Before Market Opens: 9 things to know at 9 am on September 29, 2023

Wall Street's main indexes ended higher on Thursday as investors assessed the latest batch of economic data and as a surge in Treasury yields stalled ahead of a key inflation report. The recent move in Treasury yields to 16-year highs has loomed over the stock market, which has pulled back after the Federal Reserve last week signaled a hawkish long-term outlook for interest rates. The Dow Jones Industrial Average rose 116.07 points, or 0.35%, to 33,666.34, the S&P 500 gained 25.19 points, or 0.59%, to 4,299.70 and the Nasdaq Composite gained 108.43 points, or 0.83%, to 13,201.28.

Asia-Pacific markets largely climbed in the final trading day of the week, mirroring moves on Wall Street. This comes as traders assess to key economic data out of Japan, including the September inflation rate for Tokyo.  Japan’s Nikkei 225 gained 0.1 percent in early trade, while the Topix continued to extend losses and slid 0.2 percent. In Australia, the S&P/ASX 200 advanced 0.31 percent, rebounding after a three day losing streak. Futures for Hong Kong’s Hang Seng index stood at 17,554, also pointing to a stronger start compared to the HSI’s close of 17,373.03. South Korean and mainland Chinese markets are closed for a holiday.

At 8:20 am, the GIFT Nifty was trading 9 points or 0.05 percent lower at 19,648, indicating a flat opening for the Indian markets. 

Equity benchmark indices Sensex and Nifty fell by nearly 1 percent on Thursday due to unabated foreign capital outflows amid a largely negative trend in global markets. Besides, heavy selling pressure in index major Reliance Industries, Infosys and ITC also dented market sentiments, traders said. The 30-share BSE Sensex fell 610.37 points or 0.92 percent to settle at 65,508.32. During the day, it plunged 695.3 points or 1.05 percent to 65,423.39. The Nifty declined 192.90 points or 0.98 percent to end at 19,523.55.

Oil prices fell in early trade on Friday after a recent rally, as profit-taking and expectations of supply increases by Russia and Saudi Arabia outweighed forecasts of positive demand from China during its Golden Week holiday. Brent November futures which expire on Friday were down 21 cents to $95.17 per barrel. Brent December futures lost 10 cents to trade at $93.00 per barrel at 0055 GMT. U.S. West Texas Intermediate crude (WTI) fell 8 cents to $91.63 per barrel.

HDFC Bank, PowerGrid, Kotak Mahindra Bank, State Bank of India and Adani Enterprises are among the few stocks that will receive net passive inflows as a result of the NSE index changes, including Nifty Bank, Nifty, Nifty Next 50, and CPSE. These weight changes are set to reflect from today i.e., September 29, following scheduled changes yesterday during the semi-annual reshuffling. According to Nuvama, HDFC Bank will receive the highest inflows of $70 million. Other stocks such as Power Grid to get around $64 million inflows, Shriram Finance ($59 million), and Trent ($54 million). TVS Motor to get a $40 million inflow, and PNB to get $21 mln while Adani Enterprises to get around a $27 million inflow.

Foreign institutional investors (FII) sold shares worth ₹3,364.22 crore, while domestic institutional investors (DII) bought ₹2,711.48 crore worth of stocks on September 28, provisional data from the National Stock Exchange (NSE) showed.

The rupee edged up 2 paise to settle at 83.20 (provisional) against the US currency in a restricted trade on Thursday, aided by a correction in crude oil prices and the greenback. Foreign fund outflows and losses in local equities, however, restricted the rupee’s gains, forex dealers said. The local unit settled at 83.20 against the US dollar, up by 2 paise over the previous close. The rupee had closed at 83.22 on Wednesday after a listless trade.

Gold prices on Friday braced for their biggest monthly fall since February, hovering around levels at over six-month lows on the prospects of higher-for-longer U.S. interest rates ahead of a widely watched U.S. inflation print due later in the day. Spot gold was up 0.1% at $1,866.41 per ounce by 0020 GMT, set for a nearly 4% decline this month and its second consecutive quarterly drop. U.S. gold futures rose 0.3% to $1,883.50.