Indian equity benchmarks are expected to open lower, as indicated by Nifty Futures trading on the Singapore Stock Exchange. Nifty Futures on Singapore Exchange, also known as SGX Nifty Futures, fell 45 points or 0.26% to 17,378 amid weak signals from other Asian markets.
Here are the key things to know before markets open on Monday
Asian stock markets got off to a hesitant start on Monday and the dollar held firm after a stunning US payrolls report pushed back recession talk but also bolstered the case for rate hikes. more important.
Markets quickly estimated there was about a 70% chance the Federal Reserve would raise rates by 75 basis points in September, pushing two-year yields up 20 basis points on Friday and further inverting the curve.
The hit data only raised the stakes for the June U.S. consumer price report due Wednesday, which could see a slight pullback in overall growth, but likely a further acceleration in inflation. underlying inflation.
Singapore’s Straits Times fell 0.3%, Hong Kong’s Hang Seng fell 0.83%, Taiwan Weighted fell 0.33% and Japan’s Nikkei rose 0.2%.
Stocks closed lower on Friday after fresh data from the buoyant U.S. job market suggested the Fed won’t be reining in its aggressive rate hikes anytime soon.
The S&P 500 and Nasdaq fell, while the Dow Jones Industrialists posted a slight gain.
Employers unexpectedly ramped up hiring last month and added hundreds of thousands more jobs than expected. While the data suggests the economy may not be in recession, it also undermines investors’ hopes that inflation is about to peak. Treasury yields jumped.
The S&P 500 fell 6.75 points, or 0.2%, to 4,145.19.
The Dow Jones Industrial Average rose 76.65 points, or 0.2%, to 32,803.47.
The Nasdaq fell 63.03 points, or 0.5%, to 12,657.55.
The Russell 2000 Small Business Index rose 15.37 points, or 0.8%, to 1,921.82.
Checking the price of gold and crude oil
Benchmark U.S. crude for September delivery rose 47 cents to $89.01 a barrel on Friday. Brent crude for October delivery rose 80 cents to $94.92 a barrel.
Gold for December delivery fell $15.70 to $1,791.20 an ounce. Silver for September delivery fell 28 cents to $19.84 an ounce and copper in September was up 7 cents to $3.55 a pound.
The dollar fell from 132.91 yen to 135.11 Japanese yen. The euro fell to $1.0178 from $1.0249.
Foreign institutional investors (FII) bought shares worth Rs 1,606 crore on Friday while domestic institutional investors sold shares worth Rs 496 crore.
Reversing a two-game losing streak, the rupee appreciated 16 paise to close at 79.24 against the US dollar on Friday after the Reserve Bank raised interest rates by 50 basis points.
On the interbank foreign exchange market, the national currency opened at 79.15 per dollar and oscillated between 78.94 and 79.29.
Actions in brief
National Bank of India: The country’s largest lender, the State Bank of India (SBI), on Saturday reported a 7% fall in its standalone net profit to Rs 6,068 crore for the first quarter of the current financial year due to the decline revenues.
The bank had reported a net profit of Rs 6,504 crore in the April-June 2021-22 quarter.
Its total stand-alone revenue fell to Rs 74,998.57 crore in the first quarter of 2022-23 from Rs 77,347.17 crore in the same period a year ago, SBI said in a regulatory filing.
The bank’s operating profit fell 33% to Rs 12,753 crore from Rs 18,975 crore in the April-June quarter of the previous fiscal year, impacted by Mark to Market (MTM) losses on its portfolio of ‘investment.
Mario: FMCG Marico Ltd announced on Saturday a 3.28% increase in its consolidated net profit to Rs 377 crore for the first quarter ended June.
The company had recorded a net profit of Rs 365 crore in the April-June period a year ago, Marico said in an ESB filing.
Its operating income rose slightly by 1.3% to Rs 2,558 crore, from Rs 2,525 crore in the corresponding quarter of the previous year.
Quote: Pharmaceutical major Cipla is betting big on digitization and emerging segments like biosimilars and mRNA-assisted drugs to drive its next phase of growth.
The Mumbai-based drugmaker is also optimistic about maximizing value opportunities in complex generics in the US market.
It is also looking to increase its sales of basic formulations in the United States through respiratory and peptide franchises while monitoring upcoming complex product launches in the second half of the current fiscal year.
Maruti-Suzuki: Maruti Suzuki India will increase production and aims to produce 20 lakh units in the current fiscal year with better availability of semiconductors, according to company chairman RC Bhargava.
In his address to shareholders in the company’s annual report for 2021-2022, he said the upcoming Grand Vitara midsize SUV will play a key role in the challenge to hit 20 lakh units.
In 2021-2022, total sales of Maruti Suzuki India Ltd (MSIL) increased by 13.4% to 16.52 lakh units. It had lost sales in the fiscal first quarter due to the pandemic and production affected by semiconductor shortages, mainly for domestic models, Bhargava wrote.
Indian Oil, Hindustan Oil, Bharat Oil: State-owned companies Indian Oil Corporation (IOC), Hindustan Petroleum Corporation Ltd (HPCL) and Bharat Petroleum Corporation Ltd (BPCL) recorded a combined loss of Rs 18,480 crore on the maintenance of petrol and diesel prices despite an increase costs.
According to the stock market statements of the three fuel distributors, the losses are due to the erosion of the commercial margin on gasoline, diesel and domestic LPG.
This wiped out record refining margin gains. IOC, HPCL and BPCL, which are supposed to revise gasoline and diesel prices daily based on cost, have not changed their rates for four months now despite soaring international oil prices.
They also did not change the LPG cooking gas tariffs based on cost. On July 29, the CIO reported a net loss of Rs 1,995.3 crore for the April to June quarter. On Saturday, HPCL reported its highest ever quarterly loss of Rs 10,196.94 crore and BPCL posted a loss of Rs 6,290.8 crore.
Tata engines: Tata Motors said on Sunday that its subsidiary had signed a pact to acquire Ford India’s Sanand-based manufacturing plant for Rs 725.7 crore.
Tata Passenger Electric Mobility Ltd (TPEML), a subsidiary of Tata Motors and Ford India Pvt Ltd (FIPL), has signed a Unit Transfer Agreement (UTA) for the acquisition of the Gujarat-based plant.
As part of the deal, Tata Motors will get land and entire buildings, a vehicle manufacturing plant as well as machinery and equipment therein, the Mumbai-based auto major said in a statement.