Before the trading day begins, learn about the number of factors that may influence share prices and the trading climate in stock markets.
Important developments across the globe, current situation of global markets, sentiments, and the overall news related to stocks or companies are some of the key indicators that you need to consider before investing in the stock market.
Also, the views of brokerages on select stocks and buy/hold/sell recommendations with target prices play a significant role in determining how the markets are going to perform.
Here are some of the factors that may affect the stock market today.
Dollar Index: US Dollar Index (DXY) faded the uptick to 98.40 and is now looking towards the speech of Federal Reserve chair Jerome Powell. The DXY moved to highs near 98.40 and dropped afterwards. Yields of the US 10-year note advanced to weekly high above 1.62 per cent. Initial claims rose by 209,000 WoW, flash PMIs come in later. The US dollar last traded at 98.202 against a basket of its peer.
Asian Markets: Asian markets witnessed a subdued start to trade as Japan-South Korea tensions escalate. Seoul said it was cancelling an intelligence-sharing pact with Tokyo.
US Markets: Dow ended marginally higher in trade with 0.2 per cent gains in a volatile session after rising over 180 points. Boeing’s 4.2 per cent gain pushed the Dow higher. S&P ended just below the flatline, while the Nasdaq fell 0.4 per cent. Investors awaited a key speech from the Federal Reserve’s top official.
European Markets: European stocks closed lower with the main part of the yield curve inverted once again. Yield curve inversion is the third trigger of the recession indicator in less than two weeks. Minutes from July 25 meeting showed ECB policymakers suggested a combination of measures to prop up the euro zone. The pan-European Stoxx 600 closed provisionally down 0.5 per cent.
Crude: Oil slipped 0.6 per cent as global growth fears, Fed comments weigh on crude. Oil eased in the morning hours of trade.
STOCKS IN NEWS
Future Retail: Amazon will acquire 49 per cent stake in Future Coupons. The e-commerce major has agreed to make an equity investment in Future Coupons for acquiring a 49 per cent stake. The financial details of the transaction were not disclosed. As part of the agreement, Amazon has been granted a call option. The deal gives Amazon call option to acquire all or part of promoter shares in Future Retail. Call option is exercisable between the 3rd to 10th years.
DHFL: DHFL’s debt may get untenable tag with the banks set to declare 65 per cent (Rs 24,700 crore) of their loans as unsustainable, according to a Mint report. Of the total unsustainable debt, Rs 760 crore will be converted into equity at Rs 54 per share. Rs 8,740 crore will be recast into unsecured debt. The remaining Rs 15,200 cr of unsustainable debt will be converted into 10 year NCDs with a coupon rate of 6 per cent.
Glenmark: Glenmark is in talks to sell up to 30 per cent in API unit to PremjiInvest, according to an Economic Times report. The sale may fetch Rs 1,100 crore. The company was earlier in talks with True North, Carlyle and Goldman Sachs.
Vedanta: PM Modi has asked Zambian President Edgar Chagwa Lunga to resolve crisis over Vedanta’s mine. Lunga met Vedanta Chairman Anil Aggarwal in Delhi this week. The Konkola copper mine is owned and operated by Vedanta. The Zambia government wanted to take away mine and hand it over to China. Vedanta got reprieve from the South Africa High Court.
63 Moons Technolgies: Bombay HC has vacated attachment order of MPID on properties of 63 Moons.63 Moons had challenged MPID Act in the Bombay HC. The company earlier was known as Financial Technologies.
HDFC Bank: The board has appointed Srinivasan Vaidyanathan as the CFO of the bank with immediate effect.
Pidilite: The company has commissioned adhesive manufacturing plant in Bangladesh. This is the second addition to already existing plant in Munshigonj, Bangladesh. The firm now has eight facilities outside India.
DLF: The real estate major has clarified on the SC notice, terming the allegations as false. It said the matter referred in articles pertains to a notice issued by the SC on July 22, adding aforesaid litigation did not meet materiality threshold. It said the company will respond to SC’s notice in due time.
Capacite Infraprojects: The company has clarified that I-T Authorities are carrying out search at its premises from August 20. It said the search has no impact on routine operations.
BHEL: Crisil has revised the outlook on its long-term bank facilities to ‘negative’ from ‘stable’, and has reaffirmed the rating at ‘AA+’. The rating on the short-term bank facilities have been reaffirmed at 'A1+'.
LIC Housing Finance: Fidelity Group has sold 1.92 crore shares (3.8 per cent) at Rs 428.36 per share. Goldman Sachs has acquired 71 lakh shares (1.41 per cent) at Rs 427.61 per share.
Somany Ceramics: The company’s board has approved draft scheme of amalgamation of Schablona India with the cfirm.
Shree Renuka Sugars: India Ratings and Research placed the company’s long-term issuer rating of 'BBB+' on Rating Watch Negative.
Rashtriya Chemicals & Fertilizers: ICRA has assigned credit rating on the company’s long-term bank facilities worth Rs 5,100 crore at ‘AA’, with a negative outlook.
Interglobe Aviation: IndiGo will start flights to Singapore from Delhi from September 12.
Dabur: The company’s arm has Acquired management control of Excel Investment FZE in Sharjah, UAE.
July IndiGo's Market Share At 47.8%
July SpiceJet's Market Share At 15.5%
July Air India's Market Share At 12.4%; Go Air Market Share At 11.1%
July Air India Passenger Load Factor 79.7% vs 81.2% MoM
July IndiGo Passenger Load Factor 86.2% vs 90.1% MoM
July SpiceJet Passenger Load Factor 92.4% vs 93.7% MoM
July Air India Passenger Load Factor 79.7% vs 81.2% MoM