The Indian market is likely to open lower on Wednesday following a mixed trend in the Asian peers. At 7:15 am, the SGX Nifty was trading 32.00 points or 0.28 percent lower at 11499.50, indicating a negative start for the Sensex and Nifty50.
1. Asia: Stocks in Asia-Pacific were mixed in Wednesday morning trade as investors await the Federal Open Market Committee’s quarterly update. In Japan, the Nikkei 225 were fractionally higher in morning trade while the Topix index advanced 0.21 percent. Mainland Chinese stocks, on the other hand, saw losses. The Shanghai composite declined 0.26 percent while the Shenzhen component shed 0.285 percent. Hong Kong’s Hang Seng index hovered above the flatline. Meanwhile, South Korea’s Kospi added 0.1 percent. Over in Australia, the S&P/ASX 200 advanced 0.69 percent. Overall, the MSCI Asia ex-Japan index traded 0.38 percent higher, reported CNBC International. (Image: Reuters)
2. US: U.S. stock futures were flat in overnight trading as investors readied for comments from the Federal Reserve on Wednesday. Dow futures dipped 20 points. S&P 500 and Nasdaq 100 futures were also set to open flat, with losses of 0.05 percent and 0.07 percent, respectively. On Tuesday, the Dow closed up marginally, after gaining more than 200 points earlier in the session. The S&P 500 climbed 0.5 percent, despite weakness in financials. Tuesday marked the third straight day of gains for the 500-stock index, reported CNBC International. (Image: AP)
3. Market At Close On Tuesday: The Indian benchmark equity indices Sensex and Nifty ended higher on Tuesday led by buying in pharma and banking stocks amid positive sentiment across global markets. The Sensex ended 287.72 points or 0.74 percent higher at 39,044.35 while the Nifty gained 81.75 points or 0.71 percent to close at 11,521.80.
Broader indices participated in the rally with Nifty Smallcap100 and Nifty Midcap100 indices gaining percent respectively. Gains in index heavyweights such as IndusInd Bank, Bajaj Finance, Reliance Industries, HDFC, among others lifted Nifty above 11,500 level. All Nifty Bank constituents except PNB ended in the green.(Image: Reuters)
4. Crude Oil: Oil prices rose on Wednesday, extending gains from the previous session, as a hurricane disrupted U.S. offshore oil and gas production and an industry report showed a big drop in U.S. crude stockpiles. Brent crude was trading up 15 cents, or 0.4 percent, at $40.68 a barrel by 0055 GMT, while U.S. crude gained 18 cents, or 0.5 percent, to $38.46 a barrel. Both contracts rose by more than 2 percent on Tuesday, reported CNBC International. (Image: Reuters)
5. Rupee Close: The Indian currency ended lower even as the domestic market traded positively. The rupee ended at 73.64 against the US dollar as compared to Monday's close of 73.48. (Image: Reuters)
6. Imports Under FTAs To Be Closely Monitored: The Customs Department will closely monitor import of goods under Free Trade Agreements (FTA) from September 21 to check the misuse of duty benefits claimed at ports. Import of white goods, set top boxes, cameras, electronic goods and agarbattis (incense sticks) will be monitored under the new Rules of Origin (ROO) verification norms. While presenting Budget 2020, Finance Minister Nirmala Sitharaman had said that undue claims of FTA benefits have threatened the domestic industry and such imports require stringent checks. Over the past five years, Rs 1,200 crore of fraudulent duty benefit claims under FTAs have been detected. (Image: Reuters)
7. India Ready To Procure Tactical Winter Equipment: Amid tension on the border with China, people in the know have told CNBC-TV18 that India is getting ready to procure tactical winter equipment, wear, and specialised weapons. This latest procurement drive to meet the immediate requirement of armed forces comes after India accused china of provocative action at LAC and observed them setting up optical fibre cables for high-speed communication. According to the sources, the total cost of import and domestic procurement of weapons and winter equipment is close to Rs 10,000 crore. The country has reached out to Russian, American, and Israeli-based firms for the procurement of equipment. While clothing and tents will be procured from Europe. (Image: Reuters)
8. SEBI On Clarity For Non-collection Margins: Markets regulator Sebi on Tuesday provided clarity on levy of penalty for non-collection of margins from clients in the cash segment by trading and clearing members. The clarification, which comes afer the watchdog received various representations, is with regard to levy of penalty for non-collection of 'other margins' on or before T+2 days from clients. The 'other margins' exclude VaR (value at risk) margin and ELM (extreme loss margin). "If pay-in (both funds and securities) is made by T+2 working days, the other margins would deemed to have been collected and penalty for short / non-collection of other margins shall not arise," Sebi said in a circular addressed to stock exchanges and clearing corporations. Further, it said if early pay-in of securities has been made to the clearing corporation, then all margins would be deemed to have been collected and penalty for short/ non-collection of margin, including other margins, would not arise. (image: Reuters)
9. Amit Mishra On GST Compensation To States: In a free-wheeling chat, West Bengal Finance Minister Amit Mitra told CNBC-TV18 that “Centre has enough headroom but not willing to use it for paying states compensation”. “States comfortable if this revenue headroom is kept for security expenditures; but not ok if Centre aims to use this for other political purposes,” he added. He further added that “Centre’s decision to split the GST compensation into two separate categories, revenue loss as a result of GST implementation and revenue loss as a result of an act of God, breaches both the spirit and the letter of the GST Compensation Act.” “Whether we will go to Court or not is a strategy I can’t reveal.” GOI doesn't understand macroeconomics, if GST options are forced through it will be a historic mistake; the federalist spirit will breakdown, Mitra explained. (Stock Image)
10. Serum Institute On COVID Vaccine: Aday after Union Health minster Harsh Vardhan assured about the development of a vaccine against the novel coronavirus early next year, Serum Vaccine of India chief executive Adar Poonawalla told the Financial Times,"It’s going to take four to five years until everyone gets the vaccine on this planet." On Serum Institute’s promise to produce a billion doses, the chief executive said, “I know the world wants to be optimistic on it, but I have not heard of anyone coming even close to that level right now." The CEO of the world’s largest vaccine manufacturer in April had ordered 600m glass vials and other particulars to gear up for the mass manufacturing of the vaccine. (Image: Reuters)