India Stocks: Indian shares set for subdued open as Fed angst weighs

HBL Engineering

22/09/2023 03:48

By Sethuraman N R
       BENGALURU, Sept 22 (Reuters) - Indian benchmark indexes
are expected to see a muted opening on Friday, tracking their
Asian peers, following a sell-off overnight in the U.S. markets
on fears of that interest rates will stay higher for longer.
    India's GIFT Nifty  .GIFc1  was higher by about 0.15% to
19,691 points at 7:55 a.m. IST on the NSE International
Exchange.
    The Nifty 50  .NSEI  closed 0.8% lower at a two-week low of
19,742.35 points on Thursday, while the S&P BSE Sensex  .BSESN 
declined about 0.85% to 66,230.24 points.
    For the week, both the indexes are down over 2% and were on
track for their first weekly decline in four.
    MSCI's broadest index of Asia-Pacific shares outside Japan
 .MIAPJ0000PUS  were down 0.4% after all three major U.S. stock
indexes tumbled more than 1% overnight as the Federal Reserve
stiffened its hawkish monetary policy stance.  MKTS/GLOB 
    Higher interest rates dry up liquidity from the markets,
increasing the cost of capital.
    Already, foreign investors have been net sellers so far this
month, offloading shares worth $996.2 million as of Sept. 20.
    Foreign institutional investors (FII) sold shares worth
31.11 billion rupees ($375.2 million), on a net basis, on
Wednesday and 30.07 billion rupees worth on Thursday, according
to stock exchange data.
    Domestic investors, meanwhile sold shares worth 5.73 billion
rupees on Wednesday but bought shares worth 11.58 billion rupees
on Thursday, the data showed.
    Meanwhile, Indian government bonds will be included in
JPMorgan's widely tracked emerging market debt index from June
2024, the Wall Street bank said on Friday.
        
  
        STOCKS TO WATCH:
    ** Wipro  WIPR.NS : CFO Dalal resigns, Aparna Iyer appointed
new finance chief
    ** JSW Group: JSW is in talks with LG Energy Solution to
make EV batteries in India
    ** Amara Raja Batteries  AMAR.NS , Exide Industries
 EXID.NS , HBL Power Systems  HBLS.NS : Tesla proposes building
a battery storage factory in India
    ** Glenmark Pharmaceuticals  GLEN.NS , Glenmark Life
Sciences  GLEM.NS : Glenmark Pharma to sell a majority stake in
its life sciences unit for $680 million
    ** JSW Steel  JSTL.NS : Co slows process to buy a stake in
the steelmaking coal unit of Canada's Teck Resources  TECKb.TO 
    
    ($1 = 82.8270 Indian rupees)

 (Reporting by Sethuraman NR, Archishma Iyer and Anisha Ajith;
Editing by Savio D'Souza)
 ((Sethuraman.NR@thomsonreuters.com; (+91 9945291420); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))