10 things you need to know before the opening bell on October 1
Indian shares are set to open higher on Tuesday over hopes of a larger-than-expected cut in key interest rates by the Reserve Bank of India. However, muted trades in global markets and Indian trade and manufacturing data could limit gains in local markets. At 7.15 AM, the SGX Nifty futures traded 29 points, or 0.25 percent, higher at 11,567, pointing to a positive start for the Sensex and the Nifty.
Equities in global markets traded marginally higher on Tuesday as some investors clung to hopes that China and the United States could work towards reaching a deal on trade and other issues in the fourth quarter, reported Reuters. Japan’s Nikkei rose 0.6 percent, while MSCI’s broadest index of Asia-Pacific shares outside Japan inched up 0.11 percent. US stock futures rose 0.16 percent in Asia, a day after the S&P 500 gained 0.50 percent. (Image: Reuters)US stocks climbed on Monday, helped by gains in Apple, Microsoft and Merck & Co, as investors set aside worries about the US-China trade war, reported Reuters. The Dow rose 0.36 percent, while the S&P 500 gained 0.50 percent. The Nasdaq added 0.75 percent. For the month, the S&P 500 rose 1.7 percent, the Dow added 2.1 percent and the Nasdaq gained 0.5 percent. (Image: Reuters)Oil slipped on Monday as China’s economic outlook remained weak even as manufacturing data improved, with the continuing trade war with the United States weighing on demand growth for the world’s largest crude importer, reported Reuters. Brent crude futures were down 1.4 percent at $61.06 a barrel by 1107 GMT. US WTI crude futures fell by 1.1 percent to $55.32. (Image: Reuters)Indian shares fell on Monday after a two-week rally, dragged down by declines across banking and financial shares. The Sensex ended 155 points lower at 38,667, while the broader Nifty50 index lost 38 points to end the day at 11,474. The Indian rupee declined 31 paise to close at 70.87 against the US dollar amid rising demand for the greenback vis-a-vis other currencies overseas, even as crude oil prices eased. (Image: CNBC-TV18)India’s fiscal deficit touched Rs 5.54 lakh crore at the end of August, which was 78.7 percent of the Budget Estimate for 2019-20, official data showed. In absolute terms, the fiscal deficit or the gap between expenditure and revenue was Rs 5,53,840 crore as on August 31. The deficit was at 86.5 percent of the 2018-19 Budget Estimate (BE) in the corresponding month a year ago. The government has pegged the fiscal deficit for the current financial year at Rs 7.03 lakh crore, while aiming to restrict the deficit at 3.3 percent of the gross domestic product (GDP). (Image: Reuters)The government said its borrowing in the current fiscal will be within the budgeted Rs 7.1 lakh crore, and will stick to the fiscal deficit glide path, but it remained non-committal on the country’s maiden overseas sovereign debt plan. With over 62 percent of the budgeted borrowing being already resorted to in the six months to September 30, Economic Affairs Secretary Atanu Chakraborty said the remaining half of the current fiscal will see the remainder of Rs 2.68 lakh crore being borrowed in rupee denomination. (File Photo: IANS)The government cut domestic natural gas price for the first time in two-and-a-half years but rates for gas produced from difficult fields such as Reliance Industries’ under-development fields in KG-D6 block are still at almost the same level as the one fixed during the Congress-led UPA regime. This is the first reduction in rate since April 1, 2017. (Stock Image)Lower crude prices and higher invisible receipts have helped the country narrow the current account deficit to 2 percent of GDP or at $14.3 billion in the first quarter, down 30 basis points from year-ago, the Reserve Bank said. In the year-ago period, CAD had printed at 2.3 percent of GDP or USD 15.8 billion. The net foreign direct investment was $13.9 billion in Q1 up from $9.6 billion last year. (Image: Reuters)The country’s external debt stood at $557.4 billion in the June quarter, an increase of $14.1 billion over the quarter ended March 2019, the Reserve Bank of India said. Valuation losses due to the depreciation of the US dollar against the rupee and other major currencies were placed at $1.7 billion. Excluding the valuation effect, the increase in external debt would have been $12.4 billion instead of $14.1 billion at end-June 2019 over end-March 2019. (Stock Image)India Ratings and Research on Monday revised its outlook on the auto sector to stable-to-negative from stable for the remaining half of the current fiscal. However, credit metrics of auto OEMs are expected to remain resilient in the October-March period of FY20, albeit at lower levels than those observed over the last five fiscals, Ind-Ra said in a release.
