INDIAN BENCHMARKS are likely to cautious opening as the global cues look mixed with SGX Nifty trading 15.50 points lower backed by Budget caution. Indian equity benchmarks are likely to open on a negative note on Monday as traders resort to a cautious stance ahead of the Union Budget 2016-17 to be presented by Finance Minister Arun Jaitley later in the day, dimming risk taking appetite. Weakness in the CNX Nifty Index futures for March delivery that fell by 0.53 per cent or by 37.5 points at 7,027.5 at 10:27 am Singapore time, signals that the Sensex may witness a gap down opening today.
Headlines for the day:
• UltraTech acquires Jaiprakash Associates' cement plants for Rs16,500 crore
• Aurobindo Pharma gets tentative nod form USFDA for Ritonavir
• Dr Reddy recall’s Paricalcitol capsules in US
Global Indices:
• Asian stocks were trading mixed following the conclusion of the G20 meet in Shanghai in which finance chiefs from the G-20 reached an agreement to consult closely on foreign exchange markets and reiterated past commitment to refrain from competitive devaluations.
• China’s Shanghai Composite tumbled over 3.5 per cent and Hang Seng fell close to 1 per cent ahead of tomorrow’s PMI data which may offer further cues over the health of the world's second biggest economy.
• Japan’s Nikkei 225 advanced as G20 leaders committed to use fiscal policy to bolster economic growth and job creation. Most stocks at Wall Street ended lower on Friday as robust data signaled strength in the world’s biggest economy, raising speculation that interest rates may rise sooner than earlier expected.
• The US economy grew at a 1 per cent annualized pace in Q4 2015, up from an initial estimate of 0.7 per cent. Consumer spending grew the most in eight months, up 0.5 per cent in January from December, when it climbed 0.1 per cent.
• The Dow Jones Industrial Average fell 0.34 per cent; the Nasdaq Composite rallied 0.18 per cent while S&P 500 declined 0.19 per cent.
Trend in FII flows:
The FIIs were net sellers of Rs -695.37 Cr in the cash segment on Friday while the DIIs were net buyers of Rs 784.14 Cr, as per the provisional figures released by the NSE.
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