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The benchmark indices on Tuesday were trading higher as investors awaited the US Federal Reserve's meeting that begins later in the day for clues on the outlook for US monetary policy, while crude oil prices pulled back after their surge to 18-month highs.
At 12:06 am, the S&P BSE Sensex was trading at 26,590, up 76 points, while the broader Nifty50 was ruling at 8,183, up 13 points.
The market breadth, indicating the overall health of the market, was positive. On the BSE, 577 shares rose and 462 shares declined. A total of 53 shares were unchanged.
The market breadth, indicating the overall health of the market, was positive. On the BSE, 577 shares rose and 462 shares declined. A total of 53 shares were unchanged.
“Nifty has been consolidating in a broader range of 8,055 to 8,275 zones from last twelve trading sessions ahead of Fed meet on 13th and 14th December 2016. Now on the downside it might find support near to 8,080-8,055 zones while 8,250-8,275 would restrict its upside move for next few sessions,” said brokerage Anand Rathi in a technical report.
Investors also awaited November CPI data, which will be released today, while trade deficit data is scheduled between 13-15 December and WPI inflation will be released tomorrow.
On Monday, foreign investors turned net sellers with net sale value of Rs 94 crore, while domestic investors also sold equities worth Rs 266 crore, provisional data available with BSE showed.
Buzzing stocks
Tata Motors jumped 5% and was the leading gainer on Sensex following news reports that global financial services firm Morgan Stanley will purchase 50 million shares or 1.73% stake in the auto major on behalf of an undisclosed client on Tuesday.
ALSO READ: 50 million shares: Are Tatas buying 1.73% in Tata Motors ahead of EGM voting?
Kwality gained over 1% after the dairy firm reported a 12% increase in its net profit at Rs 42.07 crore for the second quarter of this fiscal. The company's net profit came in at Rs 37.50 crore in the year-ago period.
KNR Constructions was trading higher by 5% at Rs 169 in an otherwise range-bound market after the stock turned ex-stock split from Rs 10 to Rs 2.
Vakrangee dipped over 9% in intra-day trade on back of heavy volumes. The stock has fallen 11% from its record high of Rs 288 touched in early morning trade.
US Fed meet
The Fed is widely expected to hike interest rates for the first time in 2016 at a two-day meeting, with markets pricing in a nearly 100% chance of a quarter percentage point increase to the Fed's target range of 0.25 to 0.50%.
Buzzing stocks
Tata Motors jumped 5% and was the leading gainer on Sensex following news reports that global financial services firm Morgan Stanley will purchase 50 million shares or 1.73% stake in the auto major on behalf of an undisclosed client on Tuesday.
ALSO READ: 50 million shares: Are Tatas buying 1.73% in Tata Motors ahead of EGM voting?
Kwality gained over 1% after the dairy firm reported a 12% increase in its net profit at Rs 42.07 crore for the second quarter of this fiscal. The company's net profit came in at Rs 37.50 crore in the year-ago period.
KNR Constructions was trading higher by 5% at Rs 169 in an otherwise range-bound market after the stock turned ex-stock split from Rs 10 to Rs 2.
Vakrangee dipped over 9% in intra-day trade on back of heavy volumes. The stock has fallen 11% from its record high of Rs 288 touched in early morning trade.
US Fed meet
The Fed is widely expected to hike interest rates for the first time in 2016 at a two-day meeting, with markets pricing in a nearly 100% chance of a quarter percentage point increase to the Fed's target range of 0.25 to 0.50%.
What matters most to investors is the Fed's statement and economic projections, which will be examined for any signs of reaction to Donald Trump's surprise victory in the November 8 US presidential election.
Crude prices come off highs
Oil prices were firm in today’s trade as the first signs of a crude production cut organized by OPEC and other exporters materialized, tightening a market that has been grappling with ballooning oversupply for over two years.
Brent crude futures, the international benchmark for oil prices, were trading at $55.76 per barrel at, up 7 cents from their last settlement.
US West Texas Intermediate (WTI) crude futures were weaker, down 7 cents at $52.76 a barrel, as American producers did not participate in the cut.
Global markets
MSCI's broadest index of Asia-Pacific shares outside Japan edged up 0.1% in early trade, while Japan's Nikkei stock index slid 0.5% as the dollar came off highs against the yen. China’s Shanghai Composite and Hong Kong’s Hang Seng index was down 0.67% and 0.46%, respectively.
Overnight, the S&P 500 and the Dow hit fresh record highs fueled by energy shares, while the Nasdaq was lower, a day ahead of the Fed's two-day meeting.
European stocks finished on a lower note. UK will release its November CPI figures today while the German ZEW Economic Sentiment for the month of December is also expected to be out today.
