The benchmark Sensex and Nifty indices are likely to open flat or on a negative note on February 26 as trends in the GIFT Nifty indicate a muted start for the broader index with a loss of 19 points.
Indian equity benchmarks ended flat on February 23 after hitting new highs in the early trade as banking stocks bled and investors turned cautious ahead of the release of the GDP numbers along with other data.
The 30-pack Sensex, which climbed a new peak of 73,394.44, gave up the gains to close 0.02 percent lower at 73,142.80. The broad-based Nifty, too, ended 0.02 percent down at 22,212.70 after touching a new high of 22,297.50.
The pivot point calculator indicates that the Nifty is likely to take immediate support at 22,190, followed by 22,163 and 22,121 levels, while on the higher side, it may see immediate resistance at 22,223, followed by 22,301 and 22,344 levels.
Stay tuned to Moneycontrol to find out what happens in the currency and equity markets today. We have collated a list of important headlines across news platforms, which could impact Indian as well as international markets.
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GIFT Nifty
Trends in the GIFT Nifty indicate a flat to negative start for the broader index in India, with a loss of 19 points or 0.09 percent. The Nifty futures were trading around the 22,230 level.
Trade setup for today: Top 15 things to know before the opening bell
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S&P, Dow eke out another record closing high as Nvidia momentum endures
The S&P 500 and Dow Jones Industrial Average eked out another closing record high on Friday, with all three Wall Street benchmarks scoring weekly gains, as artificial intelligence stocks had enough steam to keep the rally chugging along.
AI poster child Nvidia advanced again, rising 0.4 percent, and briefly traded above $2 trillion in market valuation for the first time. Nvidia’s gains on Thursday, the session after its blowout earnings, had propelled the chipmaker to add $277 billion in stock market value, Wall Street’s largest ever daily gain.
The S&P 500gained 1.77 points, or 0.03 percent, to end at 5,088.8 points, while the Nasdaq Composite, lost 44.80 points, or 0.28 percent, to 15,996.82. The Dow Jones Industrial Average rose 62.42 points, or 0.16 percent, to 39,131.53.
A majority of the S&P sectors ended in positive territory. Among the best performers were utilities, opens new tab, as well as materials, opens new tab and industrials. All three climbed between 0.5 percent and 0.7 percent.
For the week, the S&P 500 climbed 1.7 percent, the Dow rose 1.3 percent and the Nasdaq finished 1.4 percent higher.
Asian Markets
Asian shares were taking a breather near seven-month highs on Monday as investors awaited inflation data from the United States, Japan and Europe that will help refine expectations for future rate moves.
Zee Ent sets up independent advisory panel, headed by ex-HC judge, amid ‘negative public opinion’
Zee Entertainment Enterprises Ltd on Friday announced a three-member independent advisory committee to restore shareholders’ confidence and it will be headed by Satish Chandra, retired judge of the Allahabad High Court.
The committee will also have Uttam Agarwal and P V Ramana Murthy, independent Directors of the company.
“Taking cognizance of widespread circulation of misinformation, market rumours, and speculation that has led to formation of negative public opinion about the Company and consequent erosion of investor wealth, the Board of Directors of the Company has constituted an Independent Advisory Committee headed by Dr. Satish Chandra, Retired Judge of the Hon’ble High Court of Allahabad, who shall be the Chairperson of the Committee, and two members of the Board, i.e. Uttam Agarwal and Dr P V Ramana Murthy, Independent Directors of the Company,” said Zee in a stock exchange filing.
India’s forex reserves decline to $616 billion, lowest in two months
India’s foreign exchange reserves declined to $616.10 billion as on February 16, data released by the Reserve Bank of India (RBI) on February 23 showed.
At $616.10 billion, the forex reserves were down $1.13 billion from the previous week. However, it follows an even larger decline of $5.24 billion in the week ended February 9, resulting in the latest figure being the lowest in two months.
The reserves were last lower when they stood at $615.97 billion as on December 15.
Disney, Reliance said to have signed binding India merger pact
Walt Disney Co. and Reliance Industries Ltd. have signed a binding pact to merge their media operations in India, according to people familiar with the matter, as the US entertainment giant recasts its strategy amid intense competition in the world’s most populous country.
The media unit of Reliance, controlled by billionaire Mukesh Ambani, and its affiliates are expected to own at least 61 percent of the merged entity, with Disney holding the rest, the people said, asking not to be identified as the information is not public.
The latest milestone, along with other details, is likely to be announced early this week, the people said.
A Disney representative declined to comment. A Reliance spokesperson didn’t immediately respond to a query on the signing of the binding pact.
Japan January corporate service prices rise 2.1%, BOJ says
Japan’s business-to-business service prices rose 2.1 percent year-on-year in January, slowing from a 2.4 percent annual gain in December, central bank data showed on Monday.
The Bank of Japan is closely watching service price movements to see whether inflationary pressure is broadening in the economy to warrant phasing out its massive stimulus.
Dollar Updates
The dollar was on the front foot on Monday ahead of a packed week filled with key economic releases that will provide further clues on the global interest rate outlook, with a U.S. inflation reading taking centre stage.
The core personal consumption expenditures (PCE) price index – the Federal Reserve’s preferred measure of inflation – is due on Thursday, where expectations are for a 0.4 percent increase on a monthly basis.
Inflation figures in the euro zone, Japan and Australia are also in the data calendar this week, alongside a rate decision from the Reserve Bank of New Zealand (RBNZ) and PMI readings in China.
Ahead of the releases, the greenback edged broadly higher in early Asia trade, pushing the euro down 0.04 percent to $1.0817, while the New Zealand dollar fell 0.55 percent to $0.6164.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 1,276.09 crore, while domestic institutional investors (DIIs) purchased Rs 176.68 crore worth of stocks on February 23, provisional data from the NSE showed.
Stocks under F&O ban on NSE
The NSE has added Canara Bank to the F&O ban list for February 26, while retaining Aditya Birla Fashion & Retail, Ashok Leyland, Balrampur Chini Mills, Biocon, GMR Airports Infrastructure, GNFC, Hindustan Copper, Piramal Enterprises, PVR INOX, RBL Bank, SAIL, and Zee Entertainment Enterprises to the said list. Bandhan Bank, Indus Towers, and National Aluminium Company were removed from the said list.
With inputs from Reuters and other agencies
