The benchmark indices snapped their two-day losing streak on Thursday, thanks to gains in index heavyweight Reliance Industries and steady FII inflows. However, indices may once again face some pressure and edge lower amid signs of a weak start.
Nifty futures on the Singapore Exchange traded 20 points down at 15,177, indicating a flat-to-negative start for D-Street.
Going into trade today, market participants will be tracking key macroeconomic data like IIP, CPI and WPI data for cues. Besides that, stocks specific triggers and Q3 earnings would also guide market mood.
In the overnight session, the Nasdaq and S&P 500 eked out modest gains with investors betting on more fiscal stimulus, but US President Joe Biden said China was poised to “eat our lunch,” a warning that tempered enthusiasm for a market near record highs.
The S&P 500 gained 0.17%, the Nasdaq Composite added 0.38% while the Dow Jones Industrial Average fell 0.02%.
In Asia, early gains fizzled for shares in Japan and Australian stocks slipped while markets in China were shut. Japan’s Topix index dipped 0.1% and Australia’s S&P/ASX 200 Index fell 0.3%.
Meanwhile, in the oil market, prices fell a second day on Friday, extending losses after OPEC cut its demand forecast and the International Energy Agency said the market was still oversupplied. Brent crude was down 0.6% at $60.80 a barrel and US oil was down 0.6% at $57.88 a barrel.
That apart, it looks like there is no stopping the rally in bitcoin. The cryptocurrency as on course for its best week since the start of the year after surging to a fresh record above $49,000 following news that BNY Mellon had become the latest firm to embrace cryptocurrencies.
Now, a look at the stock-specific developments that are likely to sway the market today:
Grasim Industries, Dilip Buildcon, Inox Wind, Godrej Industries, Hindustan Aeronautics, Indiabulls Housing Finance and Sobha are among over 950 companies that are set to post their quarterly numbers today.
Airline stocks will be in focus today after the government increased the upper and lower cap on airfare by up to 30 per cent in a move that’s expected to push up tariffs and improve the financials of airlines hit hard by the pandemic. However, the cap on airline capacity, currently at 80 per cent of the pre-Covid level, has been extended till March 31.
Cigarette-to-hotel conglomerate ITC reported a consolidated net profit of Rs 3,587 crore for the quarter ended December 31, down 11 per cent from Rs 4050.40 crore clocked in the corresponding quarter a year earlier. ITC's board declared an interim dividend of Rs 5 per share for the current financial year.
Sun Pharmaceutical Industries and its senior officials, including Managing Director Dilip Shanghvi, on Thursday, settled with regulator Sebi a case pertaining to an alleged violation of listing obligation and disclosure requirements norms.
Markets regulator Sebi on Thursday allowed Thomas Cook (India) to withdraw its buyback offer because of substantial deterioration in the company's financial position due to the COVID–19 pandemic.
Ashok Leyland on Thursday reported a net loss of Rs 19 crore for the third quarter ended December 31, 2020. The company had reported a net profit of Rs 28 crore in the October-December quarter of 2019-20.