India’s benchmarks, the BSE Sensex and NSE Nifty, are set to open lower on Monday, reflecting weakness in Asian peers and a negative finish on Wall Street on rate hike fears. Negative trends on SGX Nifty also signaled a lower open for domestic exchanges, with SGX Nifty futures trading 80 points, or 0.46%, down to 17,250 on the Singapore Stock Exchange as of 08:20. Investors will keep an eye on corporate earnings figures for future clues, with IT firm Mindtree, mortgage lender Star Housing Finance and others set to release their earnings reports today. On the macro front, inflation figures based on the WPI will be announced later today.
Last week, domestic equities settled the shortened holiday week into negative territory amid concerns over rising inflation and fears of possible hawkish policy from the US Federal Reserve. The benchmark BSE Sensex ended the week with a loss of 1,108 points, or 1.9%, to 58,334 on April 13. The 50-stock NSE Nifty Index fell 1.7% to 17,476 over the same period. Hindalco Industries was the biggest laggard, followed by Tata Motors, Wipro, Coal India and Bajaj Finserv among others. Among the sectors, the information technology index fell the most, followed by teak, metals, real estate and capital goods.
HDFC Bank: The country’s largest private sector lender by assets posted a 22.82% year-on-year (YoY) growth in net profit to ₹10,055.2 crore for the fourth quarter ended on March 31, 2021. Net income (net interest income plus other income) increased by 7.3% year-on-year to ₹26,509.8 crore in the fourth quarter of FY22.
Infosys: The country’s second-largest IT services company posted a 12% year-on-year increase in its consolidated net profit to ₹5,685 crore in the January-March quarter of the 2021-22 financial year. Consolidated operations revenue increased by 22.7% to ₹32,376 crore from ₹26,311 crore in the corresponding quarter last year.
Coal India: The state-owned coal miner is launching its own online auction platform and has notified new and existing bidders to register on the portal, according to a company official.
Tata Steel: The steelmaker’s board will consider a proposal to split its shares with a face value of ₹10 each. The decision will be subject to regulatory, statutory and shareholder approvals.
CGSB: The oil and gas major has successfully drilled three gas wells in Tripura using a new technology, managed pressure drilling (MPD), a company official said.
Prudential life insurance ICICI: The insurer reported a doubling of its net profit to Rs 185 crore for the January-March quarter, from ₹64 crore a year ago.
Lupine: The drugmaker has received US health regulator approval for an antidepressant drug, Desvenlafaxine 25mg tablets.
Mahindra and Mahindra: The car major raised the price of its vehicles by 2.5% amid rising prices for key raw materials such as steel, aluminum and palladium.
TV engine: The two- and three-wheeler manufacturer bought 1.81% of the capital of Roppen Transportation Services (Rapido).
UltraTech Cement: The wholly-owned subsidiary of the Aditya Birla Group company in the UAE has invested $101 million to acquire a 29.39% stake in RAK Cement Co for white cement and PSC building materials.
Here are the key things investors should know before the market opens today:
US stocks end lower
On Wall Street, all three major U.S. indexes closed lower on Friday amid looming fears of aggressive Federal Reserve policy in the coming months, while concerns over the Russia-Ukraine war and the Covid situation -19 in China also rattled market sentiment. The S&P 500 fell 1.21%, the Dow Jones Industrial Average fell 0.33% and the Nasdaq Composite plunged 2.14%.
Asian markets fall in early trades
Shares in the Asia-Pacific region were trading mostly lower when trading opened on Wednesday, following weak signals from U.S. markets. Concerns over aggressive rate hikes by the US Federal Reserve and the ongoing conflict between Russia and Ukraine have shaken market confidence.
Japan’s benchmark Nikkei 225 fell 1.9% in opening trades, South Korea’s KOSPI fell 0.1% and Singapore’s Straits Times Index fell 0.4%. In a similar trend, Thailand’s SET Composite lost 0.25%, while Taiwan’s weighted index fell 0.35%.
Contrary to the trend, the Australian ASX 200 index rose 0.6% and the Indonesian Jakarta Composite index added 0.5%.
In mainland China, the Shenzhen Component traded flat with a negative bias, while the Shanghai Composite fell 0.9% in early trading.
Oil prices rebound as Ukraine crisis deepens
The price of Brent crude and U.S. crude oil rebounded on Monday amid renewed concerns about a tighter global supply, with the worsening situation in Ukraine raising the prospect of further sanctions against Russia. In Asian trading Monday, Brent oil for June delivery rose 1% to $112.8 a barrel, while U.S. West Texas Intermediate (WTI) crude futures climbed 0.8% at $107.2 a barrel.
Meanwhile, domestic petroleum retailers kept gasoline and diesel prices unchanged for the twelfth straight day on Monday, following several increases over the past month. National oil companies have raised fuel tariffs by ₹10 per liter since the end of a four-and-a-half-month long hiatus in tariff review on March 22, when the results of five Assembly polls were announced .
REITs withdrew ₹4,500 cr from stocks last week
Foreign Portfolio Investors (REITs) flushed more than ₹4,500 crore from the Indian stock market last week amid fears of a bigger than expected rate hike by the US Federal Reserve following the rise in l ‘inflation.
FIIs remain net sellers, DIIs net buyers
the foreign institutional investors (FIIs) became net sellers in the Indian stock market on April 13, while domestic institutional investors (DIIs) remained net buyers. According to exchange data, FIIs unloaded shares worth ₹2,061 crore, while DIIs bought shares net worth ₹1,410.85 crore.
Mindtree, Star Housing Finance, Ramsarup Industries, Sheetal Cool Products, SE Power, SM Gold, Earum Pharmaceuticals, DRC Systems India, Mishtann Foods and Swiss Military Consumer Goods will release their quarterly results today.