Opening Bell:
Gift Nifty is down by 17.0 points in the early morning trade, indicating a negative opening for Indian stock market.
Hong Kong stocks led Asia-Pacific markets lower on Tuesday, in their return from a National Day holiday on Monday. The city’s benchmark Hang Seng index closed 2.69%, recovering slightly from earlier in the session when it was down more than 3%. In Australia, the S&P/ASX 200 traded down 1.28%, after the central bank held rates at 4.10%, as expected by a Reuters poll. In Japan, the Nikkei 225 dropped 1.64%. South Korean and Chinese markets are closed for holidays.
Stock futures are near flat Tuesday night following a tough session that dragged the Dow Jones Industrial Average into negative territory for 2023. Futures tied to the 30-stock index added 3 points, trading near flat. S&P 500 futures and Nasdaq 100 futures were also both little changed. The moves follow a losing session on Wall Street after job openings data indicated the labor market is still strong and bond yields marched higher. The Dow lost 1.3%, notching its worst session since March. The S&P 500 tumbled 1.4% and at one point hit its lowest level since June. The Nasdaq Composite ended 1.9% lower. Those losses pulled the Dow into the red on the year: It’s now off 0.4%. The S&P 500 and Nasdaq are up more than 10% and 24%, respectively, for 2023.
Stocks News:
👉 Adani Enterprises: Green Vitality RSC, the 100-percent subsidiary of Abu Dhabi’s International Holding Company (IHC), has bought 6.43 lakh shares, which is equivalent to 0.06% of paid-up equity, in Adani Enterprises via open market transactions on October 3. With this, IHC’s shareholding in the company has increased from to 5.04%, up from 4.98%.
👉 Maruti Suzuki: Automobile major Maruti Suzuki India on October 3 informed the stock exchanges that it has received a draft assessment order for pending dues amounting to ₹2,160 crore from the Income Tax department. The case pertains to the period of financial year 2019-20. The company, in response to the order, said it will file its objections before the Dispute Resolution Panel. The order will have “no impact on financial, operation or other activities of the company”, it further noted.
👉 HDFC Bank: HDFC Bank Ltd. is revamping some parts of top management as the Indian bank seeks to propel its mortgage business. It has brought IT and digital functions, led by Ramesh Lakshminarayanan directly under CEO Sashidhar Jagdishan as the bank leans on technology to offer more products and services across its branches. Ashish Parthasarthy a bank veteran, will get responsibility for the key retail branch business.
👉 Avenue Supermarts: The D-Mart operator has reported standalone revenue from operations at Rs 12,308 crore for the quarter ended September FY24, up 18.5% over Rs 10,385 crore in same period last year. The total number of stores as of September 2023 stood at 336.
👉 Foreign institutional investors (FII) offloaded shares worth Rs 2,034.14 crore, while domestic institutional investors (DII) purchased Rs 1,361.02 crore worth of stocks on October 3, provisional data from the National Stock Exchange (NSE) showed.
Domestic and International Events
- Resilient economic data and hawkish comments from the US Federal Reserve officials raised expectations that the interest rates will remain higher for longer leading to a sharp spike in the treasury yields. Concerns about growing Treasury supply and high oil prices are also reducing demand for US debt. On Tuesday, benchmark 10-year notes reached 4.806% and 30-year yields hit 4.950%, both the highest levels since 2007. The 10-year US Treasury yield was up 11 basis points at 4.793% on Wednesday. The yields are up some 70 basis points since the start of September. The 30-year US Treasury yield rose as high as 4.924%, its highest since 2007.
- India’s factory activity expanded at a slower pace in September, but remained strong, according to a private survey. The Manufacturing Purchasing Managers’ Index fell to 57.5, its lowest in five months, missing forecasts. However, strong demand from both domestic and international markets drove business confidence to its highest level this year
- Oil prices recovered slightly after hitting a three-week low on Tuesday, as investors weighed a stronger US dollar, darkening global economic signals and tightening supply. Brent crude oil futures were down 10 cents to $90.61 a barrel, after falling to a session low of $89.50, the lowest since Sept. 8. US West Texas Intermediate crude, gained 37 cents to $89.19 per barrel. Earlier in the session, prices fell to $87.76, weakest since Sept. 12.
- Gold prices languished near a seven-month low on Tuesday, weighed down by a robust dollar and elevated bond yields as the likelihood of US interest rates staying higher for longer dominated sentiment. Spot gold was down 0.3% at $1,822.42 per ounce, its lowest level since early March. US gold futures shed 0.4% to $1,840.00 per ounce. US job openings unexpectedly increased in August, pointing to tight labour market conditions that could compel the US Federal Reserve to raise interest rates next month.
Key Equity Indices
| EMERGING | LATEST | % 1D |
| Hang Seng | 17,331 | (2.7) % |
| Shanghai Composite | 3,110 | 0.1 % |
| DEVELOPED | LATEST | % 1D |
| Dow Jones | 33,002 | (1.3) % |
| DAX | 15,085 | (1.1) % |
| FTSE 100 | 7,470 | (0.5) % |
| Nikkei | 31,238 | (1.6) % |
| Straits Times | 3,192 | (0.5) % |
