Weak opening on the cards on dismal global cues

3 Nov 2022 , 08:35 AM

SGX Nifty: Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could slump 175 points at the opening bell. Focus will be on the Reserve Bank of India (RBI) scheduled today, 3 November 2022. An additional meeting of the Reserve Bank of Indias Monetary Policy Committee (MPC) has been scheduled for 3 November 2022. The meeting with its rate-setting panel could be held to discuss RBIs reply to the government, explaining the reasons of its failure to contain inflation up to 6%, as per reports. The RBIs rate-setting panel last met on 28 – 30 September, 2022 and was slated to meet for the last time this calendar year on 5 – 7 December. The MPC had on 30 September, 2022, increased the policy repo rate by 50 basis points (bps) to 5.9%. Global markets: Overseas, Asian stocks are trading lower on Thursday after Federal Reserve Chairman Jerome Powell said the Federal Reserve would raise interest rates more than previously anticipated. Japanese market is closed for a holiday Thursday. Chinas Caixin Services Purchasing Managers Index came in at 48.4 for October, the the lowest reading since May and the second consecutive contraction for the sector. In September, the print was 49.3, also below the 50 point mark, indicating a contraction. US stocks closed lower in a volatile trading session on Wednesday as the Federal Reserve delivered another 75 basis point rate hike and hinted at its intentions to continue hiking. The Federal Reserve pumped up its benchmark interest rate Wednesday by three-quarters of a point. The Feds move raised its key short-term rate to a range of 3.75% to 4%. Domestic markets: Back home, the equity benchmarks ended lower on Wednesday, snapping their four-day rising streak. The barometer index, the S&P BSE Sensex, declined 215.26 points or 0.35% to 60,906.09. The Nifty 50 index lost 62.55 points or 0.34% to 18,082.85. Foreign portfolio investors (FPIs) bought shares worth Rs 1,436.30 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 1,378.12 crore in the Indian equity market on 2 November, provisional data showed. Powered by Capital Market – Live News