Market may tumble on weak global cues

Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could fall 57.50 points at the opening bell on weak global cues.

Overseas, Asian stocks edged lower on growing doubts about US President Donald Trump's ability to fulfil his economic agenda.

Confidence was shaken further after a van mowed through crowds of tourists in Barcelona on Thursday, 17 August 2017, killing at least 13 people and injuring more than 100 in an attack authorities were treating as terrorism. Spanish police said they had killed four attackers in a shootout south of the city overnight.

US stocks tumbled overnight as the broader market appeared to be fretting about a number of bearish factors, including a record-setting market that has been viewed as too rich and due for a pullback, concerns about the health of the economy and the Federal Reserve's comfort in normalizing interest rates amid levels of inflation that have run below their 2% target, considered indicative of a normally functioning economy.

The Dow Jones Industrial Average fell 274 points, or 1.2%, lower at 21,750, as the broader stock market faced its biggest selloff since last week's North Korea-fueled jitters. The S&P 500 index meanwhile, ended down 1.5% at 2,430 and the Nasdaq Composite Index shed 1.9% at 6,221.

Concerns have grown over Trump's ability to push through his economic goals such as tax cuts and infrastructure spending following the exodus of executives from two prominent business councils in reaction to his response to clashes last weekend in Charlottesville, Virginia.

Trump on Thursday, 17 August 2017, again decried the removal of pro-slavery Civil War Confederacy monuments, which have fuelled US racial tensions, stoking worries that some of his key policy staffers and aides may quit.

Closer home, foreign portfolio investors (FPIs) sold shares worth a net Rs 981.05 crore yesterday, 17 August 2017, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 828.59 crore yesterday, 17 August 2017, as per provisional data.

Key benchmark indices settled with minor gains after a volatile trading session yesterday, 17 August 2017. The barometer index, the S&P BSE Sensex, rose 24.57 points or 0.08% to settle at 31,795.46. The Nifty 50 index advanced 6.85 points or 0.07% to settle at 9,904.15. Weakness in European stocks and subdued trading on Asian bourses kept investors' risk-appetite in check.

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