Markets seen rangebound; Agriculture companies, Future Enterprises in focus2 min read . Updated: 21 Sep 2020, 08:23 AM IST
- Asian shares held to tight ranges in early deals, as investors awaited developments on US fiscal stimulus and coronavirus vaccines amid a resurgence of infections in Europe
Indian stocks are likely to be rangebound on Monday, while trends in the SGX Nifty suggest a negative opening for the benchmark indices. On Friday, the BSE Sensex ended at 38,845.82, down 134.03 points or 0.34%. The 50-share index Nifty was at 11,504.95, down 11.15 points or 0.10%.
Asian shares and most currencies held to tight ranges in early deals, as investors awaited developments on US fiscal stimulus and coronavirus vaccines amid a resurgence of infections in Europe.
MSCI's broadest index of Asia-Pacific shares outside Japan was a shade weaker, though it was not too far from a June 2018 peak at 568.84.
Japanese markets were closed for a public holiday.
Prime Minister Narendra Modi hailed what he called a “watershed moment" after the government managed to get two controversial farm bills voted through in the Rajya Sabha on Sunday, overriding strident opposition demands for scrutiny by a house committee. Modi said the Farmer’s Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020, and the Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020, would transform agriculture and empower millions of farmers after the bills were approved by a voice vote amid disruptions. Farm and agri-related stocks are likely to be in focus today.
Future Enterprises Ltd (FEL) on Friday said it has defaulted on debt repayment towards commercial paper. The company is unable to service its obligations in respect of the payment of commercial paper after its maturity and the gross principal amount on which the default has occurred on September 14, 2020, is ₹90 crore, it said.
Shares of Route Mobile will make stock markets debut on Monday. The ₹600 crore issue of Route Mobile was subscribed 73 times with a price band of
of ₹345- ₹350 per share in its three day sale during 9-11 September.
On Monday, two issues will be open for subscription- Computer Age Management Services (CAMS) and Chemcon Speciality Chemicals Limited.
In currencies, the dollar held near a more than 3-1/2 month trough against the safe-haven yen at 104.52.
The euro was up 0.1% on the day at $1.1845 and has lost 0.76% in a month, while the risk sensitive Australian dollar was flat at $0.7289.
The British pound was up 0.1% at $1.2930. That left dollar index which tracks the greenback against a basket of six major rivals, barely changed at 92.956.
In commodities, US crude CLc1 slipped 0.46% to $40.92 a barrel. Brent crude LCOc1 fell to $42.99 per barrel. Gold was slightly lower, with spot prices at $1,949.6 per ounce.
(Reuters contributed to the story)