-heavy index ended up 4.82 points, or 0.07%, to 6,590.18.

Nonfarm payrolls shrank by 33,000 in September, the first monthly decline since 2010. The unemployment rate fell to 4.2% from 4.4% in August while wages increased by 0.5% to an average of $26.55 an hour, per Labor Department data.

Closer home, foreign portfolio investors (FPIs) sold shares worth a net Rs 1040.40 crore on Friday, 6 October 2017, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 1239.74 crore on Friday, 6 October 2017, as per provisional data.

Among corporate news, Reliance Industries (RIL) will be in focus. Reliance Marcellus II, LLC, a subsidiary of Reliance Holding USA, Inc. (Reliance) and RIL announced the signing of agreements to divest all of its interest in certain upstream assets in north-eastern and central Pennsylvania. The assets, which are currently operated by Carrizo Oil & Gas, Inc., were sold to BKV Chelsea, LLC, an affiliate of Kalnin Ventures LLC, for consideration of $126 million, subject to customary closing terms and conditions. Additionally, Reliance could receive contingent payments of up to $11.25 million in aggregate based on natural gas prices exceeding certain thresholds over the next three years. The assets produce mainly gas and are located in Susquehanna, Wyoming and Clearfield Counties of Pennsylvania.

The sale of the assets will be consummated in accordance with the terms of a purchase and sale agreement, dated 5 October 2017, by and between Reliance and the buyer. The transaction is anticipated to close by the end of the third quarter of FY2018, with a 1 April 2017 effective date. The announcement was made after market hours on Friday, 6 October 2017.

Axis Bank said it has completed the acquisition of Freecharge for a cash consideration of Rs 373.27 crore, on a cash-free, debt-free basis pursuant to the receipt of approval for the said transaction from the Reserve Bank of India (RBI). The announcement was made after market hours on Friday, 6 October 2017.

Axis Bank had earlier entered into a share purchase agreement with Jasper Infotech (Snapdeal) to acquire 100% equity capital of both Accelyst Solutions (Accelyst) & Freecharge Payment Technologies (FPTPL). Accelyst and FPTPL are collectively referred to as Freecharge.

Key benchmark indices logged modest gains on Friday, 6 October 2017. The barometer index, the S&P BSE Sensex, gained 222.19 points or 0.7% to settle at 31,814.22. The Nifty 50 index gained 91 points or 0.92% to settle at 9,979.70.

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