Comments
Domestic markets are expected to open flat as global stocks remain calm. Analysts said the lack of positive clues and uncertainty over the banking crisis, keep investors under tenterhooks. Analysts fear selling pressure to continue in mid- and small-cap space.
However, the investors continue to remain cautious as stress in the US and European financial systems makes their central banks’ actions complex, said Vinod Nair, Head of Research at Geojit Financial Services.
SGX Nifty at 17058 signals a flat opening. Equities across the Asia Pacific are flat with most of them see lacklustre.
- Also read: SAT sets aside SEBI order against Arshad Warsi, his wife for lack of evidence pending investigations
Craig Erlam, Senior Market Analyst, UK & EMEA, OANDA, said that it’s been a relatively calm start to the week, with investors seemingly relieved that the weekend brought no fresh turmoil in the banking sector.
“That was clearly the fear going into it on Friday, with Deutsche Bank being hit particularly hard amid concerns it could be next in the firing line even if the fundamentals didn’t necessarily back that up.”
Though the benchmarks remained flat, small-cap and mid-cap stocks plunged sharply.
S&P Global Ratings on Monday kept its forecast for India’s economic growth unchanged at 6 per cent in the fiscal year starting April 1, before rising to 6.9 per cent in the following year.
“Nifty again failed to hold on to intra-day gains and witnessed a last-hour selloff. The 16,747-16,828 band could offer support in the near term while 17,107-17,145 could offer resistance. The mood in Indian markets currently in the holiday-shortened week and ahead of the fiscal year-end seems to be to reduce positions, especially in the broader market and take tax losses,” said Deepak Jasani, Head of Retail Research, HDFC Securities.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.