6 things that changed for market over weekend: Gift Nifty, Parliament session to global market cues for Sensex today

The Indian stock market indices, Sensex and Nifty are likely to open lower on Monday following weak global cues. Asian markets traded lower, while the US stock markets ended in the red last week.

Foreign capital outflows, elevated crude oil prices and inflation concerns may cast shadow over the market, while strong domestic macroeconomic data with lower CPI and wholesale inflation are likely to provide comfort.

The Indian equity benchmark indices ended at record high levels on Friday, with the Nifty ending near 20,200 level.

“We expect the overall positive momentum to continue especially in the large cap while sectoral rotation is likely to be seen in the broader market. Next week, the US interest rate decision is due where the Fed is expected to take a pause, which might bring relief to the global markets,” said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services.

Also Read: Week Ahead: US Fed Policy, crude oil prices, FII mood among key market triggers this week as Nifty stares at record-high

Here are key domestic and global market cues for Sensex today:

Asian Markets

Asian markets traded lower on Monday following tech-led selloff on Wall Street on Friday and as investors watch out for a data-driven week with a slew of central bank meetings, including the US Federal Reserve and the Bank of Japan.

MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.1% after gaining 1.2% last week.

Japanese markets are shut for a holiday. 

South Korea’s Kospi eased 0.32% and the Kosdaq fell 0.42%.

Hong Kong’s Hang Seng index futures was trading lower at 18,067, compared to the HSI’s close of 18,182.89.

Australia’s S&P/ASX 200 fell 0.13%.

Meanwhile, Gift Nifty was trading at 20,190 as against NIfty futures’ Friday close of 20,240, indicating a negative start for the Indian benchmark indices.

Wall Street

The US stock market ended sharply lower on Friday dragged by heavy selling shares of chipmakers on concerns about weak consumer demand.

The Dow Jones Industrial Average declined 0.83% to 34,618.24, while the S&P 500 plunged 1.22% to 4,450.32. The Nasdaq ended 1.56% lower at 13,708.34.

Among stocks, Nvidia fell 3.7%, Advanced Micro Devices dropped 4.8% and Broadcom and Micron Technology fell over 2% each.

Amazon and Microsoft each declined more than 2%, while Meta Platforms lost 3.7%. Adobe dropped 4.2%.

SoftBank’s Arm Holdings dropped 4.5% after a stellar Nasdaq debut.

Also Read: Wall Street week ahead: Investors’ focus on Federal Reserve’s rate decision

KKR to acquire 20% stake in SingTel’s regional data centre unit

Global investment firm KKR will acquire a 20% stake in Singapore Telecommunications’ (SingTel) regional data centre business for S$1.1 billion ($806.87 million), Reuters reported.

The deal puts the enterprise value of SingTel’s overall regional data centre business at S$5.5 billion ($4.03 billion). The funds will be used to expand the data centre’s business across Southeast Asian markets, including Singapore, Indonesia and Thailand, SingTel and KKR said in a joint statement.

Goods trade deficit swells to 10-month high in August

India’s merchandise trade deficit swelled to the highest in 10 months in August as exports continued to slow due to weak demand in the West and China

Exports slipped nearly 7% to $34.48 billion in August from $37.02 billion a year earlier, while imports declined to $58.64 billion from $61.88 billion last year, leaving the trade balance at $24.16 billion, data from the Ministry of Commerce and Industry showed on Friday.

Five-day session of Parliament begins today

A special five-day session of Parliament is set to begin today amid intense buzz on whether the government will have some surprise in store. Parliamentary Affairs Minister Pralhad Joshi said a total of eight bills have been listed for consideration and passage during the session.

FPIs sell ₹4,800 crore from equities in first fortnight

Foreign portfolio investors (FPIs) have pulled out nearly ₹4,800 crore from Indian equities in the first fortnight of September on rising US bond yields, a stronger dollar, and concerns over global economic growth.

Before the outflow, FPIs were incessantly buying Indian equities in the last six months from March to August and brought in ₹1.74 lakh crore during the period.

Also Read: FPIs continue selling streak, offload ₹4,768 cr in Indian equities so far in September; What lies ahead?

(With inputs from Reuters)