 "Share Market Today: RIL nod for bonus, US jobs data, Bazaar Style IPO eyed")
Share Market Today: The BSE Sensex and Nifty 50 are likely to open lower amid weak global cues, as investors await critical US payroll data scheduled to be released later today. This data will be significant as it could decide whether a rate cut expected this month will be regular or super-sized.
At 7:02 AM, GIFT Nifty futures were down 91.5 points at 25,143.5.
Additionally, in the US, investors will eye numerous economic data releases, including payroll numbers and unemployment rate, along with Fed balance sheet for September, among others.
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In the Asia Pacific region, Japan's foreign exchange reserve data for August and household spending data for July will be on investors' radar.
Back home, investors will eye bank loan growth, deposit growth, and foreign exchange reserve data. Further, India has surpassed China to become the top weight nation in the MSCI Emerging Market (EM) Investable Market Index (IMI) for the first time. That apart, Reliance Industries (RIL) board approved the bonus share issue in a 1:1 ratio.
Meanwhile, the Goods and Services Tax (GST) Council is scheduled to hold a meeting on Monday, where members could likely decide on four options regarding tax treatment of health insurance. The cost to the exchequer could potentially range from nearly Rs 650 crore to Rs 3,500 crore.
Crude oil below $73
On the commodity front, last seen, Brent crude oil was up 0.14 per cent at $72.79 per barrel.
US markets on Thursday
The US markets traded mixed, with the Dow Jones closing down 0.54 per cent and the S&P 500 shedding 0.30 per cent. Meanwhile, Nasdaq Composite was up 0.25 per cent.
Asian markets performance today
Markets in the Asia-Pacific region followed the US markets' suit and traded mixed. At last count, Nikkei was flat with a positive bias and ASX 200 was up 0.14 per cent. Meanwhile, the Hang Seng index was unchanged and Shanghai was down with a negative bias.
Here's how analysts view today's (September 6) trading session
Rupak De, Senior Technical Analyst, LKP Securities
Going forward, a clear directional trend may not emerge as long as the index remains within this range. A decisive move above 25,200 could potentially push the index towards 25,350/25,500. Support on the lower end is placed at 25,080/24,950.
Vinod Nair, Head of Research, Geojit Financial Services
The market is now seeking new catalysts, particularly in how the Fed evaluates the challenge of achieving a soft landing. Meanwhile, the broader market outperformed, benefiting from positive service PMI data that suggests supportive domestic economic conditions.
Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas
On the daily charts, we can observe that after the gap down in the previous trading session, the price structure has weakened. The uptrend is still intact however there is a high probability of a consolidation within the range of 25,000 – 25,350 over the next few trading sessions. Dips towards the support zone 25,100- 25,050 should be used as a buying opportunity. On the upside immediate hurdle is placed at 25,300 – 25,350.
The Nifty Bank outperformed today and closed in the green. The Banking sector stood out after underperforming in the recent days. We expect the Bank Nifty to take the lead going ahead and expect levels of 51,900 – 52,000 from a short term perspective. The crucial support zone is placed in the range 51,100 – 51,000.
FII, DII update: How much did FIIs, and DIIs buy or sell on September 5?
As per NSE data, Foreign Institutional Investors (FII) were net sellers of Indian equities worth Rs 688.69 crore. Conversely, the DII's were net buyers of equities worth Rs 2,970.74 crore.
IPO watch today: Baazar Style Retail, Boss Packaging Solutions listing; Vision Infra Equipment Solutions opens; Mach Conferences and Events, Namo eWaste Management closes
Main Board IPO:
Shares of Baazar Style Retail's initial public offer (IPO) will be listed on the NSE and BSE today. As per multiple sources that track the grey market, the GMP for Bazaar Style Retail was Rs 33, at last check.
NSE, BSE SME IPOs:
Vision Infra Equipment Solutions IPO will open for subscription today on the NSE under the SME category. It is a book-built issue of Rs 106.21 crore. The issue is entirely a fresh issue of 6.51 million shares.
Mach Conferences and Events' and Namo eWaste Management's IPO close for subscription today on the BSE and NSE under the SME category respectively.
Shares of Boss Packaging Solutions IPO will list today on NSE SME.
Here's how the Indian benchmark performed on Thursday:
Benchmark equity indices finished lower, led by selling in heavyweight Reliance Industries, and other bluechip stocks. The BSE Sensex shed 151.48 points or 0.18 per cent to settle at 82,201.16, while the NSE Nifty50 dropped 53.60 points or 0.21 per cent to end at 25,145.10 on Thursday.