MUMBAI: Indian equities are likely trade steady on Monday following global cues. The SGX Nifty futures were up 0.65%, indicating a positive start for benchmark indices.
On Friday, the BSE Sensex had ended at 36,594.33, down 143.36 or 0.39% and the Nifty closed at 10,768.05, down 45.40 or 0.42%.
Asian shares got off to a firm start on Monday as investors wagered US earnings season would see most companies beat forecasts given expectations had been lowered by coronavirus lockdowns.
MSCI's broadest index of Asia-Pacific shares outside Japan added 0.15%, having climbed sharply to a five-month peak last week on the back of surging Chinese stocks.
Japan's Nikkei gained 1.3% and South Korea 0.9%. E-mini futures for the S&P 500 rose 0.2% even as some US states reported record new cases of covid-19
Back home, shares of Reliance Industries will be in focus. Qualcomm Ventures, the investment arm of Qualcomm Incorporated, will invest up to ₹730 crore to pick up a 0.15% equity stake in the oil-to-telecom conglomerate's Jio Platforms on a fully diluted basis.
Vodafone Idea has cumulatively paid out ₹2,850 crore to seven bond holders including mutual funds and banks. While the side pockets of Franklin Templeton India schemes have received ₹1,252 crore, UTI Mutual Fund has received ₹166 crore and Nippon India Mutual Fund has received ₹121 crore.
Specialty chemicals manufacturer Rossari Biotech Limited initial public offering (IPO) will open for subscription today with a price band of ₹423- ₹425 per share. The three-day share sale, which will close on 15 July, seeks to raise nearly ₹496 crore.
India’s economy may contract by 14.2% in the June quarter and the absence of a demand stimulus, a second wave of coronavirus infections and continuing curbs will weigh heavily on growth prospects, a survey of economists has found.
Meanwhile, yields on US 10-year notes came close to record lows last week at 0.569% and were last at 0.63%. Super-low rates have in turn been a boon for non-yielding gold which hit a near nine-year high after five straight weeks of gains. The metal was last at $1,800 an ounce, just off a $1,817.17 top.
The hunt for yield has tended to benefit emerging market currencies and those leveraged to commodities such as the Australian dollar, while weighing on the US dollar.
Against a basket of currencies, the dollar was off at 96.585 on Monday and not far from the June trough of 95.714. The dollar was a fraction softer on the yen at 106.88, while the euro held at $1.1309.
Oil prices eased in early trade, although that followed a sharp rise on Friday when the International Energy Agency bumped up its 2020 demand forecast.
Brent crude futures were down 33 cents to $42.90 a barrel, while US crude lost 34 cents to $40.21.