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Markets Likely To Have A Weak Opening

Yes Bank will be in focus as the government limited deposit withdrawal to Rs 50,000 a month.
Yes Bank will be in focus as the government limited deposit withdrawal to Rs 50,000 a month.

The domestic markets are set to open on a weak note, in line with their global counterparts, as the worsening spread of coronavirus across the world is stoking fears of a prolonged global economic slowdown.

Trends on SGX Nifty indicate a weak opening for the index in India.The Nifty Singapore futures were 3 per cent lower at 10,860 in early trades. Asian shares had also fallen across the board this morning; MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.5 per cent and Japan's Nikkei index slid 1.4 per cent.

The US stocks had tumbled on Thursday, with shares of banks and travel companies taking a beating, as a new wave of fear about the spread of the coronavirus and its economic impact gripped investors. The Dow Jones fell 969 points or 3.5 per cent to 26,121 and Nasdaq Composite dropped 279 points or 3.1 per cent to 8,738.

The equity benchmarks back home closed with modest gains on March 5 as fears over coronavirus cases and its economic fallout continued weighing on sentiment. The S&P BSE Sensex had ended 61 points higher at 38,471 and Nifty 50 index advanced 18 points to close at 11,269.

The rupee snapped its four-session losing run on Thursday to close 6 paise higher at 73.33 against the US dollar amid hopes that efforts by countries would offset financial damage from the novel coronavirus outbreak. Easing crude oil prices and weakness in the dollar vis-a-vis other key global currencies also helped the rupee build resistance.

On the corporate front, Yes Bank will be in focus during the day after the government limited deposit withdrawal in the beleaguered bank to Rs 50,000 a month.