The Indian markets are likely to start on a subdued note today as indicated by the SGX Nifty, which is down about 100 points, amid weak global cues. Today being the weekly expiry day, traders can expect some volatility during the session.
On the Wall Street, the S&P 500 fell 0.7 per cent and the Dow declined 0.9 per cent on Wednesday as data showed US private employers laid off 20 million workers in April. The tech-heavy Nasdaq ended half a per cent higher.
Asian stocks were also largely down in early deals. Japan's Nikkei and Australia'a ASX dipped 0.2 per cent each while South Korea's Kospi was flat. In commodities, Brent crude was up 0.7 per cent at $29.95 per barrel.
Hindustan Unilever will be in focus today as UK-based GSK will offload shares worth Rs 26,000 crore in the FMGC major. Over 133 million shares are being to investors through a special block window, the term sheet reviewed by Business Standard shows.
In terms of corporate results, YES Bank yesterday posted a pre-tax loss of Rs 4,765.9 crore for the fourth quarter ended March 2020 on huge rise in provisions for bad loans. However, the lender posted a net profit of Rs 2,628.6 crore for the quarter as against net loss of Rs 1,506.4 crore a year ago. For FY20, as a whole, it posted a whopping loss of Rs 16,418 crore, on a standalone basis.
A total of nine companies including HCL Tech and RBL Bank are scheduled to announce their March quarter earnings today. According to analysts, HCL Technologies may see a decline in EBIT margins on a sequential basis on account of some revenue hit due to disruptions caused by the Covid-19 outbreak.
Meanwhile, the total number of coronavirus cases in India has reached 52,987. And the country's death toll at present is 1,785, according to Worldometer. The global tally of coronavirus infections currently stands at over 38 lakh. Yesterday, Union Minister Nitin Gadkari said public transport might open soon with some guidelines.
A clutch of automakers including Maruti Suzuki, Hero MotoCorp, and TVS Motor, among others, have already announced they have got the clearance from the governments of the states they operate in to resume operations.The companies also announced opening their dealerships in a phased manner. Maruti Suzuki said it would restart production at its Manesar plant on May 12.
Moreover, markets regulator Sebi has given certain relaxations to companies regarding compliance requirement for rights issues opening up to July 31. The regulator said the abridged letter of offer, application form and other issues material to shareholders can be undertaken by electronic transmission.
Read by: Kanishka Gupta