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10 things you need to know before the opening bell on October 7

Updated : October 07, 2020 07:56 AM IST

The Indian stock market is expected to open higher on Wednesday tracking Asian peers that were trading in the green. At 7:47 am, the SGX Nifty traded 36 points higher at 11,708, indicating a positive start for the Sensex and the Nifty50.

1. Asia: Asia-Pacific markets were mixed in Wednesday morning trade. Japan’s Nikkei 225 dipped 0.5 percent in early trade while the Topix index shed 0.57 percent. South Korea’s Kospi also declined 0.39 percent. The S&P/ASX 200 in Australia bucked the overall trend as it gained 0.12 percent. MSCI’s broadest index of Asia-Pacific shares outside Japan traded 0.26 percent lower, reported CNBC International. (Image: AP)
1. Asia: Asia-Pacific markets were mixed in Wednesday morning trade. Japan’s Nikkei 225 dipped 0.5 percent in early trade while the Topix index shed 0.57 percent. South Korea’s Kospi also declined 0.39 percent. The S&P/ASX 200 in Australia bucked the overall trend as it gained 0.12 percent. MSCI’s broadest index of Asia-Pacific shares outside Japan traded 0.26 percent lower, reported CNBC International. (Image: AP)
2. US: U.S. stock futures moved lower in overnight trading on Tuesday after President Donald Trump called off stimulus talks until after the November election.  Dow futures fell 60 points. S&P 500 futures and Nasdaq 100 futures fell 0.3 percent and 0.2 percent, respectively. The S&P 500 lost 1.4 percent and the Nasdaq Composite fell 1.57 percent on Tuesday, reported CNBC International. (Image: AP)
2. US: U.S. stock futures moved lower in overnight trading on Tuesday after President Donald Trump called off stimulus talks until after the November election.  Dow futures fell 60 points. S&P 500 futures and Nasdaq 100 futures fell 0.3 percent and 0.2 percent, respectively. The S&P 500 lost 1.4 percent and the Nasdaq Composite fell 1.57 percent on Tuesday, reported CNBC International. (Image: AP)
3. Market At Close On Tuesday: Indian market ended at a 7-month high on Tuesday, helped by gains in financials and auto stocks. The sentiment was aided by rising Asian peers after US President Donald Trump’s return to the White House from the hospital where he was treated for COVID-19. The Sensex ended 601 points higher at 39,574 while the Nifty rose 159 points to settle at 11,662. Broader markets underperformed but rose for the day. Nifty Midcap and Nifty Smallcap indices were up over half a percent for the day. (Image: Reuters)
3. Market At Close On Tuesday: Indian market ended at a 7-month high on Tuesday, helped by gains in financials and auto stocks. The sentiment was aided by rising Asian peers after US President Donald Trump’s return to the White House from the hospital where he was treated for COVID-19. The Sensex ended 601 points higher at 39,574 while the Nifty rose 159 points to settle at 11,662. Broader markets underperformed but rose for the day. Nifty Midcap and Nifty Smallcap indices were up over half a percent for the day. (Image: Reuters)
4. Crude Oil: Oil prices rose more than $1 a barrel on Tuesday, supported by U.S. supply disruptions caused by an approaching hurricane in the Gulf of Mexico and an oil worker strike in Norway. Brent crude futures were up $1.40, or 3.41 percent, at $42.69 a barrel. West Texas Intermediate (WTI) crude settled $1.45, or 3.7 percent, higher at $40.67, reported CNBC International. (Image: AP)
4. Crude Oil: Oil prices rose more than $1 a barrel on Tuesday, supported by U.S. supply disruptions caused by an approaching hurricane in the Gulf of Mexico and an oil worker strike in Norway. Brent crude futures were up $1.40, or 3.41 percent, at $42.69 a barrel. West Texas Intermediate (WTI) crude settled $1.45, or 3.7 percent, higher at $40.67, reported CNBC International. (Image: AP)
5. Rupee Close: The Indian currency closed lower on Tuesday despite positive domestic equity markets. The rupee ended at 73.46 against the US dollar as compared to Monday's close of 73.29. (Image: Reuters)
5. Rupee Close: The Indian currency closed lower on Tuesday despite positive domestic equity markets. The rupee ended at 73.46 against the US dollar as compared to Monday's close of 73.29. (Image: Reuters)
6. RBI MPC Meeting From Oct 7-9: The Reserve Bank of India (RBI) on Tuesday said that the next meeting of its Monetary Policy Committee (MPC) will be held for three days beginning October 7. “...the next meeting of the Monetary Policy Committee (MPC) is scheduled during October 7 to October 9, 2020,” RBI said in a statement. Earlier on September 28, the RBI had postponed the meeting of the MPC as the appointment of independent members of the committee was delayed. The meeting must have a quorum of four members. The government has appointed three economists Ashima Goyal, Jayanth R Varma and Shashanka Bhide as members of the MPC for a period of four years. (Image: Reuters)
6. RBI MPC Meeting From Oct 7-9: The Reserve Bank of India (RBI) on Tuesday said that the next meeting of its Monetary Policy Committee (MPC) will be held for three days beginning October 7. “...the next meeting of the Monetary Policy Committee (MPC) is scheduled during October 7 to October 9, 2020,” RBI said in a statement. Earlier on September 28, the RBI had postponed the meeting of the MPC as the appointment of independent members of the committee was delayed. The meeting must have a quorum of four members. The government has appointed three economists Ashima Goyal, Jayanth R Varma and Shashanka Bhide as members of the MPC for a period of four years. (Image: Reuters)
