Sensex, Nifty Likely To Open Flat

Sensex, Nifty Likely To Open Flat

At 7:30 am, the Nifty futures were trading lower by two points on Singapore Stock Exchange.

The domestic stock markets are likely to open flat, due to edginess seen across the Asian and US markets and a tentative start on SGX Nifty. Trends on SGX Nifty indicate a flat opening for the index in India, with a 2-points loss. At 7:30 am, the Nifty futures were trading at 11,914, lower by two points, on the Singapore Stock Exchange.

Asian investors prepared for rough trading on Thursday after a bumpy session on Wall Street amid fears that agreement on a key U.S. stimulus bill will not be reached until after the presidential election on November 3.

MSCI's gauge of stocks across the globe shed 0.06 per cent. Nikkei 225 index closed up 0.31 per cent at 23,639.46. The futures contract is down 0.31 per cent from that close. Hong Kong's Hang Seng index futures were up 0.32 per cent.

Wall Street's three major averages closed lower on Wednesday after a volatile trading session, as investors worried whether difficult negotiations in Washington would produce a deal for a fresh U.S. coronavirus stimulus package.

The Dow Jones Industrial Average fell 0.35 per cent, the S&P 500 lost 0.22 per cent and the Nasdaq Composite dropped 0.28 per cent.

In the commodity markets, oil prices dropped in early trade on October 22, adding to heavy losses overnight, after a build in U.S. gasoline inventories pointed to a deteriorating outlook for fuel demand as coronavirus cases soar in North America and Europe.

U.S. West Texas Intermediate (WTI) crude futures fell 27 cents, or 0.7 per cent, to $39.76 a barrel at 0127 GMT, after skidding 4 per cent on October 21. Brent crude futures retreated 21 cents, or 0.5 per cent, to $41.52 a barrel after sliding 3.3 per cent on October 21.

On the earnings front, Asian Paints, Bajaj Auto, Bharti Infratel, HDFC Asset Management Company and SBI Cards and Payment Services will declare their Q1 numbers during the day.

The benchmark indices had ended higher for the fourth session in a row on Wednesday, with the the Sensex advancing 163 points or 0.4 per cent to close at 40,707 and Nifty rising 41 points or 0.34 per cent to settle at 11,938.