The markets are likely to open soft as the government announces the October industrial production data later in the day.
Nifty on Tuesday hit a 23-month intra-day high but ended marginally down as traders took to booking profits.
Meanwhile, global agency S&P has warned that a downgrade is likely for India if its political climate worsens and pace of fiscal reforms slows down. For now they have retained India’s sovereign ratings at BBB-minus.
In US, markets ended higher on Tuesday, as investors grew optimistic that the Federal Reserve may announce more stimulus measures when it wraps up its final meeting of the year. Dow added 79 points while Nasdaq jumped over a per cent.
Asian markets advanced in morning deals. Nikkei, Taiwan and Hang Seng added around half a per cent each.
At 7:00 am IST, the SGX Nifty was up 15 points at 5,947.
STOCKS TO WATCH
In individual stocks, Bangalore-based public sector defence major Bharat Electronics Limited has signed a memorandum of understanding with Israel Aerospace Industries for cooperation on future Long Range Surface to Air Missile Ship-Defence Systems. The stock is likely to be in focus today.
India has revoked a patent granted to an asthma drug made by Schering Corp, later bought by US-based Merck & Co, citing lack of invention, after Indian drugmaker Cipla challenged an earlier decision. Both Merck and Cipla would be in the limelight today.
Also look out for NTPC as the state-run company has decided to sign fuel supply agreements with Coal India in a month, without any major change in the norms of draft FSAs.
Wipro may come in focus as the market regulator Sebi has approved the company’s demerger route for the compliance of minimum public shareholding requirement.