• SENSEX
    NIFTY 50
Economy

10 things you need to know before the opening bell on October 26

Updated : 2020-10-26 08:14:56

The Indian stock market is likely to open slightly higher as the SGX Nifty, an early indicator of the opening for the Nifty50, was trading 22 points higher at 11,956, at 7:43 am, hinting at a positive start for the domestic market.

1. Asia: Asia-Pacific stocks were mostly lower in Monday morning trade as new coronavirus cases surge in the U.S. as well in countries across Europe. Mainland Chinese stocks led losses among the region’s major markets as they slipped in early trade, with the Shanghai composite down about 1.5 percent while the Shenzhen component fell 1.45 percent. In Japan, the Nikkei 225 dipped slightly while the Topix index slipped 0.26 percent. Shares in Australia saw gains, with the S&P/ASX 200 up 0.16 percent. MSCI’s broadest index of Asia-Pacific shares outside Japan traded fractionally lower. The Hong Kong market is closed on Monday for a holiday, reported CNBC International. (Image: Reuters)
1. Asia: Asia-Pacific stocks were mostly lower in Monday morning trade as new coronavirus cases surge in the U.S. as well in countries across Europe. Mainland Chinese stocks led losses among the region’s major markets as they slipped in early trade, with the Shanghai composite down about 1.5 percent while the Shenzhen component fell 1.45 percent. In Japan, the Nikkei 225 dipped slightly while the Topix index slipped 0.26 percent. Shares in Australia saw gains, with the S&P/ASX 200 up 0.16 percent. MSCI’s broadest index of Asia-Pacific shares outside Japan traded fractionally lower. The Hong Kong market is closed on Monday for a holiday, reported CNBC International. (Image: Reuters)
2. US: Futures tied to major U.S. equity benchmarks traded lower in overnight trading Sunday as Wall Street headed for the last full trading week ahead of Election Day. Dow Jones Industrial Average futures fell about 140 points. The S&P 500 futures and the Nasdaq 100 futures both also traded in negative territory. The decline in futures came amid a record surge in new coronavirus cases in the U.S. The country saw more than 83,000 new infections on both Friday and Saturday, reported CNBC International. (Image: AP)
2. US: Futures tied to major U.S. equity benchmarks traded lower in overnight trading Sunday as Wall Street headed for the last full trading week ahead of Election Day. Dow Jones Industrial Average futures fell about 140 points. The S&P 500 futures and the Nasdaq 100 futures both also traded in negative territory. The decline in futures came amid a record surge in new coronavirus cases in the U.S. The country saw more than 83,000 new infections on both Friday and Saturday, reported CNBC International. (Image: AP)
3. Closing Bell on Friday: The Indian equity market ended higher Friday led by gains in auto, IT and metal stocks amid positive global cues. The Sensex ended 127.01 points or 0.31 percent higher at 40,685.50 while the Nifty gained 33.90 points or 0.28 percent to close at 11,930.35. Broader indices supported the upside momentum with Nifty Smallcap and Nifty Midcap indices gaining over 0.6 percent and 0.7 percent, respectively. Among sectors, Nifty Auto rallied the most over 2 percent followed by Nifty IT, Nifty Media, Nifty PSU Bank and Nifty Metals while Nifty Pharma and Nifty Realty ended in the red. (Image: Reuters)
3. Closing Bell on Friday: The Indian equity market ended higher Friday led by gains in auto, IT and metal stocks amid positive global cues. The Sensex ended 127.01 points or 0.31 percent higher at 40,685.50 while the Nifty gained 33.90 points or 0.28 percent to close at 11,930.35. Broader indices supported the upside momentum with Nifty Smallcap and Nifty Midcap indices gaining over 0.6 percent and 0.7 percent, respectively. Among sectors, Nifty Auto rallied the most over 2 percent followed by Nifty IT, Nifty Media, Nifty PSU Bank and Nifty Metals while Nifty Pharma and Nifty Realty ended in the red. (Image: Reuters)
4. Crude Oil: Oil fell nearly 2 percent on Friday and headed for a weekly drop as demand concerns raised by surging coronavirus cases in the United States and Europe overshadowed the prospect of an extension to OPEC-led supply curbs. Brent crude lost 69 cents, or 1.63 percent, to settle at $41.77 a barrel. U.S. crude shed 79 cents, or 1.94 percent, to settle at $39.85 per barrel, reported CNBC International. (Image: Reuters)
4. Crude Oil: Oil fell nearly 2 percent on Friday and headed for a weekly drop as demand concerns raised by surging coronavirus cases in the United States and Europe overshadowed the prospect of an extension to OPEC-led supply curbs. Brent crude lost 69 cents, or 1.63 percent, to settle at $41.77 a barrel. U.S. crude shed 79 cents, or 1.94 percent, to settle at $39.85 per barrel, reported CNBC International. (Image: Reuters)
5. Rupee Close: The Indian currency depreciated 7 paise on Friday due to dollar buying by banks possibly on behalf of the RBI. The rupee ended at 73.61 against the dollar as compared to Thursday's close of 73.54. (Image: Reuters)
5. Rupee Close: The Indian currency depreciated 7 paise on Friday due to dollar buying by banks possibly on behalf of the RBI. The rupee ended at 73.61 against the dollar as compared to Thursday's close of 73.54. (Image: Reuters)
6. RBI Governor Tests COVID-19 Positive:  Reserve Bank of India Governor Shaktikanta Das on Sunday said he has been tested positive for COVID-19 and will continue to work from isolation. Das said he is asymptomatic and has alerted those who came in contact with him in recent days. Das in his tweet said yesterday,
6. RBI Governor Tests COVID-19 Positive:  Reserve Bank of India Governor Shaktikanta Das on Sunday said he has been tested positive for COVID-19 and will continue to work from isolation. Das said he is asymptomatic and has alerted those who came in contact with him in recent days. Das in his tweet said yesterday, "I have tested COVID-19 positive. Asymptomatic. Feeling very much alright.Have alerted those who came in contact in recent days.Will continue to work from isolation. Work in RBI will go on normally. I am in touch with all Dy. Govs and other officers through VC and telephone." (Image: PTI)
