Rupee movement will be the key driver for the market on Monday amid the Turkish crisis. Besides, investors would keep an eye on global developments ahead of the Sino-US trade talks.
Singapore trading sets the stage for the positive start
Nifty futures on the Singapore Stock Exchange were trading 31 points, 0.27 percent, higher at 11,509, indicating a positive start for the Nifty50.
Tech view: Nifty forms bearish candle
The positive sequential movements of higher tops and bottoms have come into play and the index is in the process of forming a new higher top of the sequence, said Nagaraj Shetty of HDFC Securities. For that, the index needs to move above the 11,495 level. Overall, the daily RSI has turned up from near the 60 mark, which is signaling the possibility of another negative divergence pattern ahead.
Asian shares edge higher
Asian share markets crept cautiously higher on Monday as investors awaited developments on proposed Sino-US trade talks, while keeping a wary eye on the Chinese yuan and Turkish lira for any new signs of strain, Reuters reported. MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.3 percent in early trade, with South Korea leading the way with a rise of 0.6 percent. Japan’s Nikkei wavered either side of a flat, much as did the yen on the dollar. Emini futures for the S&P500 edge ..
Brent crude prices inch lower
The upward trend in the U.S. dollar has also pressured oil, with U.S. crude down for a seventh consecutive week and global benchmark Brent off for a third week, Reuters reported. Early Monday, Brent was 12 cents lower at $71.71 a barrel, while US crude eased 13 cents to $65.78.
US stocks settled higher on Friday
The Dow Jones Industrial Average index rose 110.59 points, or 0.43 per cent, to 25,669.32, the S&P500 index gained 9.44 points, or 0.33 per cent, to 2,850.13 and the Nasdaq Composite index added 9.81 points, or 0.13 per cent, to 7,816.33.
S&P's lowers Turkey's credit rating to junk
Standard & Poor’s said on Friday it had cut Turkey’s sovereign credit rating deeper into “junk” territory, citing extreme lira volatility and forecasting a recession next year, adding to the country’s woes as it deals with a currency crisis, Reuters reported.
Re may stabilize in the 68-69 range
The rupee, which has taken a severe battering of late, is expected to stabilize at 68-69 per US dollar level riding on positive capital inflows this month, economic affairs secretary Subhas Chandra Garg told PTI. According to Garg, the current turmoil in Turkey, triggered by US sanctions, had not affected the perception of India. The flow of foreign portfolio investments (FPI) had not altered either and there had been no outflow in July, Garg said.
FIIs buy Rs 147 cr worth equities
Foreign portfolio investors (FPIs) bought Rs 147 crore worth of domestic stocks on Friday, provisional data available with BSE suggested. DIIs were net buyers to the tune of Rs 152 crore, data suggested.
FPIs buy into consumption, concept themes
In the three months to June, FPIs net sold Rs 17,000 crore of Indian equities. But these exits conceal the robust FPI interest in prominent consumption names — Avenue Supermarts (D’Mart), Dr. Lal Pathlabs, Pidilite IndustriesNSE 0.44 %, Interglobe Aviation (IndiGoNSE -0.01 %), Mahanagar Gas and Tata Global Beverages.
