Market Ahead, Aug 6: All you need to know before the opening bell

Investors will keenly watch the monetary policy decision by the Reserve Bank of India (RBI) which will be released today. According to Bank of America Merrill Lynch (BofA), the central bank may opt for a 25 basis point cut in the repo rate. BofA says the RBI will not only cut rates now but will follow it up with another 75 bps cut in the rest of the financial year 2020-21 (FY21).

Besides, June quarter results, stock-specific action, Covid-19 trends, and global cues will continue to guide markets. On the earnings front, over 65 companies are slated to declare their June quarter results today. The list includes names such as Adani Power, Adani Enterprises, GSPL, Vodafone Idea, JK Tyre, Lupin, and Lemon Tree Hotels.

On Wednesday, real estate major DLF reported a Rs 179.5 crore pre-tax loss for the quarter ended June 30. The firm had posted Rs 158.9 crore consolidated profit before tax during the same quarter last year. Its operating revenue plunged 59 per cent year-on-year to Rs 543.6 crore from Rs 1,331.2 crore.

Adani Gas reported a 49 per cent dip in profit before tax for the June quarter, at Rs 62.58 crore, against Rs 122.7 crore in the corresponding period last year.

And now, let's take a look at the market snapshot for today -

The Indian markets are likely to see a muted start as indicated by the SGX Nifty which was trading around 11,139.8 levels, up 12 points around 7:32 AM. In the overnight trade, US stocks' main indexes rose after Disney delivered a surprise quarterly profit, with sentiment aided by signs that a coronavirus fiscal relief package was imminent.

Asia futures were mixed on Wednesday and gold traded mixed, after US and European equities gained overnight on strong earnings results.

In commodities, oil prices were unchanged, struggling to hold onto five-month highs.