Market Today
The benchmark Sensex and Nifty indices are likely to open flat on March 6 as trends in the GIFT Nifty indicate a muted start for the broader index with a loss of 18 points.
The Indian equity benchmarks snapped their four-day winning run to end lower on March 5 on mixed global cues and selling in information technology and FMCG names in a highly volatile session.
At close, the Sensex was down 195.16 points or 0.26 percent at 73,677.13, and the Nifty was down 49.30 points or 0.22 percent at 22,356.30.
The pivot point calculator indicates that the Nifty is likely to take immediate support at 22,291, followed by 22,256 and 22,200. On the higher side, it may face resistance at 22,370, followed by 22,439 and 22,495 levels.
Stay tuned to Moneycontrol to find out what happens in the currency and equity markets today. We have collated a list of important headlines across news platforms, which could impact Indian as well as international markets.
GIFT Nifty
Trends in the GIFT Nifty indicate a flat start for the broader index in India, with a loss of 18 points or 0.08 percent. The Nifty futures were trading around the 22,421.50 level.
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US Markets
Wall Street stocks closed sharply lower on Tuesday, while bitcoin and gold scaled all-time highs as market participants eyed upcoming economic data and central bank actions.
The Dow Jones Industrial Average fell 404.64 points, or 1.04 percent, to 38,585.19, the S&P 500 lost 52.3 points, or 1.02 percent, to 5,078.65 and the Nasdaq Composite dropped 267.92 points, or 1.65 percent, to 15,939.59.
Asian Markets
Asian markets were trading lower on Wednesday with Kospi down 0.5 percent and Nikkei down 0.3 percent.
Bitcoin rises to record high
Bitcoin hit a record high on Tuesday, fueled by investors pouring money into US spot exchange-traded crypto products and the prospect that global interest rates may fall.
The world’s largest cryptocurrency hit a high of $69,202, topping November 2021’s all-time peak of $68,999.99. Investor interest has increased since the Securities and Exchange Commission approved 11 spot bitcoin ETFs in late January.
Ant Group arm likely to sell up to 2% stake in Zomato for Rs 2,800 cr via block deal
China’s Ant Group’s arm Antfin Singapore Holdings Pte is likely to sell up to 2% stake (17.64 crore shares) in Zomato for Rs 2,800 crore through a block deal, sources told CNBC-Awaaz on March 5.
The floor price for the block deal has been fixed at Rs 159.4 per share, which represent 4 percent discount to current market price of Zomato stock, the channel reported.
RBI bars JM Financial from financing against shares and debentures; major deficiencies cited
The Reserve Bank of India (RBI) on March 5 barred JM Financial Products Ltd (JMFPL) from giving loans against shares and debentures, including sanction and disbursal of loans against Initial Public Offering (IPO) of shares, with immediate effect.
Announcing the decision, the RBI said the action has been taken after observing certain serious deficiencies in the financial services firm’s loan process. More importantly, the central bank highlighted that there are serious concerns on the governance issues in the company, apart from violation of regulatory guidelines.
“This action is necessitated due to certain serious deficiencies observed in respect of loans sanctioned by the company for IPO financing as well as NCD subscriptions,” RBI said.
Sumitomo Wiring to sell 4.5% stake in Samvardhana Motherson via block deal: Sources
Sumitomo Wiring, a promoter entity in automotive company Samvardhana Motherson, is likely to offload 4.5 percent stake via block deal, CNBC Awaaz reported on March 5, citing sources.
Around 30 crore shares would be sold by Sumitomo Wiring through the block deal, the report said.
The floor price for the block deal has been set at Rs 121-122 per share, the persons privy to the development told the news channel. This would be lower by 2.5-3.5 percent as against the market price.
JP Morgan and ICICI Securities would be the broker to deal, the report added.
US services sector cools in February
US services industry growth slowed a bit in February amid a decline in employment, but a measure of new orders increased to a six-month high, pointing to underlying strength in the sector.
The Institute for Supply Management (ISM) said on Tuesday that its non-manufacturing PMI slipped to 52.6 last month from 53.4 in January. A reading above 50 indicates growth in the services industry, which accounts for more than two-thirds of the economy. Economists polled by Reuters had forecast the index little changed at 53.0.
FII and DII data
Foreign institutional investors (FIIs) net bought shares worth Rs 574.28 crore, while domestic institutional investors (DIIs) purchased Rs 1,834.61 crore worth of stocks on March 5, provisional data from the NSE showed.
Stock under F&O ban on NSE
The NSE has retained Zee Entertainment Enterprises on the F&O ban list for March 6.
With inputs from Reuters and other agencies
