GIFT Nifty up 39 points: Asian markets, crude oil prices, dollar movement, Q1 results & more

Domestic stock indices are likely to open higher on Thursday, tracking positive cues from Asian peers. However, mixed trade in the US stocks may cap gains. The US Federal Reserve increased interest rate by 25 basis points overnight and suggested one more rate hike ahead. Back home, the expiry of July series F&O derivatives and Q1 earnings will add to the market volatility. Netweb Technologies will make its debut at Dalal street for the day. Here's what you should know before the Opening Bell:

Nifty outlook
Nifty on Wednesday showed limited movement as investors awaited the Federal Reserve's rate decision. It found support at the 9-EMA when on the lower end of the range, said Rupak De, Senior Technical analyst at LKP Securities.

"The daily chart indicated a downward consolidation breakout, suggesting potential downward momentum. The RSI confirmed this sentiment with a bearish crossover. Key support is seen at 19,700 and resistance at 19,900-20,000 levels," he said.

GIFT Nifty signals a positive start
Nifty futures on the Nifty International Exchange traded 39 points, or 0.20 per cent, higher at 19,845, hinting at a positive start for the domestic market on Thursday.

Asian stocks open higher
Asian shares opened higher on Thursday as a sense of cautious optimism prevailed across Asia as investors welcomed a fairly-balanced comments from Federal Reserve Chair Jerome Powell. The MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.64 per cent. Japan's Nikkei added 0.07 per cent; Australia's ASX 200 gained 0.72 per cent; New Zealand's DJ advanced 0.58 per cent; China's Shanghai rose 0.20 per cent up; Hong Kong's Hang Seng added 0.66 per cent and South Korea's Kospi climbed 0.81 per cent.

Oil prices up as supply tightens
Oil prices rose on Thursday as investors focused on expectations of tighter supplies from top oil producers, helping reverse earlier losses that were driven by worries that the hike in interest rates by the US will hurt demand. Brent crude futures were up 36 cents, or 0.4 per cent, at $83.28 barrel by 0101 GMT, while US West Texas Intermediate (WTI) crude rose to $79.26, up 48 cents, or 0.6 per cent.

Dollar slips after rate hike
The dollar was on the back foot on Thursday after the Federal Reserve delivered what some expected to be its last rate hike, while market focus shifted across the Atlantic to the European Central Bank's (ECB) rate decision later in the day. The dollar index was last 0.04 per cent lower at 101.06, while the Sterling steadied at $1.2935. Ahead of the rate decision, the euro firmed at $1.1083. Elsewhere, the Japanese yen remained under pressure and fell more than 0.1 per cent to 140.43 per dollar.

US Fed increases interest rate by 25 bps
The Federal Reserve raised interest rates by a quarter of a percentage point on Wednesday and Fed Chair Jerome Powell said the economy still needed to slow and the labor market to weaken for inflation to 'credibly' return to the US central bank's 2 per cent target. The hike, the Fed's 11th in its last 12 meetings, set the benchmark overnight interest rate in the 5.25-5.50 per cent range.

US stocks settled mixed
US stocks ended Wednesday little changed following a Federal Reserve rate hike that left the door open for future hikes, but the Dow scored a 13-day winning streak. The Fed lifted its benchmark overnight interest rate by a widely expected 25 basis points, marking the 11th hike in the US central bank's past 12 policy meetings. The Dow Jones Industrial Average rose 82.05 points, or 0.23 per cent, to 35,520.12; the S&P 500 lost 0.71 points, or 0.02 per cent, at 4,566.75; and the Nasdaq Composite dropped 17.27 points, or 0.12 per cent, to 14,127.28.

Netweb Technologies to list today
Incorporated in 1999, Netweb Technologies will make its debut at Dalal Street on Thursday. The primary stake sale of the company was sold in the range of Rs 475-500 apiece, had received a super strong response from the investors during the bidding process between July 17-19, thanks to its niche business model. The issue was overall subscribed 90.55 times. A day ahead of its listing, the company was commanding a premium of Rs 390-400 in the grey market.

Q1 results today
Bajaj Finserv, Nestle India, Bharat Electronics, Bajaj Holdings & Investment, Macrotech Developers, Shriram Finance, CG Power and Industrial Solutions, Indian Hotels Company, Indus Towers, Indian Bank, ACC, Sona BLW Precision, Forgings, Coromandel International, Sundaram Fasteners, Dr Lal Pathlabs and IIFL Finance are among the companies that will announce their earnings for the June 2023 quarter during the day.

Stocks in F&O ban
Three stocks - RBL Bank, Delta Corp and Sun TV Network- 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 it crosses 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 buy shares worth Rs 923 crore
Provisional data available with NSE suggest that FPIs turned net buyers of domestic stocks to the tune of Rs 922.84 crore on Monday. Domestic institutional investors (DIIs) were net buyers of Indian equities to the tune of Rs 470.10 crore.

Rupee fell 13 paise against dollar
The rupee fell 13 paise to settle at 82.01 against the US dollar on Wednesday due to elevated crude prices in international markets and month-end dollar demand from importers. Positive cues from the domestic equity market and inflow of foreign funds provided support to the rupee, even as investors traded cautiously ahead of the US Federal Reserve's interest rate decision, forex traders said.

Note: With inputs from PTI, Reuters and other agencies

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