Markets may begin flat following mixed global cues

The outlook for the day is a flat start and indices could remain subdued initially on the back of mixed cues from the global markets. Traders across the globe are in 'wait and watch' mode as they await the outcome of the much-awaited meeting between the US President Donald Trump and Chinese President Xi Jinping at the G-20 summit in Japan due later this week. The outcome of this meeting would set the tone for the markets worldwide. At the time of writing, SGX Nifty was up by 12 points at 11,728 level.

The Asian markets continued to display a mixed trend on Tuesday following a lacklustre performance seen on the Wall Street in overnight trading. The Japanese stock index Nikkei 225 has dipped 0.16 per cent, Hong Kong’s Hang Seng has fallen 0.23 per cent, while the Kospi has added 0.27 per cent.  

Back home, after starting the session on a flat note, bulls gathered some momentum in early trading. However, the indices pared all of their gains and entered in the red terrain and remained in the red for majority of the time. But, in the last leg of trading, the markets rebounded from the day’s low to end the session with modest losses. The Nifty slipped 0.21 per cent and BSE Sensex shed 0.18 per cent. The broader indices ended with losses as well, with Nifty Midcap and Smallcap losing 0.34 per cent and 0.39 per cent, respectively. Most of the sectoral indices ended lower, with Nifty Metal and Nifty Realty emerging as the top losers, while Nifty PSU Bank and Nifty FMCG added 0.25 per cent and 0.14 per cent, respectively. India VIX shot up 4.19 per cent to the 15.25 mark.

The US stocks put up a mixed show as market participants appeared watchful ahead of the highly-anticipated meeting between the leaders of the world’s two largest economies at G-20 summit in Osaka which is scheduled later this week.  The Dow gained nine points to close at 26,728, while the Nasdaq slipped 26 points to finish at 8,006 and the S&P 500 index declined 5 points to end at 2,945.

Europe’s major equity benchmarks ended Monday’s session lower. Germany’s DAX and France’s CAC 40 index edged down by 0.53 per cent and 0.12 per cent, respectively, while the UK’s FTSE 100 ended up by 0.12 per cent.