Markets are likely to see a positive start on Wednesday as trends on SGX Nifty suggest a firm opening for domestic indices.
Hopes of diminishing US-China tensions and reduced risk of no-deal Brexit prompted investors in Asia to take profit in risk-off trade ahead of key central bank policy meetings.
MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.10% while Japan's Nikkei was trading 0.6% higher during the early trade on Wednesday.
On Wall Street, the S&P 500 ended little changed as a rally in energy and industrial shares countered a drop in the technology and real-estate sectors. The Dow Jones Industrial Average rose 0.28%, the S&P 500 gained 0.03%, and the Nasdaq Composite dropped 0.04% during the overnight trade on Tuesday.
Besides, market participants are expected to track stock-specific action, oil price movement, and the Rupee's trajectory, and investment by FIIs and DIIs to steer through the day.
In the commodities market, oil prices inched towards $63 per barrel mark, their highest levels in six weeks, after an industry report showed that US crude stockpiles fell by more than twice the amount that analysts had forecast. Investors, therefore, shouldn't lose sight of paint, OMCs, and tyre manufacturing companies.
Back home, the S&P BSE Sensex ended Monday's session 0.44% higher at 37,145, and the Nifty50 index settled at 11,003, up 0.52%.
Top headlines for the day, and stocks that are likely to remain in focus--
>> Finance Minister Nirmala Sitharaman on Tuesday said the government was conscious that it needed to respond to the demands of the automobile industry.
>> YES Bank will be in focus in today's session after reports suggested that Rana Kapoor, the bank's co-founder, was in talks with One97 Communications, owner of Paytm, to sell his stake in the private sector lender.
>> The year-long liquidity pain in the NBFC sector is set to linger on through the rest of the fiscal year owing to the deepening slump in the overall economy, an India-Ratings and Research report said.
>> The Reserve Bank of India mandating banks to link certain loans to the external benchmark-based interest rate from October 1 is credit negative to the lenders as it will limit their flexibility in managing risks, Moody's Investors Service said on Tuesday
Here is a stock recommendation by Anand Rathi Shares and Stock Brokers --
The brokerage recommends BUYING ITC at current market price, for the target of Rs 259. The stop loss is at Rs 240.