Sensex overcame a weak start to move higher with FMCG and energy stocks edging higher in early trade. Sensex up over 50 points while Nifty rises to 8,685 at day’s high.
The BSE Sensex and Nifty are likely to open flat on Monday as indicated by SGX Nifty (Nifty futures trading on Singapore Stock Exchange), which was up 11 points at 8,699 as of 8.10 a.m..
The government on Saturday appointed Urjit Patel, current Deputy Governor at Reserve Bank of India, as the new Governor who will replace outgoing Governor Raghuram Rajan. Mr Patel’s appointment as Reserve Bank Governor should lead to a rally in stock markets, said most of the analysts as it signals the continuity of monetary policy, which is focused on curbing inflation.
Urjit Patel is the key architect of the inflation-targeting approach formalised as a policy recently.
Among Nifty stocks, NTPC will be in focus today as it will announce its earnings for the April-June quarter. Among other companies, HPCL and Indraprastha Gas will also declare their Q1 results today.
Stocks like Fortis Healthcare and Fortis Malar Hospitals will be in focus. Fortis Healthcare on Friday post market hours announced demerger of its diagnostic business SRL, which will be merged into its listed arm Fortis Malar Hospitals. Existing hospital business of Fortis Malar will be transferred to Fortis Healthcare and Fortis Malar will be renamed SRL post the merger. Shareholders of Fortis Healthcare will get 98 shares of SRL for every 100 shares of Fortis Healthcare held.
Meanwhile, Asian shares traded mostly lower expect Japan’s Nikkei, which was up 0.24 per cent; Hang Seng was down 0.48 per cent, Kospi fell 0.68 per cent while Shanghai Composite shed 0.53 per cent.