SGX Nifty down 40 points; here’s what changed for market while you were sleeping

STATE OF THE MARKETS


SGX Nifty signals a negative start
Nifty futures on the Singapore Exchange traded 39.5 points, or 0.24 per cent, lower at 16,607.50, signaling that Dalal Street was headed for a negative start on Tuesday.

• Tech View: Nifty50 on Monday formed a solid bullish candle on the daily chart, after signalling a reversal in the previous week. In the process, the index has breached a sticky consolidation range of 15,700-16,400 on the upside. Analysts said levels around 17,000 are on the cards and that the 16,400 level would now act as immediate support for the index.
• India VIX: The fear gauge dropped as much as 7 per cent to 19.98 level on Monday over its close at 21.48 on Friday.

Asian shares trade mostly lower
Asian shares opened mostly lower on Tuesday after strong rallies in the previous session and with investors eyeing Chinese economic indicators due later in the day. However, the declines were capped. MSCI’s index of Asia-Pacific shares outside Japan was down by 0.23 per cent.

• Japan’s Nikkei dropped 0.14%
• Australia’s ASX 200 shed 0.28%
• South Korea’s Kospi added 0.02%
• New Zealand’s DJ gained 0.22%
• China’s Shanghai retreated 0.08%
• Hong Kong’s Hang Seng fell 0.23%

US stocks were shut on Monday
Wall street stocks remained closed on Monday on the account of a public holiday. On Friday, Wall Street indices rallied sharply higher as signs of peaking inflation and consumer resiliency with growing optimism that the Federal Reserve will be able to tighten monetary policy without tipping the economy into recession.

• Dow Jones gained 1.76% to 33,212.96
• S&P 500 surged 2.47% to 4,158.24
• Nasdaq zoomed 3.33% to 12,131.13

Dollar drifts toward monthly loss
The dollar nursed last week’s losses on Monday and was headed for its first monthly drop in five months as investors have scaled back bets that rising U.S. rates will spur further gains and as fears of a global recession have receded a little.

• Dollar index dropped to 101.66
• Euro was rose to $1.0728
• Pound held steady to $1.2628
• Yen moved to 127.28 per dollar
• Yuan exchanged hands at 6.7210 against the greenback

Oil prices rises
Oil prices rose on Tuesday after the EU agreed to slash oil imports from Russia by the end of 2022, fuelling worries of a tighter market already strained for supply amid rising demand ahead of peak U.S. and European summer driving season.

Brent crude futures for July gained 33 cents to $122 a barrel at 0054 GMT. The more active August contract rose 33 cents to $117.93. US West Texas Intermediate (WTI) crude futures were trading at $117.31 a barrel, up $2.24 from Friday’s close.

FIIs buy shares worth Rs 502 cr
Net-net, foreign portfolio investors (FPIs) turned buyers of domestic stocks to the tune of Rs 502.08 crore, data available with NSE suggested. DIIs remained net buyers to the tune of Rs 1,524.49 crore, data suggests.

Q4 earnings today
PTC India,

, , Sanwaria Consumers,Mitshi India, , (India), Avance , Valecia Nutrition, , Ganesh Holdings and , are among the companies which will announce their March quarter earnings today.

Stocks in F&O ban today
No stocks are under the F&O ban for Tuesday, May 31. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 per cent of the market-wide position limit.

MONEY MARKETS

Rupee: The rupee rose further by 4 paise to close at 77.54 against the US dollar on Monday, supported by positive domestic equities and a weak American currency overseas.

10-year bonds: India 10-year bond jumped 0.80 per cent to 7.40 after trading in the 7.36 – 7.41 range on Monday.

Call rates: The overnight call money rate weighted average stood at 4.08 per cent on Friday, according to RBI data. It moved in a range of 2.30-4.40 per cent.