Market preview: Weak global cues may cap gains, Tata Motors in focus2 min read . Updated: 21 May 2019, 08:44 AM IST
- Asian shares wobbled near four-month lows on Tuesday
- Tata Motors Ltd's fourth-quarter profit fell less than expected on Monday
Indian markets are expected to be firm today as positive investor sentiment post exit polls outcome continues but weak global cues are likely to put pressure on domestic equities. SGX Nifty trends indicate a positive start for the broader index in India, as it trades with a gain of 10 points or 0.09%.
Asian shares wobbled near four-month lows on Tuesday on mounting worries the White House's black-listing of Chinese telecom giant Huawei Technologies could further inflame already tense relations between the Washington and Beijing.
MSCI's broadest index of Asia-Pacific shares outside Japan was flat in early trade but stayed close to a four-month low touched on Friday. It has fallen about 8% from a nine-month peak hit just over a month ago. Japan's Nikkei fell 0.5%.
Back home, major companies which are expected to announce March quarter earnings today are DLF, Tech Mahindra, JSPL, Bharat Financial Inclusion, Cochin Shipyard and Crompton Greaves Consumer Electricals among others.
Shares of Tata Motors will in focus after it posted March quarter earnings after market hours on Monday. Tata Motors Ltd's fourth-quarter profit fell less than expected on Monday, with the Indian automaker saying tighter control of expenses and a turnaround at its Jaguar Land Rover (JLR) unit helped dull the impact of economic slowdown at home. India's biggest automaker by revenue earned ₹1,117 crore ($160.26 million) in net profit for the three months ended 31 March - its first quarterly profit in the fiscal year.
Meanwhile, in New York, the S&P 500 lost 0.67% while the Nasdaq Composite dropped 1.46%. The euro was under pressure ahead of the European election this weekend but was little moved at $1.1169, off Monday's low of $1.1150, its lowest level since May 3.
The dollar slipped slightly to 110.05 yen from Monday's near two-week high of 110.32 yen. The British pound is listless near four-months, trading at $1.27, just a stone throw from Friday's low of $1.27, as an embattled UK Prime Minister Theresa May struggled to pull together a Brexit deal. The offshore yuan stood at 6.94 to the dollar, just above Friday's 5.5 month low of 6.94.
Oil prices held near multi-week highs as OPEC indicated it was likely to maintain production cuts while escalating Middle East tensions provided further support. Brent crude futures traded up 0.1% at $72.07 per barrel while US crude futures fetched $63.30 per barrel, up 0.3%.
(Reuters contributed to the story)