BackMarkets may rise following global peers; Reliance, telcos, ICICI Bank in focus
ICICI Bank on Saturday said it has completed the allotment of equity shares under its qualified institutional placement (QIP) and raised approximately ₹15,000 crore
PremiumNEW DELHI: Indian equities are likely to trade higher on Monday following global peers. SGX Nifty futures were 0.9% higher at 11,290.20 in early deals today, indicating a positive start to domestic equities.
On Friday, the BSE Sensex ended at 37,877.34, down 433.15 points or 1.13% while the Nifty was at 11,178.40, down 122.05 points or 1.08%.
Asian shares dozed near recent highs in quiet trade on Monday as investors waited to see if the recent sell-off in longer-dated US Treasuries would extend, and maybe take some pressure off the beleaguered dollar.
Sino-US relations remain a sticking point, with US President Donald Trump on Saturday saying he could exert pressure on more Chinese companies such as technology giant Alibaba after he his move to ban TikTok.
Back home, the Supreme Court on Friday asked bankrupt telecom companies, including Reliance Communications Ltd (RCom), Aircel Group and Videocon Telecommunications Ltd, to furnish details of those using spectrum with insolvent firms. This came after RCom told the apex court that Reliance Jio Infocomm Ltd has been using its spectrum. The next hearing in the case is on 17 August.
The country’s second largest private sector lender ICICI Bank on Saturday said it has completed the allotment of equity shares under its qualified institutional placement (QIP) and raised approximately ₹15,000 crore to fund its business growth and meet regulatory capital requirement.
Tata Sons is leading the race to bag the title sponsorship of the Indian Premier League (IPL), a month before its scheduled start in the UAE. Others in the race include Patanjali Ayurveda and Jio, besides e-learning platforms Byju’s and Unacademy and fantasy sports firm Dream11. All the companies have submitted the expression of interest (EOI) with the Board of Control for Cricket in India.
US crude oil shipments to China will rise sharply in coming weeks, as the world's two top economies gear up to review their January deal after a prolonged trade war.
News that the scheduled review of the US-China phase-One trade deal over the weekend had been postponed indefinitely didn’t elicit much of a reaction.
The highlight of the economic calendar will be the release of the minutes from the Federal Reserve's last policy meeting.
Speculation is rife the Fed will adapt an average inflation target which would seek to push inflation above 2% for some time to make up for the years it has run below it. That combined with massive new debt supply caused a sharp increase in longer-term bond yields last week with 30-year yields rising 21 basis points as the curve steepened.
The rise in yields gave the dollar some respite after weeks of losses. Against a basket of currencies the dollar was a fraction lower at 93.0-08, still uncomfortably close to the recent trough of 92.521.
The euro flattened out a little late last week having met resistance around the two-year peak of $1.1915. Yet it still ended the week with a gain of 0.5% and was last trading at $1.1844.
The single currency has also made a notable break higher on the yen to reach ground not trod since April 2019. Indeed, the yen fell against most of its peers last week, with the dollar holding at 106.59 yen on Monday.
In commodity markets, gold eased 0.4% to $1,935 an ounce, after the jump in bond yields saw it lose 4.5% last week in its worst performance since March.
Oil prices edged ahead after data showed crude oil, gasoline, and distillate inventories all declined in the week-ending August 7. Brent crude futures rose 33 cents to $45.13 a barrel, while U.S. crude gained 39 cent to $42.40.
Reuters contributed to the story.
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