GIFT Nifty down 5 points: Asian markets, crude oil prices, dollar movement & more

Domestic stock markets are likely to open on a weak note on Friday, tracking negative global cues. Asian stocks were trading sharply lower, tracking an overnight drop in  US stocks. Traders will awaiting Jerome Powell's speech due later today. Here's what you should know before the Opening Bell:

Nifty outlook
Nifty’s pullback rally has fizzled out around the resistance zone of 19,500-19,550 on the daily chart. This was the area where multiple resistances were present in the form of the 20-day moving average and the 38.2 per cent. Fibonacci retracement level (19,538) of the fall from 19,992-19,253, said Jatin Gedia – Technical Research Analyst at Sharekhan.

"The daily and hourly momentum indicator has a negative crossover and thus the pullbacks are likely to be sold into. Overall, we shall continue to maintain our negative outlook on the index for a target of 19,100. Crucial support is placed at 19,280-19,250 while immediate hurdle is placed at 19,500-19,530," he said.

GIFT Nifty signals a positive start
Nifty futures on the NSE International Exchange traded 5 points, or 0.03 per cent, lower at 19,288, hinting at a negative start for the domestic market on Friday.

Asian stocks down in early trade
Asian shares tanked on Friday after a sharp fall in the US stocks, ahead of the outcome of Federal Reserve's Jackson Hole Symposium, particularly Chair Jerome Powell's speech due later today, coupled with macroeconomic data. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.89 per cent. Japan's Nikkei tanked 1.74 per cent; Australia's ASX 200 plunged 0.92 per cent; New Zealand's DJ tanked 0.98 per cent; Hong Kong's Hang Seng slipped 0.99 per cent and South Korea's Kospi fell 0.95 per cent.

Oil prices head for weekly fall
Oil prices fell slightly in early Asian trade on Friday, on track for a weekly decline as weak manufacturing activity hurt the global demand outlook and the dollar remained buoyant. Brent crude fell 16 cents, or 0.2 per cent, to $83.20 a barrel, while US West Texas Intermediate crude fell 18 cents, or 0.2 per cent, to $78.91 a barrel. Crude prices are set to fall between 2-3 per cent for the week, a second consecutive week of decline.

Dollar stays at two-month peak
The US dollar sat at an over two-month peak on Friday, on course for its sixth straight week of gains as markets await a speech from Federal Reserve Chair Jerome Powell to gauge the path of monetary policy. The dollar index rose 0.019 per cent to 104.11, the highest since June 7. The yen weakened 0.18 per cent to 146.10 per dollar. In other currencies, the euro was down 0.17 per cent to $1.0791, while sterling was at $1.2587, down 0.10 per cent on the day. Both currencies were at two-month lows.

US stocks settle sharply lower
The three major US stock indices ended down more than 1 per cent each on Thursday, led by a drop in the Nasdaq after this week's sharp gains and as investors were nervous ahead of Federal Reserve Chair Jerome Powell's speech Friday. The Dow Jones Industrial Average fell 373.56 points, or 1.08 per cent, to 34,099.42, the S&P 500 lost 59.7 points, or 1.35 per cent, to 4,376.31 and the Nasdaq Composite dropped 257.06 points, or 1.87 per cent, to 13,463.97.

Stocks in F&O ban
As many as 11 stocks have been put under the F&O segment ban by the National Stock Exchange (NSE) for Friday, August 25. RBL Bank and GMR Airports Infrastructure are the new additions, who will join the retentions including Bharat Heavy Electricals (BHEL), Delta Corp, Gujarat Narmada Valley Fertilizers and Chemicals (GNFC), Hindustan Copper, Indiabulls Housing Finance, India Cements, Manappuram Finance, Punjab National Bank (PNB) and Metropolis Healthcare.

FPIs buy shares worth Rs 1,525 crore
Provisional data available with NSE suggest that FPIs turned net  buyers of domestic stocks to the tune of Rs 1,524.87 crore on Thursday. Similarly, domestic institutional investors (DIIs) turned net buyers of Indian equities to the tune of Rs 5,796.61 crore.

Rupee rises for 3^rd day against dollar
The rupee appreciated by 16 paise to settle at 82.56 against the US dollar on Thursday, marking its third straight day of gains on the back of softening crude oil prices and foreign funds inflows. The upward trend in the past three sessions led to a gain of 57 paise in the Indian currency, rebounding from its all-time low level of 83.11 against the greenback witnessed on Monday.

Note: With inputs from PTI, Reuters and other agencies

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