10 things to know before you make your opening trade on December 22

Indian markets on Tuesday snapped a two-day fall, to end on a positive note. Sensex and Nifty50 witnessed buying sentiment as benchmark indices closed almost 1 per cent up and all sectoral indices also ending positively.     

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd said, “Markets witnessed a sharp pullback rally thanks to recovery in key global indices. Despite the reversal from the recent bout of correction, nervousness in the market could continue, as the Nifty has formed a Doji kind of candlestick formation which indicates indecisiveness between bulls and bears.”    

On intraday charts, it has also completed one leg of pullback rally, Chouhan said. He was of the view that after a modest pullback rally, the market may consolidate within the range of 16600 to 16950.     

“The texture of the chart suggests 16700 and 16600 would be key support levels, while 16900-17000 would act as an immediate hurdle for the market. However, below 16600, the uptrend would be vulnerable, the analyst added in his post market comment on Tuesday.    

See Zee Business Live TV Streaming Below:

Stay tuned to Zeebiz.com to find out what could impact your trade today. We have collated a list of top 10 news points which could impact markets, companies, or economy:      

Global Markets:  

The US markets ended in the green on Tuesday as Dow Jones gained 1.60%, Nasdaq Composite settled 2.40% higher and S&P 500 too added 1.78% in the closing yesterday.    

Asian Markets:  

Asian markets were off to a good start on Wednesday as all major indices traded positive this morning. Hang Seng Index at the Hong Kong Exchange was up1.12%, Japanese Nikkei 225 was trading higher by 0.10%, Asia Dow traded 0.25% positive and Shanghai Composite gained 0.10 % on Wednesday morning.  

SGX Nifty:  

The SGX Nifty Futures was trading 65 points higher to 16,893 at 7.15 am on Wednesday, hinting at positive opening for the index.  

Oil prices rise even as Omicron worries linger   

Oil prices rebounded on Tuesday after a sharp fall in the previous session as investors` appetite for risk improved, although they remained cautious amid the rapid spread of the Omicron coronavirus variant across the globe.  

Brent crude was up $1.51, or 2.1%, at $73.03 a barrel by 9:42 a.m. ET (1442 GMT), and U.S. West Texas Intermediate (WTI) crude rose $1.72, or 2.5%, to $70.33 a barrel.  

"After a rough couple of days, crude prices are rebounding as much of the COVID wall of worry has been priced in," said Edward Moya, senior analyst at OANDA.  

Countries across Europe were considering new curbs on movement as the fast-moving Omicron variant swept the world days before Christmas, throwing travel plans into chaos and unnerving financial markets.  

Metro Brands IPO: Shares may make tepid debut on Wednesday  

Ace investor Rakesh Jhunjhunwala-backed Metro Brands’ shares are all set to make a stock market debut on Wednesday, December 22, 2021. Amid weak market sentiment, the stock is likely to witness a weak start on exchanges, as per an estimate by analysts.   

“We may see a discount listing of Metro Brands given that its GMP trades at a discount of 10-15 per cent given that its GMP (grey market price) trades at the same level currently,” Aayush Agrawal, Senior Analyst at Swastika Investmart Ltd expects.    

The footwear retailer is the second Rakesh Jhunjhunwala-invested company to be listed on the stock market, earlier. Earlier, Star Health and Allied Insurance company had also made a weak start on the exchanges in December.   

Rupee spurts 31 paise to nearly 2-week high  

Rising for a fourth straight session, the rupee surged by 31 paise to close at a nearly two-week high of 75.59 against the US dollar on Tuesday as positive domestic equities and a weak American currency in the overseas markets boosted investor sentiment.  

Risk sentiment recovered in global markets, helping riskier assets and emerging currencies post gains against the dollar, analysts said.  

At the interbank forex market, the domestic unit opened strong at 75.74 against the greenback and witnessed an intra-day high of 75.41 and a low of 75.74 during the day's trade. It finally ended at 75.59 a dollar, the highest closing level since December 8.  

Gem, jewellery exports decline by 4.21% in November  

India's overall gem and jewellery exports in November declined by 4.21 per cent to Rs 17,784.92 crore (USD 2,384 million) compared to the same month last year due to break in manufacturing activity during Diwali, the Gem and Jewellery Export Promotion Council (GJEPC) said on Tuesday.  

The total exports during November 2020 stood at Rs 18,565.31 crore (USD 2,582.39 million), according to data by GJEPC. The decline was expected due to a break in manufacturing activity during Diwali.  

"India's gem and jewellery export performance through 2021 has been far ahead of our expectations this time last year. The good news is that the world's biggest jewellery consuming nation, the US, has increased purchases from India this year. We expect to achieve the export target of USD 41.65 billion this fiscal year," GJEPC chairman Colin Shah said.  

Sebi releases framework for advisory, portfolio management services  

Capital markets regulator Sebi on Tuesday came out with framework pertaining to fees for investment advisory services for accredited investors. Also, the regulator put in place guidelines on exit load charges applicable to the client of the portfolio manager.  

The Securities and Exchange Board of India (Sebi) in August introduced the concept of "accredited investor" in investment advisers (IA) and portfolio managers rules.  

In a circular, the regulator said that in case of accredited investors, the limits and modes of fees payable to the IA will be governed through bilaterally negotiated contractual terms.  

In case of large value accredited investors, the quantum and manner of exit load applicable to the client of the portfolio manager will be governed through bilaterally negotiated contractual terms, Sebi said in a separate circular.  

IPO pipeline expected to swell by over Rs 2 lk cr in 2022: Report  

After the record-breaking IPO rally with as many as 65 issuers collecting a whopping Rs 1.35 lakh crore so far this year, the market frenzy is set to continue next year with new issues worth over Rs 2 lakh crore (USD 26 billion) in the pipeline, according to a report.  

The year 2021 has seen the highest-ever IPO volumes in the country with the volumes surging to USD 15.3 billion, as against USD 4.2 billion in 2020. That means the Street saw more IPOs in 2021 than in the year past three years combined, both in the number of listings and amount raised, Kotak Mahindra Capital Company told reporters on Tuesday.  

And, the IPO frenzy is set to continue next year with USD 26 billion worth of issues being in the pipeline, the brokerage said.  

FII & DII Data:  

Foreign portfolio investors (FPIs) remained net sellers for Rs 1209.82 crore in the Indian markets while Domestic Institutional Investors (DIIs) were net buyers to the tune of Rs 1404.89 crore, provisional data showed on the NSE.   

Stocks under F&O ban on NSE    

Three stocks: Indiabulls Housing, Escorts and ZEEL are placed under the F&O ban on Wednesday. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.   

(With inputs from PTI, Reuters and other agencies)  

(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)