SGX Nifty down 26 points: Asian stocks, US markets, dollar movement, Q4 earnings & more

Domestic stock indices are likely to open in the red on Tuesday amid lack of decisive global cues. Asian stocks were trading mixed in early trade while US stocks settled flat overnight. All eyes are set on US inflation numbers for April, due on Wednesday. Back home, Mankind Pharma will make its Dalal Street debut amid busy Q4 earnings season. Here's what you should know before the opening bell:

Nifty outlook
Nifty on Monday saw strong, buying as it took out resistance at 18,200 level, said Rohan Patil, Technical Analyst, SAMCO Securities.

"The bullish candle on the daily chart showed a greater enthusiasm to sustain above its 9- and 21-EMA. The overall trend is positive as prices are trading above the breakout levels of Inverted Head and Shoulder pattern. The support for the Nifty is placed at around 18,050-18,000 levels and resistance is capped at 18,500 levels," he said.

SGX Nifty signals a negative start
Nifty futures on the Singapore Exchange traded 26 points, or 0.14 per cent, lower at 18,324, hinting at a negative start for the domestic market on Tuesday.

Asian stocks mixed
Asian shares crept with mixed cues on Tuesday ahead of Chinese trade and Japanese household spending data on Tuesday. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.23 per cent. Japan's Nikkei jumped 0.71 per cent; Australia's ASX 200 dropped 0.23 per cent; New Zealand's DJ declined 0.58 per cent; China's Shanghai gained 0.33 per cent; Hong Kong's Hang Seng added 0.03 per cent and Korea's Kospi fell 0.24 per cent.

Oil prices fall in cautious trade
Oil prices fell in early trade on Tuesday, paring strong gains from the previous two sessions as markets remain cautious ahead of US inflation figures for April which will be key to the Federal Reserve's next interest rate decision. Brent crude price was down 31 cents, or 0.4 per cent, at $76.70 and US West Texas Intermediate (WTI) crude lost 23 cents, or 0.3 per cent, to trade at $72.92.

Dollar edges higher
Dollar inched higher on Tuesday morning after a loans survey revealed that credit conditions in the United States were less gloomy than expected, while the pound flirted with a one-year peak ahead of this week's Bank of England policy meeting. Against a basket of currencies, the US dollar index rose 0.05 per cent to 101.49. The euro was last 0.16 per cent lower at $1.0987.

Wall Street stocks settle flat
US stocks paused on Monday after a strong rally in the prior session, as investors shift focus to a key inflation reading later this week. For most of the day, stocks struggled for direction amid disappointing earnings from Tyson Foods and Catalent and a short-lived rebound in regional banks. The S&P 500 gained 1.87 points, or 0.04 per cent, to end at 4,138.12 points, while the Nasdaq Composite gained 21.50 points, or 0.18 per cent, to 12,256.92. The Dow Jones Industrial Average fell 55.69 points, or 0.17 per cent, to 33,618.69.

Q4 earnings today
Lupin, Apollo Tyres, SRF, Hatsun Agro Products, Raymond, Five Star Business Finance, Nuvoco Vistas Corporation, Westlife Foodworld, Castron India, Poly Medicure, Chalet Hotels, Godrej Agrovet, KSB, Birla Corporation, Shanthi Gears, Rain Industires, Shipping Corporation of India, Reliance Infastructure and Nazara Technologies are among the companies that will announce their earnings for the March 2023 quarter.

Stocks in F&O ban
Three stocks stocks- Gujarat Narmada Valley Fertilizers & Chemicals (GNFC), Bharat Heavy Electrical (BHEL) and Mannapuram Finanance- have been put under the ban by National Stock Exhchange (NSE) for Tuesday, May 9. 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 2,124 cr
Provisional data available with NSE suggest that FPIs turned net buyers of domestic stocks to the tune of Rs 2,123.76 crore on Monday. Similarly, domestic institutional investors (DIIs) turned net sellers of Indian equities to the tune of Rs 245.27 crore.

Rupee settle flat against dollar
The rupee pared initial gains to settle flat at 81.78 against the US dollar on Monday amid a recovery in crude oil prices. Forex traders said the rupee consolidated in a narrow range as the gains from weak American currency and positive domestic equities were negated by a recovery in crude oil prices.

Note: With inputs from PTI, Reuters and other agencies