Markets may open flat; Bharti Airtel, HDFC Bank in focus

Benchmark indices may open on a flat note tracking the mixed trends in their Asian peers. However, markets are likely to rebound later in the session and edge higher on firm global cues.

At 8:20AM, the early indicator SGX Nifty was up 5 points at 8,540.

Meanwhile, foreign institutional investors were net buyers in Indian equities worth Rs 407.42 crore on Monday, as per provisional stock exchange data

Japanese shares have opened on a firm note after a national holiday on Monday. Nikkei has gained around 0.3%.

Meanwhile, Chinese shares are trading mixed with Shanghai Composite gaining around 0.2% while Hang Seng index is trading flat with a negative bias. Analysts expect that Beijing is ready to take further easing steps.

US markets ended mixed on Monday with Dow Jones and S&P 500 hitting record closing highs. U.S. stocks rose on Monday on hopes that China will take further accommodative monetary policy action if needed while losses in energy shares weighed.

The Dow Jones industrial average 0.04% to 17,817.9, the S&P 500 gained 0.29% to 2,069.41 and the Nasdaq Composite added 0.89% to 4,754.89.

Stocks to watch

HDFC Bank may come under pressure as today it will be excluded from the MSCI and technical analyst expect selling of around $250 million.

Bharti Airtel may witness an uptick on reports that the company has decided to sell more than 4,800 mobile phone masts in Nigeria to American Tower Corp for $1.05 billion to cut costs and pare debt.

Tata Power and Adani Power will be in focus as Supreme Court hearing on compensatory tariff is to take place later today.

Jindal Steel is likely to trade subdued after cancelling a $10 billion coal-to-diesel project becoming the first big casualty of a Supreme Court (SC) decision to scrap coalfields allocated to private firms since 1993. Jindal Steel’s 1.5 billion tonne coalfield in Odisha was among 214 cancelled by the SC in September, when it ruled the practice of selective allocation was illegal and arbitrary. With nine coalfields taken back, the company has been worst hit by the tougher-than-expected verdict.

Ceat Tyres may witness fresh buying as RBI has allowed FIIs/RFPIs to invest upto 45% in the company.

HDFC Bank

National Stock Exchange of India Ltd (NSE)