Indian shares are set to open little changed on Monday, after logging five weeks of losses in six on Friday, as concerns over dull earnings and sustained foreign outflows continued to pressure domestic equities.
The Gift Nifty futures were trading at 24,125.5, as of 08:02 a.m. IST, indicating that the benchmark Nifty 50 will open near Friday’s close of 24,148.2.
Continued foreign selling and earnings downgrades are going to keep investors cautious and keep the pressure on markets, said two traders.
Foreign portfolio investors have sold Indian shares for the last 30 consecutive sessions, withdrawing about $13 billion mainly to invest in China, drawn by Beijing’s stimulus measures.
The September-quarter earnings season, the worst in terms of top Indian companies missing expectations since early 2020 when the COVID-19 pandemic engulfed investment horizon, also added to the markets’ recent drop, analysts said.
Indian shares set to open higher after Fed rate cut
The Nifty 50 is now down about 8% from the record high it hit on Sept. 27.
Other Asian markets traded lower, with the MSCI Asia ex-Japan index shedding 1%, as China’s new economic support disappointed investors and data pointed at deflationary pressures.
Among individual stocks, automaker Tata Motors will be in focus after its surprise profit drop in the September-quarter on weak Jaguar Land Rover and domestic sales.
Street reaction to the quarterly results of Life Insurance Corporation Of India will also be keenly watched after the state-owned company’s profits fell in the quarter.
Comments
Comments are closed for this article.