Markets Today: S&P & Nasdaq at record; Nikkei; Rajputana Biodiesel listing

Stock Markets Today, Dec 3: The benchmark indices, Nifty50 and Sensex, may react to upbeat global cues in Tuesday's trading session. 

 

At 6:40 AM, GIFT Nifty was trading flat at 24,428, suggesting a muted opening for bourses.

 

On the first trading day of December (previous session), benchmarks reversed early losses to close on a positive note. The Sensex gained 445.29 points, or 0.56 per cent to settle at 80,248.08. Meanwhile, the Nifty50 closed 144.95 points higher, or 0.6 per cent, at 24,276.05.

 

Also Read: India's potential GDP growth is in range of 6.5-7%, says CEA Nageswaran

 

Domestic cues 

With limited domestic triggers, investors are expected to focus on stock-specific actions and developments in the primary markets.

 

Also Read: Windfall tax on domestic oil, fuel exports scrapped with immediate effect

 

IPO corner 

Property Share Investment Trust IPO (Mainline) will enter Day 2 of its subscription. On the other hand, Rajputana Biodiesel IPO (SME) will list on the bourses today. 

 

Also Read: Global investment group Prosus eyes five India listings in 12-18 months

 

Additionally, the Ganesh Infraworld IPO (SME) and Suraksha Diagnostic IPO (Mainline) will enter their final day of subscription, while Agarwal Toughened Glass IPO (SME) will see its allotment today.

 

FII, DII 

On the institutional front, Foreign Institutional Investors (FIIs) extended their selling spree, however, the quantum of selling reduced to Rs 238.28 crore on December 2, while Domestic Institutional Investors (DIIs) made purchases worth Rs 3,588.66  crore.

 

Global cues

  Asia-Pacific markets opened on a positive note on Tuesday, buoyed by gains on Wall Street where the S&P 500 and Nasdaq reached new record highs. 

 

Nikkei rose 1.1 per cent, while ASX 200 advanced 0.69 per cent. Topix added 0.89 per cent during early trading, and Kospi climbed 1.11 per cent

 

Meanwhile, South Korea's inflation rate for November increased to 1.5 per cent year-on-year, up from October's 1.3 per cent, though slightly below the 1.7 per cent anticipated by economists surveyed by Reuters.

 

Traders are now bracing for a series of economic reports, while assessing comments from Federal Reserve officials, which could shape expectations about the direction of interest rates. US JOLTs Job Openings for October will be eyed today.

 

Overnight in the US, the S&P 500 edged up 0.24 per cent to close at 6,047.15, while the Nasdaq Composite gained 0.97 per cent, finishing at 19,403.95. Both indices reached fresh intraday and closing highs. The Dow Jones, however, slipped 0.29 per cent, to close at 44,782.00, briefly surpassing the 45,000 mark during the session.

 

Attention is now turning to the US November payrolls report, due on Friday, which could provide critical insights into labour market strength ahead of the Federal Reserve's policy meeting scheduled for December 17-18. 

 

According to CME’s FedWatch Tool, Fed funds futures currently reflect a 76 per cent probability of an interest rate cut at the meeting.

 

Commodity check

  Oil prices remained steady on Monday as positive sentiment around robust factory activity in China was tempered by concerns over the US Federal Reserve potentially holding off on another interest rate cut in its December meeting. Brent crude futures slipped 1 cent to settle at $71.83 per barrel, while US WTI crude edged higher by 10 cents, closing at $68.10 per barrel.

 

Gold prices were up on Tuesday, after declining on Monday – ending a four-day winning streak, as the US dollar rallied sharply. Last checked, Spot gold was up 0.2 per cent at $2,644.05 per ounce.

 

Here's how analysts are assessing today's (December 3) trading session:

 

Rupak De, senior technical analyst at LKP Securities 

In the short-term, 24,420 remains a tough hurdle. A decisive move above this level could trigger a rally towards 24,770. On the lower end, support is placed at 24,100 and 24,000.

 

Shrikant Chouhan, head of equity research at Kotak Securities

  For trend-following traders, the 24,000/79,300 mark would act as a crucial support zone. As long as the market is trading above this level, the bullish sentiment is likely to continue. On the higher side, it could move up to 24,400-24,500/80,500-80,800. However, if it drops below 24,000/79,300, the uptrend would be vulnerable.