7. Govt Announces Interest Waiver Norms: The Ministry of Finance has issued operational guidelines for implementation of the interest waiver scheme ahead of the hearing in the matter in the apex court on November 2. In a letter addressed to all lending institutions dated October 23, the Finance Ministry has outlined the “scheme for grant of ex-gratia payment of difference between compound interest and simple interest for six months to borrowers in specified loan categories.” This letter has been reviewed by CNBC-TV18. As per the operational guidelines issued by Department of Financial Services, the interest waiver scheme can be availed by borrowers in specified loan accounts for loans up to Rs 2 crore during the period from March 1 to August 31, 2020. (Image: Reuters)
7. Govt Announces Interest Waiver Norms: The Ministry of Finance has issued operational guidelines for implementation of the interest waiver scheme ahead of the hearing in the matter in the apex court on November 2. In a letter addressed to all lending institutions dated October 23, the Finance Ministry has outlined the “scheme for grant of ex-gratia payment of difference between compound interest and simple interest for six months to borrowers in specified loan categories.” This letter has been reviewed by CNBC-TV18. As per the operational guidelines issued by Department of Financial Services, the interest waiver scheme can be availed by borrowers in specified loan accounts for loans up to Rs 2 crore during the period from March 1 to August 31, 2020. (Image: Reuters)
8. Industry Body On India's Economy: Industry body PHDCCI expects India's GDP to contract by 7.9 percent in the current financial year and grow by 7.7 percent in 2021-22, assessing that the worst is over and the economy is on the verge of a slow recovery. The chamber, however, stated that unemployment remains a key challenge to be addressed by the government. The PHDCCI drew the conclusions based on its analysis of 25 high-frequency economic indicators which point out that there has been a pickup in business normalization.
8. Industry Body On India's Economy: Industry body PHDCCI expects India's GDP to contract by 7.9 percent in the current financial year and grow by 7.7 percent in 2021-22, assessing that the worst is over and the economy is on the verge of a slow recovery. The chamber, however, stated that unemployment remains a key challenge to be addressed by the government. The PHDCCI drew the conclusions based on its analysis of 25 high-frequency economic indicators which point out that there has been a pickup in business normalization. "Going ahead, India should focus on moving away from imports from China, divert trade towards friendly economies, build domestic capacities and significantly scale-up indigenous production with a thrust to become self-reliant," PHD Chamber of Commerce and Industry (PHDCCI) said. (Image: Reuters)
9. India Rate Setters To Keep Policy Accommodative:  The second wave of COVID-19 remains a threat to the Indian economy, and the central bank believes monetary policy needs to remain accommodative despite inflationary pressures, according to the minutes of the monetary policy committee's latest meeting, released on Friday. The Reserve Bank of India left interest rates unchanged at that meeting two weeks ago, as expected. Almost all members of the MPC said they see room for further easing, but a recent rise in price pressures would need to abate for them to use that space.
9. India Rate Setters To Keep Policy Accommodative:  The second wave of COVID-19 remains a threat to the Indian economy, and the central bank believes monetary policy needs to remain accommodative despite inflationary pressures, according to the minutes of the monetary policy committee's latest meeting, released on Friday. The Reserve Bank of India left interest rates unchanged at that meeting two weeks ago, as expected. Almost all members of the MPC said they see room for further easing, but a recent rise in price pressures would need to abate for them to use that space. "This space needs to be used judiciously to support recovery in growth," Governor Shaktikanta Das wrote in his minutes. (Image: Reuters)
10. Govt Focus On Job Creation In Next Stimulus: In the next stimulus announcement, job creation is likely to be the focus of the government as against the earlier plans to bring in job guarantee in the cities. The Prime Minister’s Office and various government departments are in active discussion to draw out a possible option for the unemployed, sources told CNBC-TV18. The focus will be on creating jobs for the unemployed in tier 1, tier 2, tier 3, and urban clusters, they added. “Earlier the government was mulling on a job guarantee scheme for the cities similar to the rural employment guarantee scheme of Mahatma Gandhi National Employment Guarantee Scheme (MNREGS). The other way to create jobs is to give a big push to infrastructure projects, but it will take time to start big projects in a short time. The idea is now to create jobs for the short run for the unemployed in the small cities and towns, various ideas are being discussed,” said a source, who did not want to be named.  (Image: AP)
10. Govt Focus On Job Creation In Next Stimulus: In the next stimulus announcement, job creation is likely to be the focus of the government as against the earlier plans to bring in job guarantee in the cities. The Prime Minister’s Office and various government departments are in active discussion to draw out a possible option for the unemployed, sources told CNBC-TV18. The focus will be on creating jobs for the unemployed in tier 1, tier 2, tier 3, and urban clusters, they added. “Earlier the government was mulling on a job guarantee scheme for the cities similar to the rural employment guarantee scheme of Mahatma Gandhi National Employment Guarantee Scheme (MNREGS). The other way to create jobs is to give a big push to infrastructure projects, but it will take time to start big projects in a short time. The idea is now to create jobs for the short run for the unemployed in the small cities and towns, various ideas are being discussed,” said a source, who did not want to be named.  (Image: AP)
Live TV

recommended for you

Ask Our Experts CNBC TV18

Advertisement