Indian shares set to open flat amid weak global cues
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Indian shares are set to open little changed on Friday amid weak global cues and ahead of the Bank of Japan's policy decision, while investors also waited for a slate of quarterly earnings due through the day.
India's GIFT Nifty on the NSE International Exchange was up 0.01% at 19,766.50 as of 7:48 a.m. IST.
Asian markets edged lower ahead of Bank of Japan's policy decision on speculation that the Japanese central bank may take steps to remove stimulus measures. [MKTS/GLOB]
Wall Street equities closed lower after stronger-than-expected GDP data in June quarter, hurting hopes of an end to policy tightening with the U.S. Federal Reserve's latest hike a day earlier.
The GDP data indicates strength in U.S. economy and could allow the Fed room to raise rates if inflation remained above its 2% target.
In its policy meeting on Wednesday, the Fed had reiterated a data-dependent approach to policy tweaks, while delivering a 25 basis-point hike.
On Thursday, the European Central Bank (ECB) followed the Fed by hiking rates by 25 basis points. In contrast to the Fed, ECB President Christine Lagarde hinted at a likely pause in its next meeting in September.
Both the Nifty 50 and Sensex declined on Thursday, dragged by financials and autos. The Nifty 50 and Sensex have lost 0.43% and 0.63% so far this week. If losses hold, the benchmarks will snap four consecutive weeks of gains.
Foreign institutional investors sold 39.79 billion rupees of Indian equities on a net basis on Thursday, while domestic investors purchased 25.28 billion rupees of shares, as per provisional NSE data.
STOCKS TO WATCH:
** Indus Towers: Co's consolidated net profit nearly triples in June quarter.
** JK Lakshmi Cement: Co reports 29% fall in profit in first quarter on higher costs.
** Bharat Electronics: Co posts rise in consolidated net profit in June quarter, aided by revenue growth, fall in input costs.
** Sona BLW Precision Forgings: Co reports rise in June quarter profit; to expand capacity at Chennai plant with investment of 997 million Rupees.
** Key earnings on Friday: Indian Oil Corporation, Mahindra & Mahindra Financial Services, Marico.
