Gift Nifty Points to Positive Open for Sensex, Nifty as Brent Eases to $110

Mumbai, Nov 2: Indian equity markets are set for a gap-up or positive open on Monday, with Gift Nifty trading well above Friday’s Nifty close. 

Gift Nifty futures for the November 23 contract traded at 23,265.00 at 7.53 am, up 25 points or 0.11 per cent from the previous close of 23,240.00. 

The level is about 212 points, or 0.92 per cent, above the Nifty 50’s Friday close of 23,053.10. That points to a start comfortably above the 23,000 mark the benchmark reclaimed on Friday. 

Global cues are mixed. Brent crude has eased to USD 110.37 a barrel and Iran talks continue in Doha, but Wall Street ended sharply lower on Friday as worries over artificial intelligence spending hit technology shares. 

Domestic breadth is a concern after Friday’s session, when 2,862 stocks declined against 1,311 advances and the midcap and smallcap indices fell. 

Oil prices ease 

Brent crude fell 3.06 dollars, or 2.70 per cent, to USD 110.37 a barrel, while West Texas Intermediate lost 3.00 dollars, or 2.88 per cent, to USD 101.12. Murban crude was flat at USD 114.81, and the Opec basket was unchanged at USD 112.85. The softer tone came as Iranian and Qatari negotiators discussed a proposal to reopen the Strait of Hormuz within two days of a potential deal with Washington. 

Asian markets mixed on Monday morning 

South Korea’s Kospi rose 1.07 per cent to 5,791.87, and China’s Shenzhen index gained 0.77 per cent to 10,916.75, while the Shanghai Composite added 0.32 per cent to 3,610.70. Hong Kong’s Hang Seng edged up 0.12 per cent to 23,322.06. Singapore’s Straits Times index fell 1.43 per cent to 5,300.03, Taiwan’s benchmark dropped 0.76 per cent to 44,868.64 and Australia’s ASX 200 lost 0.64 per cent to 8,851.10. Japan’s Nikkei 225 slipped 0.31 per cent to 63,095.11, and New Zealand’s NZX 50 declined 0.94 per cent. 

Wall Street sinks as tech rout deepens 

The Nasdaq Composite tumbled 2.86 per cent to 25,437.00 and the Nasdaq 100 plunged 3.46 per cent to 28,384.85, while the S&P 500 lost 1.82 per cent to 7,580.07 and the Dow Jones Industrial Average fell 1.09 per cent to 51,770.31. Concerns over the scale of artificial intelligence investments and their potential returns triggered a sell-off in technology shares, and the VIX volatility index jumped 12.91 per cent to 19.42. The NYSE Composite declined 0.91 per cent and the Russell 2000 lost 1.66 per cent, but the Dow Jones Transportation Average rose 0.47 per cent and the utilities index added 0.66 per cent. 

Iran war: third day of Doha talks 

Iranian negotiators were in Doha on Sunday for a third consecutive day of talks with Qatari mediators aimed at a deal to end the US-Israeli war on Iran, an official briefed on the discussions told Reuters. Foreign Minister Abbas Araqchi said discussions on a two-day proposal were continuing without a final conclusion, after saying Iran and Qatar had developed a plan to reopen the Strait of Hormuz within two days of an agreement with Washington. US President Donald Trump has said the United States will not launch new attacks on Iran before the November 3 midterm elections, though he has not ruled out military action afterwards, and Secretary of State Marco Rubio said Trump has not decided on new strikes. Iran’s Supreme Leader Ayatollah Mojtaba Khamenei ordered the armed forces to be prepared for any attack, and Tehran says it would respond by striking US and Israeli targets in neighbouring countries. 

Sensex and Nifty rise for second straight session 

The BSE Sensex advanced 308.49 points, or 0.42 per cent, to close at 74,459.53, and the NSE Nifty 50 gained 116.35 points, or 0.51 per cent, on Friday to settle at 23,053.10, reclaiming the 23,000 mark. Buying in information technology and pharmaceutical stocks drove the recovery from a muted start, with the Nifty IT index climbing 2.3 per cent and the Nifty Pharma index gaining 1.8 per cent. Earnings-led gains in Trent and InterGlobe Aviation also helped, while consumer durables, PSU bank, energy and media indices declined more than 1 per cent each. Breadth was weak, with 1,311 shares advancing against 2,862 declining and 170 unchanged, and the Nifty Midcap and Nifty Smallcap indices fell 0.8 per cent and 1.8 per cent. 

Source

•  nseindia.com