GIFT Nifty futures down 100 points; markets to track Fed meeting, Chinese data
Markets brace for a cautious start as GIFT Nifty drops 100 points, global cues remain mixed, and focus shifts to Fed rate decision, Chinese economic data, and PMI figures.
GIFT Nifty dropped 100 points to trade at 24,780.50, signalling a cautious start for Indian equities. As markets consolidate gains from the previous week, global cues, the Federal Reserve meeting, and key economic data from China are expected to influence investor sentiment.
State of the markets
- GIFT Nifty signals negative opening
GIFT Nifty on the NSE IX was down by 0.39 per cent, indicating a soft opening for Dalal Street. Support levels are placed at 24,550, while the immediate target remains 25,000. - India VIX
The volatility index declined by 1.04 per cent to close at 13.05, reflecting low fear levels in the market. - Global cues
- U.S. stocks ended mixed last week, with the Nasdaq registering its fourth consecutive week of gains, while the S&P 500 and Dow recorded declines.
- Asian markets showed a mixed trend ahead of Chinese economic data releases.
- Oil prices eased from recent highs as investors awaited the Fed's policy decision.
- The U.S. dollar hovered near a three-week peak on rate cut expectations.
Stocks in F&O ban
Eight stocks, including Granules, Manappuram, and Hindustan Copper, remain under F&O ban for breaching market-wide position limits.
FII/DII activity
Foreign Institutional Investors (FIIs) turned net buyers with Rs 2335 crore inflow on Wednesday, while Domestic Institutional Investors (DIIs) sold shares worth Rs 732 crore.
Rupee movement
The rupee strengthened by 8 paise to settle at 84.80 against the U.S. dollar, supported by positive domestic equity performance and easing inflation data.
Outlook
Investors are likely to focus on the Fed meeting, where a 25 basis point rate cut is widely expected, and the Manufacturing and Services PMI data for cues on economic recovery.
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