Stocks may open higher

SGX Nifty:

Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could rise 17 points at the opening bell.

Global markets:

Overseas, Asian stocks are trading mixed on Wednesday, following a mixed Wall Street lead as markets cheered signs of progress in US-Sino trade negotiations but remained cautious about the broader economic outlook.

Top U.S. and Chinese officials reportedly reaffirmed their commitment to a trade deal that had appeared on shaky ground because of worsening bilateral ties following weeks of escalating tensions between the world's two largest economies.

China's central bank said it has injected 200 billion yuan ($28.94 billion) through 14-day reverse repo operations into the banking system on Wednesday.

In US, the S&P 500 and the Nasdaq hit all-time closing highs on Tuesday, but a drop in Apple stock capped gains from positive developments in U.S.-China trade and fresh progress in the medical battle against the coronavirus pandemic. The Dow ended the session lower.

British drugmaker AstraZeneca has begun trials of its antibody-based drug for the treatment and prevention of COVID-19, the latest development in a global race to combat the pandemic.

On the economics front, the Conference Board's Consumer Confidence index plunged to a 6-year low this month, while a report from the Commerce Department showed sales of new homes in July surged to a more than 13-1/2-year high.

Domestic markets:

Back home, domestic equity barometers endured significant volatility and ended with minor gains on Tuesday. Positive global cues boosted sentiment. However, gains were capped due to profit selling after recent steep rise. The barometer index, the S&P BSE Sensex, advanced 44.80 points or 0.12% at 38,843.88. The Nifty 50 index added 5.80 points or 0.05% at 11,472.25. The Nifty has risen 1.41% in three straight sessions.

Foreign portfolio investors (FPIs) bought shares worth Rs 1,481.20 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 172.97 crore in the Indian equity market on 25 August, provisional data showed.

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