7. New MPC Member On Meeting: The newly appointed member of RBI's Monetary Policy Committee Jayanth R Varma said on Tuesday that he was going into the meeting with an open mind.
7. New MPC Member On Meeting: The newly appointed member of RBI's Monetary Policy Committee Jayanth R Varma said on Tuesday that he was going into the meeting with an open mind. "One needs to go into the committee meeting with an open mind," Varma said in an interview with CNBC-TV18. Verma said he looks forward to this experience and see whether finance ideas can help in the current environment. "The monetary transmission is a financial phenomenon than economic phenomenon and the role of financial friction has a role in interest rates," he mentioned. (Image: PTI)
8. GST Compensation Issue: As conclusion eludes the GST Council to form a consensus on the option of borrowing to make good for the shortfall in the compensation cess kitty, borrowing by states does not require the approval of the GST Council, and so the issue does not need to be put to vote, sources told CNBCTV18. Sources said that when it comes to exercising the option of voting on the contentious issue of whether the centre should borrow or states and if states borrow then which should be a preferred option to make good for the shortfall of funds under the compensation cess kitty, then, in this case, the GST council cannot go for voting. “The issue of borrowing is not a GST council matter or is not something which is under the jurisdiction of GST council. GST Council has jurisdiction to extend the levy of cess to compensate for the shortfall in the compensation. It has done that. Now the ball rests in the court of individual states, not the GST council,” sources said. (Stock Image)
8. GST Compensation Issue: As conclusion eludes the GST Council to form a consensus on the option of borrowing to make good for the shortfall in the compensation cess kitty, borrowing by states does not require the approval of the GST Council, and so the issue does not need to be put to vote, sources told CNBCTV18. Sources said that when it comes to exercising the option of voting on the contentious issue of whether the centre should borrow or states and if states borrow then which should be a preferred option to make good for the shortfall of funds under the compensation cess kitty, then, in this case, the GST council cannot go for voting. “The issue of borrowing is not a GST council matter or is not something which is under the jurisdiction of GST council. GST Council has jurisdiction to extend the levy of cess to compensate for the shortfall in the compensation. It has done that. Now the ball rests in the court of individual states, not the GST council,” sources said. (Stock Image)
9. Services Sector Stabilised In September: Indian service sector output broadly stabilised in September but remained in the contraction zone as incoming new business fell moderately due to the damaging impact of the pandemic on demand, leading to more job losses, a monthly survey said on Tuesday. The seasonally adjusted India Services Business Activity Index rose for the fifth straight month in September to 49.8 from 41.8 in August. However, the Indian services sector activity contracted for the seventh successive month in September. A print above 50 means expansion and a score below that denotes contraction, as per the IHS Markit India Services Purchasing Managers’ Index (PMI).  (Image: Reuters)
9. Services Sector Stabilised In September: Indian service sector output broadly stabilised in September but remained in the contraction zone as incoming new business fell moderately due to the damaging impact of the pandemic on demand, leading to more job losses, a monthly survey said on Tuesday. The seasonally adjusted India Services Business Activity Index rose for the fifth straight month in September to 49.8 from 41.8 in August. However, the Indian services sector activity contracted for the seventh successive month in September. A print above 50 means expansion and a score below that denotes contraction, as per the IHS Markit India Services Purchasing Managers’ Index (PMI).  (Image: Reuters)
10. Property Developers H1FY21 Sales: There’s a good chance that property developers have sold as many homes in H1 FY21 when compared to H1 FY20, despite three months of little or no activity thanks to the COVID-19 lockdown. Sales data from property consultants and some well-known developers reveals that a bumper July-September quarter may have offset the industry’s losses in the preceding quarter.
10. Property Developers H1FY21 Sales: There’s a good chance that property developers have sold as many homes in H1 FY21 when compared to H1 FY20, despite three months of little or no activity thanks to the COVID-19 lockdown. Sales data from property consultants and some well-known developers reveals that a bumper July-September quarter may have offset the industry’s losses in the preceding quarter. "We have already matched the first half of last (fiscal) year's sales figures, and the October-December quarter will see that trend continue," said Niranjan Hiranandani, national president, NAREDCO, speaking exclusively to CNBC-TV18. However, there is one important rider. Not all developers may have recovered losses and matched up to last year’s sales, for only a few well-known names have had the wherewithal to weather out the dry months, overcome the labour crisis and resume business. Hiranandani agrees. (stock image)
Published : October 07, 2020 07:56 AM IST
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