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Pre - Session

Preview on the major events which influences the market on that day.

GIFT Nifty signals negative start, Asian shares offer hope

10-Dec-24 08:27 Hrs IST

GIFT Nifty:

The GIFT Nifty December futures contract is currently trading 15 points lower, suggesting a negative opening for the Nifty 50.

Institutional Flows:

Foreign portfolio investors (FPIs) bought shares worth Rs 724.27 crore, while domestic institutional investors (DIIs) were net sellers to the tune of Rs 1,648.07 crore in the Indian equity market on 9 December 2024, provisional data showed.

According to NSDL data, FPIs have bought shares worth over Rs 16358.11 crore (so far) in the secondary market during December 2024. This follows their sale of shares worth Rs 39315.78 crore in November 2024.

Global Markets:

Most Asian stocks climbed on Tuesday, led by a surge in Chinese equities. This uptick was triggered by the Chinese government's announcement of significant policy changes for 2025.

China's Politburo, the country's top decision-making body, signaled a shift towards a more accommodative monetary policy. This departure from the previous prudent stance is expected to stimulate the economy and support stock and property markets. The Politburo also pledged to boost domestic consumption and demand, indicating a potential increase in targeted stimulus measures.

Investors are now awaiting the Central Economic Work Conference, scheduled to begin on Wednesday, for further details on China's economic plans. Analysts anticipate the conference to outline specific policy priorities and the annual growth target.

Beyond China, market participants are closely monitoring the Reserve Bank of Australia's monetary policy decision, due later today.

US stocks closed lower on Monday, with the Dow Jones Industrial Average hitting a 1.5-week low. Profit-taking and long liquidation pressured the market ahead of the release of crucial US inflation data on Wednesday. Rising Treasury yields and heightened geopolitical tensions in the Middle East, following the fall of the Assad regime in Syria, also weighed on investor sentiment.

The Dow Jones Industrial Average fell 0.54%, while the S&P 500 index fell 0.61%, and the NASDAQ Composite index fell 0.60%.

Nvidia shares declined 2.6% during regular trading hours and further dipped 0.6% in after-hours trading, amid reports of an antitrust investigation by Chinese authorities.

Oracle Corporation's stock plummeted nearly 8% in after-hours trading after the company reported weaker-than-expected quarterly earnings, highlighting increased competition in the cloud computing sector from major players like Microsoft and Amazon.

Domestic Market:

Key equity benchmarks closed lower on Monday as investors braced for key economic data releases. US CPI data on December 11 and India's CPI data on December 12, as well as the US Federal Reserve's interest rate decision on December 18, are closely watched. The Nifty index fell below 24,620, pressured by a sell-off in FMCG stocks. Godrej Consumer's shares slumped 9% following a weaker-than-expected Q3 business update. The S&P BSE Sensex declined 200.66 points or 0.25% to 81,508.46. The Nifty 50 index lost 58.80 points or 0.24% to 24,619.