Market Likely To Open In Red

Indian stock markets edged lower on Monday as investors as investors turned cautious and book profit ahead of a key two-day US Federal Reserve Meeting, which is scheduled to start from 27^th October and domestic expiry derivative series for the month of October on Thursday. The Sensex fell 108 points to 27,361, after gaining close to 150 points in early session. The Nifty settled at 8,260, down 35 points. The broader markets also closed in red with BSE Midcap down 0.5% and Smallcap down 0.7%.

U.S. stocks ended Monday’s session mostly lower as renewed weakness in energy shares weighed on Wall Street. Investors were cautious ahead of the Federal Reserve's two-day policy meeting, which begins on Tuesday. The market is looking for clues on the outlook for when the Fed may begin raising interest rates. The Dow Jones industrial average fell 23.65 points, or 0.13%, to 17,623.05, the S&P 500 lost 3.97 points, or 0.19%, to 2,071.18 and the Nasdaq Composite added 2.84 points, or 0.06%, to 5,034.70. In economic news, the government reported an unexpected drop in new home sales by 11.5% in September. Sales fell to their slowest pace in 10 months in September, hit by higher home prices and softer economic growth.

U.S. crude oil lost 62 cents, or 1.4%, to close at USD 43.98 a barrel in New York, its lowest level in nearly two months, as concerns over a supply glut and weak demand lingered. Brent Crude, which is used to price international oils, fell 45 cents, or 0.9%, to USD 47.54 a barrel in London.

European equities closed lower on Monday, as investors mulled the latest corporate earnings and a surprise rate cut from China. London's benchmark FTSE 100 index of leading blue-chip companies shed 0.4% to 6,417.02 points. In the eurozone, the Paris CAC 40 gave up 0.5% compared with Friday's close to 4,897.13 points. On the upside, Frankfurt's DAX 30 managed a gain of 0.1% to 10,801.34 after a top survey showed that German business confidence dropped less than expected during October.

Asian stocks declined on Tuesday, as investors took cover ahead of central bank meetings in the United States and Japan later in the week. Japan’s NIKKEI 225 index slipped 0.50%. South Korea’s Kospi index fell 0.29%. Australia’s S&P/ASX 200 Index was little changed. New Zealand’s S&P/NZX 50 Index added 0.58%. The Shanghai Composite fell more than 2% each in early trade, with the benchmark index retreating from a more than two-month high hit in the previous session.

A SGX CNX Nifty Index future for October delivery was down 28 points at 8,240. Indian market is likely to open in negative and going forward may remain volatile due to ahead of F&O expiry. Axis bank, Bharat Bijlee, Ceat, Coromandel International, Dish TV, Eimco Elecon, KPR Mill, Lupin and Maruti Suzuki India would be reporting third quarter earnings today.