Sensex, Nifty Likely To Open Lower

The domestic stock markets are likely to open in the red, in the absence of encouraging global cues and negative indications from early trading in SGX Nifty. Trends on SGX Nifty indicate a negative opening for the index in India, with a 42 points loss. At 7:30 am, the Nifty futures were trading at 11,477, lower by 42 points or 0.4 per cent on the Singapore Stock Exchange.

Asian shares held to tight ranges on Monday as investors awaited developments on U.S. fiscal stimulus and coronavirus vaccines amid a resurgence of infections in Europe.

MSCI's broadest index of Asia-Pacific shares outside Japan was a shade weaker, though it was not too far from a June 2018 peak at 568.84. Australian and New Zealand shares both opened in the red, while South Korea's KOSPI was 0.1 per cent up.

US stocks had turned lower in volatile trading on Friday as worries about rising coronavirus cases and a patchy economic recovery dampened risk sentiment, with technology-related stocks reversing early gains to extend their declines to a third day.

Dow Jones was down 0.16 per cent, S&P 500 was down 0.47 per cent and Nasdaq Composite was down 0.66 per cent.

Meanwhile, oil prices fell on Monday on the potential return of oil output from Libya even as rising coronavirus cases add to worries about global demand, although losses were limited as a new tropical storm heads for the U.S. Gulf of Mexico.

Brent crude was down 20 cents, or 0.5 per cent, at $42.95 a barrel by 0039 GMT, while U.S. crude fell by 27 cents, or 0.7 per cent, to $40.84 a barrel.

On the IPO front, Route Mobile would be listing on the bourses in the morning. Besides, Computer Age Management Services and Chemcon Speciality Chemicals will open for bidding.

On Friday, the BSE Sensex had shed 134.03 points to close at 38,845.82 and the NSE Nifty had fallen 11.10 points to 11,505.