The domestic stock markets are likely to open in the red on the back of negative global cues. Trends on SGX Nifty indicate a gap-down opening for the Nifty in India, with a 190-points loss. At 7:30 am, the Nifty futures were trading at 15,559, lower by 190 points or 0.7 per cent, on the Singapore Stock Exchange.
Asian stocks dropped on Monday as investors mulled the implications of a surprise hawkish shift last week by the U.S. Federal Reserve, while the Treasury yield curve flattened further with 30-year yields dropping below 2 per cent.
Japan’s Nikkei led declines with a 3.3 per cent drop and dipped below 28,000 for the first time in a month, while MSCI’s broadest index of Asia-Pacific shares outside Japan fell 1 per cent in early trading.
US stocks ended sharply lower on Friday, with the Dow and S&P 500 posting their worst weekly performances in months, after comments from Federal Reserve official James Bullard that the U.S. central bank might raise interest rates sooner than previously expected spooked investors.
The Dow Jones fell 1.58 per cent, the S&P 500 lost 1.31 per cent and Nasdaq Composite dropped 0.92 per cent,.
In corporate earnings, Oil India, Bharat Dynamics, Info Edge and Jaiprakash Associates will declare their Q4 numbers during the day.
On Friday, the BSE Sensex had gained 21.12 points to close at 52,344.45, whereas the NSE Nifty had declined eight points to 15,683.40.