Market Morning Brief: Key triggers that are shaping the market today

What would you make of an economy where jobs grow but productivity declines? This is what has happened in US. But, surprisingly market shrugged it off to hit another record high overnight. Asian markets, however, failed to join the Wall Street party.

Below is a wrap-up of four major news triggers that may shape market in Wednesday's trade:

1) US economy back to its same old problem

US worker productivity fell for the third straight quarter in June, suggesting that corporate profits may continue to decline and wage growth may remain sluggish. The tough combination of falling productivity and rising jobs may nudge US Federal Reserve to postpone rate hike to 2017.

2) Global markets offer mixed signal

Overnight, The Nasdaq composite rose to a record high close while other major indexes hovered near their own recent all-time highs in a session with thin trading volume, but Asian markets traded mixed this morning, though managed to hold near one-year highs.

3) Gold gains

Gold rose on Wednesday, holding gains from the previous session as the dollar fell, with investors evaluating the likelihood of a Federal Reserve rate hike after a weak US productivity report.

4) Analysts see muted response on mega spectrum auction

Telecom analysts are predicting a tepid response to the biggest-ever spectrum auction, particularly in the prized 700 Mhz band, despite government's latest move to ease certain bidding norms to attract bidders. Government hopes to raise as much as Rs 5.63 lakh crore from auction of mobile phone airwaves, slated to begin from September 29.

5) Govt's tax kitty swells

Government's revenue collection showed an impressive growth in April-July period of this fiscal, with total direct and indirect tax mop-up rising to Rs 4.3 lakh crore.

Indirect tax collections rose by 29.9 per cent during the first four months of the current fiscal YEAR to about Rs 2.71 lakh crore, mainly on account of 50.8 per cent jump in excise revenues.

Direct tax revenue rose 24.01 per cent to Rs 1.59 lakh crore in April-July, driven mainly by higher mop-up in personal income tax due to early advance tax collections.