Stock Market Triggers: 10 things to know before you make your move in opening trade on December 20

Amid weak global cues, the Indian markets concluded Friday’s session on a lower note, as Sensex and Nifty50 witnessed heavy selling pressure and each was down by over 1.5 per cent.  All sectoral indices shed points to edge below the Thursday levels, except for IT stocks.   

The sharp cut witnessed by the domestic markets were on the back of weak global cues, selling pressure from the Foreign Institutional Investors (FIIs) and concerns around Omicron, Parth Nyati, Founder of Tradingo said in his post market comment on Friday.  

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Indian market is facing relentless selling by FIIs that is also hurting the sentiments while rising worries of a new variant is another cause of concern for the markets, Nyati said. High beta names in sectors including real estate and banking have witnessed sharp selling pressure, even as IT stocks outperformed, he added. 

On global front, ECB surprised the street with indications of a higher-than-expected interest rate hike. Meanwhile, other global central banks are also sounding hawkish which is causing risk-off sentiments in the equity markets across the world. Emerging markets are currently underperforming.   

Nifty is witnessing sharp selling pressure after a pullback where it formed a red marubozu candlestick formation and has slipped below the psychological support of 17000 however 16900 is an immediate and important support level on a closing basis, Tradingo founder said, dissecting the Nifty movement on the technical charts. 

If the index falls below the said levels, Nifty may head towards the 16700-16400 zone which is a crucial demand zone, he further said. "17200-17250 will act as a critical resistance zone at any pullback on the upside," the Founder said.     

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:  

All major Wall Street indices ended in the red on Friday. Dow Jones corrected 531 points to 35,365, Nasdaq Composite slipped 10.75 to 15,169.68 and S&P 500 declined by one per cent to 4602.64 on Friday. 

Asian Markets:  

The Asian indices were trading lower amid rising cases of Covid new variant Omicron. Japanese Nikkei 225 index was trading 208 points lower to 28,349, Hang Seng Index was down 0.43% to 23, 095, while Shanghai Composite was trading higher by 0.25 per cent.  

SGX Nifty:  

SGX Nifty Futures Index slipped below 17,000-mark in the early trade on Monday. Hinting at weakness for the Indian market when it opens, the Index dipped by 77 points to trade at 16,942.00 on Monday.  

Oil prices post weekly loss on Omicron uncertainty  

Oil prices fell on Friday and were also down on the week as surging cases of the Omicron coronavirus variant raised fears that new restrictions may hit fuel demand.  

"There are concerns about COVID that won`t go away, and the perception that could weigh on demand is putting pressure on the market," said Bob Yawger, director of energy futures at Mizuho in New York.  

Brent crude futures settled down $1.50, or 2%, at $73.52 a barrel, while U.S. West Texas Intermediate (WTI) crude dropped $1.52, or 2.1%, to settle at $70.86 a barrel. Brent was down 2.6% on the week and WTI fell 1.3%.  

HP Adhesives IPO subscribed 20.96 times on last day  

The initial public offer of HP Adhesives Limited was subscribed 20.96 times on the last day of subscription on Friday. The IPO received bids for 5,29,89,650 shares against 25,28,500 shares on offer, according to NSE data.  

The category for Retail Individual Investors (RIIs) was subscribed 81.24 times, non institutional investors 19.04 times, and Qualified Institutional Buyers (QIBs) received 1.82 times subscription.  

The initial public offer (IPO) of HP Adhesives was subscribed 3.48 times on the first day of the offer on Wednesday following a strong response from retail investors.  

Rupee posts first rise in 7 days, ends 23 paise higher  

The rupee on Thursday clocked its first gain in seven sessions, rebounding 23 paise to close at 76.09 against the US dollar as participants took note of weakening of the greenback after US Fed turned hawkish.  

At the interbank forex market, the local unit opened at 76.31 against the greenback and witnessed an intra-day high of 76.06 during the day's trade.  

On Wednesday, the rupee plunged by 44 paise to close at a 20-month low of 76.32 against the American currency.  

Sebi tweaks operational guidelines on listing of commercial papers  

Capital markets regulator Sebi on Friday tweaked operational guidelines pertaining to the listing of commercial papers in order to bring uniformity in requirements.  

To ease the compliance burden on listed entities, Sebi in August consolidated existing procedures pertaining to issue and listing of Non-convertible Securities, Securitised Debt Instruments, Security Receipts, Municipal Debt Securities and Commercial Paper.  

Based on feedback from market participants and recent regulatory changes, in order to bring about uniformity in requirements, certain amendments are being made to guidelines pertaining to listing of commercial paper (CP), Sebi said in a circular.   

Advance tax collection rises 54% to Rs 4.60 lk cr in FY22   

The finance ministry on Friday said advance tax collection increased by 53.50 per cent to Rs 4.60 lakh crore so far this fiscal year, indicating recovery in the economy.  

Direct tax collections for 2021-22, as on December 16, show that net collections are at Rs 9.45 lakh crore compared to Rs 5.88 lakh crore over the year-ago period, representing an increase of 60.8 per cent, the ministry said in a statement.  

"The net collection (as on December 16) in FY22 has registered a growth of 40 per cent over the corresponding period of previous year when the net collection was Rs 6,75,409.5 crore, and a growth of 40.93 per cent over the corresponding period of 2018-19 when the net collection was Rs 6,70,739.1 crore," it said.  

FIIs pull out Rs 17,696 cr in Dec so far  

Foreign portfolio investors (FPIs) have pulled out Rs 17,696 crore from the Indian markets in December so far amid uncertainty due to a new coronavirus strain, Omicron, and expectations of faster tapering by the US Federal Reserve.  

According to the depositories data, FPIs took out Rs 13,470 crore from equities, Rs 4,066 crore from the debt segment and Rs 160 crore from hybrid instruments between December 1-17.  

In November, FPIs were net sellers to the tune of Rs 2,521 crore in Indian markets.  

There continues to be uncertainties on the global as well as domestic fronts, said Himanshu Srivastava, Associate Director - Manager Research, Morningstar India.  

FII & DII Data:  

Foreign portfolio investors (FPIs) remained net sellers for Rs 2069.9 crore in the Indian markets while Domestic Institutional Investors (DIIs) were net buyers to the tune of Rs 1478.52 crore, provisional data showed on the NSE.  

Stocks under F&O ban on NSE    

Three stocks: Indiabulls Housing, Escorts and Idea are placed under the F&O ban on Monday. 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.)