The GIFT Nifty is indicating a muted Monday start for the markets, albeit in positive territory. It is trading around 20,190 levels after opening trade at 20,149. The GIFT Nifty is a futures contract based on the Nifty 50.
Asian Markets: The Asian markets kickstarted Monday trade on a rather soft note as traders are watching out for decisions by key Central banks later this week. The US Federal Reserve’s decision is expected on Thursday while the Bank of Japan will conclude its monetary policy meeting on Friday. The Australian Central Bank will release its minutes for its September 5 policy meeting on Tuesday. Additionally the People’s Bank of China is also expected to release its loan prime rate decisions on Friday.
Fund Flows: FII Foreign institutional investors (FII) bought shares worth Rs 164.42 crore, while domestic institutional investors (DII) purchased Rs 1,938.57 crore worth of stocks on September 15, 2023, according to the provisional data available on the NSE.
Shrikant Chouhan, Head of Research (Retail), Kotak Securities said, “While Indian markets have been outperforming global equities on strong local macroeconomic tailwinds, overseas investors have been on a selling spree this month due to renewed spike in US treasury yields and a fresh uptick in global crude oil prices. A higher crude oil price would once again stoke inflation and prompt central bankers to hike interest rates, which may further worsen global economies. Ahead of the next week’s US monetary policy decision, FII activity could remain volatile, and any further spike in oil prices and US bond yields could trigger more outflows from emerging markets, including India.”
Crude Oil: Meanwhile oil prices have steadied near 10-month highs after a three-week rally ahead of the Saudi Energy Minister’s address to a Conference in Canada outlining the nation’s crude policy and point of view on net zero.
F&O Ban: The NSE has added Chambal Fertilizers & Chemicals, Balrampur Chini Mills, BHEL, Hindustan Copper, Indiabulls Housing Finance, Indian Energy Exchange, India Cements, Manappuram Finance, REC and Zee Entertainment Enterprises to its F&O ban list for September 18.