Indian equity benchmarks are set to open marginally lower as Nifty futures traded on the Singapore Exchange showed weak cues from other Asian markets. Nifty futures also known as SGX Nifty futures on the Singapore Exchange closed 30 points or 0.17 per cent lower at 17,789. Asian shares fell on Wednesday after US and European stocks rebounded overnight, reversing early gains as investors brushed off concerns about a potential US government debt default, while oil hit new multi-year highs. stopped near. The gains in oil have been driven by concerns about energy supply, and come two days after the OPEC+ group of producers increased their planned output rather than increase it further.
US crude on Wednesday rose to its highest level since 2014, but lost gains and was down 0.09 percent at $78.87 a barrel. Brent crude fell 0.08 per cent to $82.49 a barrel, having hit a three-year high in the previous session.
In equity markets, MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.6 per cent, reversing early gains, while Japan’s Nikkei fell 0.78 per cent.
Overnight, US and European tech stocks rose on Tuesday in global equity markets and the dollar strengthened on Friday ahead of US payrolls data that could reveal the Federal Reserve’s next move to lend its support to the economy.
On Wall Street, the Dow Jones Industrial Average was up 0.92 per cent, the S&P 500 1.05 per cent and the Nasdaq Composite up 1.25 per cent.
Back home, foreign institutional investors sold shares worth Rs 1,915 crore on Tuesday, while domestic institutional investors bought shares worth Rs 1,868 crore.
Canara Bank will be in focus after the bank reduced its overnight and one-month marginal cost lending rate (MCLR) from 6.70 per cent to 6.55 per cent.
Force Motors will be on investors’ radar when the company said it sold 1,968 units in September while it exported 272 units.