Sensex, Nifty Likely To Have A Weak Start

Asian shares edged lower on Tuesday morning amid uncertainty about Senate runoffs in Georgia, which could have a big impact on incoming U.S. President Joe Biden's economic policies

Sensex, Nifty Likely To Have A Weak Start

At 7:30 am, the Nifty futures were trading lower by 0.9 per cent on Singapore Stock Exchange.

The domestic stock markets are likely to open in the red, following negative cues from across the global front. The US markets had a weak closing overnight, Asian markets are edgy this morning and early trends on SGX Nifty indicate a negative opening for the index in India, with a 107-points loss. At 7:30 am, the Nifty futures were trading at 14,070, lower by 107 points or 0.9 per cent on the Singapore Stock Exchange.

Shares on Wall Street closed sharply lower on Monday, sliding from all-time peaks on the first trading day of the year, as risk appetite ebbed amid upcoming runoff elections in Georgia and the persistent surge in coronavirus cases.

The Dow Jones Industrial Average fell 382.59 points, or 1.25 per cent, to 30,223.89, the S&P 500 lost 55.42 points, or 1.48 per cent, to 3,700.65 and the Nasdaq Composite dropped 189.84 points, or 1.47 per cent, to 12,698.45.

Asian shares edged lower on Tuesday morning amid uncertainty about Senate runoffs in Georgia, which could have a big impact on incoming U.S. President Joe Biden's economic policies.

MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.12 per cent, pulling back from a record high hit in the previous session. Australian stocks fell 0.16 per cent. Japanese shares lost 0.47 per cent after a media report that the government will curb business hours in Tokyo and surrounding cities from Thursday.

Meanwhile, oil prices slipped from multi-month highs to end more than 1 per cent lower on the first trading day of the year after OPEC+ failed to decide on Monday whether to increase output in February and agreed to meet again on Tuesday.

Brent futures settled 71 cents, or 1.4 per cent, lower at $51.09 a barrel, while U.S. West Texas Intermediate (WTI) crude fell 90 cents, or 1.9 per cent, to settle at $47.62.

On Monday, the BSE Sensex had climbed 307.82 points to 48,176.80 and the NSE Nifty had rallied 114.40 points to 14,132.90.