Today We Expect Relief Opening

Indian equities markets plunged over 2% on Monday with the Nifty closing below the 8,800mark due to global sell-off amid concerns over slowdown in China and rising tensions in the Middle East. All sectoral indices ended in red. The Sensex plunged 537.55 points or 2.05% to 25623.35 and the Nifty lost 171.90 points or 2.16% to 7791.30, weighed down by banking & financials, auto and technology stocks. The broader markets ended weak but less than the benchmark indices- BSE Midcap and Smallcap indices fell nearly 1.1% each. Our Indian rupee depreciation also dampened the market sentiments. The rupee plunged to a two-week low of 66.61 on Monday by falling 47 paise against the dollar.

On the global front, U.S. stocks dropped sharply Monday following other global markets lower on concerns about China's economic slowdown were revived by weak manufacturing data released on Monday. The Dow Jones index sank 276 points, or 1.58%, to 17,148. The S&P 500 index fell 31.28 points, or 1.5%, to 2,012.66. The tumbled by 104.32 points, or 2.1%, to 4,903.09.

Crude oil prices turned negative on Monday after a tumbling U.S. stock market erased gains in crude futures which rose as much as 4% earlier in the session on tensions in the Middle East. The weak economic data coming out of China triggered fears about a downturn in economic growth is also one of the reasons. WTI futures settled 28 cents lower, or 0.76 % at USD 36.76 a barrel and Brent fell 5 cents, or 0.13%, at USD 37.24 a barrel, having hit an intraday high of USD 38.99.

European markets closed sharply lower on Monday following a sell-off in China scared investors out of equities. Germany’s DAX 30 index closed the session down nearly 4.5% representing a near 460 point loss to 10,283.44. The Stoxx Europe 600 index slumped 2.5% to close at 356.66. France’s CAC 40 gave up 2.5% to 4,522.45, while the U.K.’s FTSE 100 index fell 2.4% to 6,093.43.

Asian stocks struggled to stabilize on Tuesday after after a sharp selloff in the previous session. Japan's Nikkei 225 index rose 0.41% from a drop in the morning and South Korea’s Kospi index increased 0.82%. Australia’s S&P/ASX 200 Index lost 1% and New Zealand’s S&P/NZX 50 Index declined 0.87%. After Chinese markets tank around 7% in the the previous now it had fluctuated between positive and negative and Shanghai Composite index traded at falt.

While on domestic front, A SGX Nifty 50 index future for January Series traded up 21 points at 7,823. Indian markets may open in green after a big fall on yesterday.