BackMarkets may be weak as global shares tumble, rise in covid cases weigh
Asian markets were down following a tumble in Wall Street stocks and oil prices on WednesdayThe IMF on Indian economy will contract 4.5% in FY21, reversing its rather optimistic forecast in April of 1.9%
PremiumMUMBAI: Indian markets are likely to be under pressure on Thursday while trends on SGX Nifty indicate a weak opening of benchmark indices. On Wednesday, the BSE Sensex ended at 34,868.98, down 561.45 points or 1.58% and the Nifty closed at 10,305.30, down 165.70 points or 1.58%.
Asian markets were down following a tumble in Wall Street stocks and oil prices on Wednesday after surging US coronavirus cases and the International Monetary Fund's downgrade oglobal economic projections shook confidence in a recovery.
Markets in Hong Kong and mainland China are closed for public holidays on Thursday.
The International Monetary Fund said it now expects a deeper recession, with global output to shrink 4.9% this year, much sharper than the 3.0% contraction predicted in April. It said Indian economy will contract 4.5% in FY21, reversing its rather optimistic forecast in April of 1.9% growth for the same year.
Yes Bank has adequate liquidity to meet all its obligations, the private lender said on Wednesday, a day after Icra and Care Ratings downgraded the upper tier-II bonds of Yes Bank to default.
The Competition Commission of India (CCI) has approved Facebook Inc’s acquisition of a 9.99% stake in Jio Platforms Ltd, a deal that secures a bigger foothold for the social media giant in one of the world’s fastest-growing internet markets.
ICICI Bank Ltd is likely to raise as much as $3 billion in a share sale as the lender seeks to bolster its capital ratios, according to a media report.
Board meeting of market regulator Securities and Exchange Board of India (Sebi) is scheduled on Thursday.
Apollo Hospitals, Ashok Leyland, Bank of India and TTK Prestige among others will announce their March quarter earnings today.
MSCI's gauge of stocks across the globe shed 2.24%. On Wall Street, the Dow Jones Industrial Average fell 2.72%, the S&P 500 lost 2.59% and the Nasdaq Composite dropped 2.19%.
Oil prices tumbled as much as 5%, or more than $2 a barrel on Wednesday, due to the growing covid-19 cases and rising oil inventories.
The dollar strengthened on the concerns of a slower economic recovery. The dollar index rose 0.624%.
(Reuters contributed to the story)
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