Before Market Opens: 9 things to know at 9 am on May 10, 2022

The S&P 500 ended below 4,000 for the first time since late March 2021 and the Nasdaq dropped more than 4% on Monday in a selloff led by mega-cap growth shares as investors grew more concerned about rising interest rates. The Dow Jones Industrial Average fell 653.67 points, or 1.99%, to 32,245.7, while the S&P 500 lost 132.1 points, or 3.20%, to 3,991.24, its lowest close since March 31, 2021. The Nasdaq Composite dropped 521.41 points, or 4.29%, to 11,623.25.

Asian shares tumbled to their lowest in nearly two years on Tuesday as investors shed riskier assets on worries about higher interest rates and their impact on economic growth, while the dollar held near 20-year highs. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.8%, falling for a seventh straight session and extending declines to 17% so far this year. Across Asia, share indexes were a sea of red. The Nikkei lost 0.9%, Australian shares shed 2.5% and Korean stocks lost 2%.

At 8:20 am, the SGX Nifty was trading 100 points or 0.6 percent lower at 16,209, indicating a weak opening for the Indian markets.

There was no respite for the market from the present headwinds as the domestic equities remained under pressure on May 9, tracking weak global cues, as investors continued offloading riskier equities amid concerns over rate hikes, geopolitical tensions, dollar's rise, and lockdowns in Shanghai. Sensex closed 365 points, or 0.67 percent, lower at 54,470.67.

Oil prices edged lower in early Asian trade on Tuesday, adding to a 6% slump in the previous session, as coronavirus lockdowns in top oil importer China and potential economic ructions in Europe fed worries about the demand outlook. Brent crude fell 36 cents, or 0.3%, to $105.58 at 0009 GMT. US West Texas Intermediate crude fell 23 cents, or 0.2%, to $102.86 a barrel. Prices dropped over $1 earlier in the session but pared their losses. Both contracts are still up about 35% so far this year.

The public issue of Life Insurance Corporation of India (LIC) has garnered good demand from investors as it received bids worth ₹43,933.5 crore till May 9, the final day of bidding, which was more than double the issue size. The issue was opened on May 4. The offer was subscribed 2.95 times as investors put in bids for 47.82 crore equity shares against IPO size of 16.20 crore shares, as per the subscription data available on exchanges.

Gold suffered losses in the previous session amid strength in the dollar index and US bond yields. Gold June futures contract settled at $1858.60 per troy ounce with a loss of 1.29 percent in international markets. Dollar's gain is considered negative for gold prices as it dents the safe haven appeal of the yellow metal.

Foreign institutional investors (FII) net sold Indian shares worth ₹3,361.8 crore on Monday, according to provisional exchange data. However, domestic institutional investors (DIIs) made net purchases worth ₹3077.2 crore.

The rupee fell to a fresh all-time low at 77.53 in the trade before ending 55 paise lower at 77.46 per dollar on May 9 as the greenback jumped to a fresh two-decade high.