Markets likely to begin on a flat note today!

The outlook for the day is a flat to a positive start as SGX Nifty is trading with gains of 9 points at 11,537 levels. For the day, the 20-DMA is likely to act as good support, while on the upside; the region of 11,585-11,600 may act as a hurdle for the bulls.

Asian markets were trading with modest gains on Friday despite a sell-off seen in the overnight trade on Wall Street. China’s Shanghai Composite is trading with gains of 0.39 per cent, followed by Hong Kong’s Hang Seng and Japan’s Nikkei 225, which have added 0.20 per cent and 0.03 per cent, respectively.

Indian markets ended lower on Thursday amid weak global cues. Nifty and Sensex lost 0.76 per cent and 0.82 per cent, respectively. The broader indices too ended the day in red after Nifty Mid-cap and Small-cap dipped 0.25 per cent and 0.48 per cent, respectively. On the sectoral front, Nifty Pharma, Nifty Media and Nifty IT ended in green while, rest of the sectors ended in red wherein Nifty Realty, Nifty Metal, and Nifty PSU Bank were the top losers.

A weaker than estimate initial jobless claims number and construction of new homes in August tumbled by 5.1 per cent MoM that led to the collapse of US stocks on Thursday. The tech-heavy Nasdaq was the worst impacted of the major US stock market indices as it declined 1.3 per cent and settled below the 11,000 mark. S&P 500 and Dow dropped 0.8 per cent and 0.5 per cent, respectively. European indices too ended lower on Thursday after weighing down by dampened economic outlook by Bank of England and resurge in Coronavirus cases in the region. France reported the highest number of new Coronavirus cases. Meanwhile, Bank of England (BoE) held the interest rates unchanged but hinted at the probability of sanctioning a negative interest rate policy if needed.