scorecardresearchIndian stocks set for muted opening; Fed decision in focus

Indian stocks set for muted opening; Fed decision in focus

Updated: 02 Nov 2022, 08:15 AM IST
TL;DR.
The NSE Nifty 50 index closed 0.74% higher at 18,145.40 on Tuesday, and the S&P BSE Sensex rose 0.62% higher to 61,121.35.
In India, there are two predominant stock exchanges namely BSE and NSE.

In India, there are two predominant stock exchanges namely BSE and NSE.

(Reuters) - Indian shares may have a subdued start on Wednesday, after gaining for four straight sessions, following nervousness in other Asian equities and Wall Street overnight ahead of the outcome of the U.S. Federal Reserve's policy meeting.

India's NSE stock futures, listed on the Singapore exchange, were 0.05% lower as of 0204 GMT. The MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.2%. 

The NSE Nifty 50 index closed 0.74% higher at 18,145.40 on Tuesday, and the S&P BSE Sensex rose 0.62% higher to 61,121.35.

Overnight, a survey that showed U.S. job openings unexpectedly rose in September dented hopes the Fed may slow pace of interest rate hikes.

The Fed is widely expected to raise interest rates by 75 basis points on Wednesday, while investors will be closely looking for cues on the central bank's future rate hike plans.

A meeting of the Reserve Bank of India's Monetary Policy Committee is also on the cards. Scheduled for Nov. 3, the policy-setting committee would potentially discuss its response to the government on its failure to stick to its inflation target for three quarters in a row.

On the earnings front, Adani Transmission Ltd, Jindal Stainless Ltd and Mahindra & Mahindra Financial Services Ltd are among the companies expected to report their quarterly results later in the day.

Meanwhile, foreign institutional investors bought a net 26.10 billion Indian rupees ($315.79 million) worth of equities on Tuesday, while domestic investors sold 7.30 billion rupees of shares, as per provisional data available with the National Stock Exchange.

Stocks to watch

** Metals-to-oil conglomerate Vedanta Ltd expects annual revenue of $50 billion in the next two to three years, roughly double the projected revenues for fiscal year 2023, as it looks to ramp up production, including metals used in electric car batteries, its chairman said.

** Adani Ports and Special Economic Zone APSE.NS, India's largest private operator of ports, reported a 69% surge in quarterly profit on Tuesday, driven by strong cargo volumes.

** Sun Pharmaceutical Industries Ltd on Tuesday reported a surprise 10.5% rise in second quarter profit led by a surge in sales of specialty drugs.

** IT services provider Tech Mahindra reported better-than-expected quarterly profit and revenue on Tuesday, helped by strong demand and the company also declared a special dividend.

** Kansai Nerolac Paints Ltd reported a weaker-than-expected rise in second quarter profit on Tuesday, hit by higher input costs and a demand squeeze due to unseasonal rains.

** Voltas Ltd posted a loss for the second quarter on Tuesday, dented by higher expenses and a one-off expense related to a contract termination.

($1 = 82.6500 Indian rupees)

 

First Published: 02 Nov 2022, 08:15 AM IST