GIFT Nifty up 22 points: Asian markets, crude oil prices, dollar movement, Q1 results & more

Domestic equity markets may open higher on Friday morning, ignoring weak global cues. Asian stocks were down in the early trade ahead of Bank of Japan's monetary policy review. US stocks settled lower overnight, with  the Dow Jones Industrial Average snapping a 13-day winning streak. Back home, traders will be keenly looking at Q1 earnings. Here's what you should know before the Opening Bell:

Nifty outlook
Nifty faced a resistance from the 61.82 per cent Fibonacci retracement level and started the next leg of the fall on the daily chart. The daily and hourly momentum indicators have given a negative crossover, which is a ‘sell’ signal. Both price and momentum indicators are suggesting that there could be some weakness in the short term, said Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas.

"The daily Bollinger bands are also contracting, which points towards consolidation in the short term. We change our short-term stance from positive to sideways. The range of consolidation is likely to be 19,900-19,500," he said.

GIFT Nifty signals a positive start
Nifty futures on the Nifty International Exchange traded 22 points, or 0.11 per cent, higher at 19,786, hinting at a positive start for the domestic market on Friday.

Asian stocks fall ahead of BOJ review
Asian markets were under pressure after a weak closing for US stocks. Asian stocks were backing down from five-month highs as the Bank of Japan opens the door to allowing long-term interest rates to rise. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.55 per cent. Japan's Nikkei tanked 1.30 per cent; Australia's ASX 200 dropped 0.74 per cent; New Zealand's DJ shed 0.32 per cent; China's Shanghai fell 0.25 per cent up; Hong Kong's Hang Seng plunged 1.06 per cent and South Korea's Kospi declined 0.26 per cent.

Oil prices fall in early trade
Oil prices fell in early Asian trade on Friday as demand concerns weighed against strong economic data. Brent crude fell 59 cents, or 0.7 per cent, to $83.65 a barrel by 0027 GMT, but was on track for a weekly 5 per cent increase. US West Texas Intermediate (WTI) crude fell 51 cents, or 0.6 per cent, to $79.58 a barrel, on track for a 5.2 per cent weekly increase.

Dollar steady, Yen advances
The yen strengthened on Friday as speculation mounts that the Bank of Japan could tweak its yield curve control policy later in the day, while the dollar held on to its overnight gains after better-than-expected US economic data. Against a basket of currencies, the dollar shot up 0.059 per cent at 101.74. The Japanese yen strengthened as much as 0.55 per cent to 138.72 per dollar, while the single currency was little changed at $1.09775 on Friday in Asian hours. The Australian dollar fell 0.12 per cent to $0.670, while the kiwi lost 0.23 per cent to $0.617.

US stocks settle lower
US stocks ended lower on Thursday after news that the Bank of Japan will allow long-term interest rates to rise sent US yields higher, snapping the longest winning streak for the Dow since 1987. Higher rates in Japan pushed the US 10-year yield over 4 per cent and reduced the attractiveness of stocks. The Dow Jones Industrial Average fell 237.4 points, or 0.67 per cent, to 35,282.72, the S&P 500 lost 29.29 points, or 0.64 per cent, to 4,537.46 and the Nasdaq Composite dropped 77.18 points, or 0.55 per cent, to 14,050.11.

Q1 results today
Indian Oil Corporation, SBI Cards and Payment Services, Marico, Supreme Industries, United Breweries, Mahindra & Mahindra Financial Services, Star Health and Allied Insurance Company, UCO Bank, Bank of India, Motherson Sumi Wiring India, Piramal Enterprises, Exide Industries, NLC India, Apar Industries, RITES, Chalet Hotels and Route Mobile are among the companies that will announce their earnings for the June 2023 quarter during the day.

Stocks in F&O ban
Since it is the beginning of the new series. Thus, no stocks have been put under the F&O segment ban by the National Stock Exchange (NSE) for Thursday, July 27. Derivative contracts in a security are banned when they cross 95 per cent of the market-wide position limit (MWPL). No new positions can be created in the derivative contracts of said security. This prohibition is lifted when the open interest in the stock drops below 80 per cent of the MWPL across exchanges.

FPIs offload shares worth Rs 3,979 crore
Provisional data available with NSE suggest that FPIs turned net sellers of domestic stocks to the tune of Rs 3,979.44 crore on Thursday. However, domestic institutional investors (DIIs) turned net buyers of Indian equities to the tune of Rs 2,528.15 crore.

Rupee rises 9 paise against dollar
The rupee gained 9 paise to close at 81.92 against the US dollar on Thursday, tracking the weakness of the American currency in the overseas market after the US Fed raised interest rates on expected lines. However, weak domestic markets and a surge in crude oil prices capped sharp gains.

Note: With inputs from PTI, Reuters and other agencies

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