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Market Ahead, September 4: All you need to know before the opening bell

The report that Silver Lake is in talks to take a $1 billion stake in Reliance Retail may cushion the benchmark indices' likely fall

Market Ahead | Markets

BS Web Team  |  New Delhi 

A sharp fall overnight in the mother market may pressure the domestic indices in today's session. The SGX Nifty was trading 110 points down at around 11,430 levels at 7:30 AM, indicating a gap-down open for the Indian today.

Wall Street's main indexes closed sharply lower overnight, making their deepest one-day declines since June as investors dumped the high-flying technology sector. Overall, the Dow Jones fell 2.78 per cent, the S&P 500 lost 3.5 per cent, and the tech-heavy Nasdaq dropped 4.96 per cent.

Asian stocks also declined in early trades although the losses were contained in comparison to Wall Street. Australian ASX 200 lost 2.5 per cent in early trading while Japan's Nikkei and Korea's Kospi fell 1 per cent each.

Back home, the report that Silver Lake is in talks to take a $1 billion stake in Reliance Retail may cushion the benchmark indices' likely fall. According to the report by the Financial Times, the investment comes as Reliance Retail is aiming to sell about 10 per cent in new shares.

Besides these, market participants will today focus on stock-specific moves, Covid-19 related newsflow, foreign fund flow and the Rupee's trajectory.

India yesterday recorded its highest-ever single-day spike of 84,156 in new coronavirus cases. The total now stands at north of 39 lakh. Death toll has now reached 68,569. Meanwhile, Delhi government has now allowed hotels, restaurants and clubs in the national capital to serve liquor on a trial basis from September 9 to 30, albeit with strict Covid-19 distancing norms.

On the results front, a total of 68 companies including Nalco, Future Retail, and Jubilant Life Sciences, are scheduled to announce their June quarter earnings today.

And now, a quick look at other top of the day.

Finance Minister Nirmala Sitharaman yesterday told banks to put in place by September 15 loan restructuring schemes to rescue all viable business units affected by the Covid-19 pandemic. Moreover, finance ministry officials told bankers the ministry was in touch with the RBI to ensure that the regulator provided assistance to them in the resolution process.

The Supreme Court on Thursday said those accounts that had not been declared non-performing assets as on August 31 should not be declared bad loans until the case was disposed of. The court will continue hearing the pleas in the moratorium extension case on September 10.

The Enforcement Directorate is investigating a money laundering case against GVK Group, its chairman and promoter G V K Reddy, and others for alleged irregularities involving Rs 705 crore in the development of Mumbai International Airport. The stock may thus trade actively in today's trade. Vodafone Idea is, once again, expected to be in focus ahead of today's board meet to consider fund raising.

The six wound-up schemes of Franklin Templeton have received Rs 1,498 crore from maturities, prepayments and coupon payments in the last two weeks of August, the fund house has said. With this, the total cash flow into these schemes since the day of suspension has increased to Rs 6,486 crore.

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First Published: Fri, September 04 2020. 07:33 IST