Expect weak opening tracking global cues

Indian equities indices posted their biggest drop in more than three weeks on F&O expiry day after the Bank of Japan (BoJ) refrained from expanding monetary stimulus despite shocking data that underlined the huge problems facing the country’s economy. Their projections for GDP were lowered to 1.2% and 0.1% respectively which is much lowering GDP growth forecasts for this year and the next. The Sensex closed 461.02 points or 1.77% down at 25,603.10, while the Nifty slid 132.65 points at 7,847.25. In the broader markets, the mid-cap and small-cap indices also slumped 0.8% and 1.1% respectively. Now fourth quarter’s earnings are likely to dominate news flow for the next couple of weeks.

U.S. stocks fell steeply Thursday afternoon as fresh declines in Apple after billionaire activist investor Carl Icahn said he had sold his entire stake in Apple, citing the risk of China's influence on the stock. Earlier, stocks slid after the Bank of Japan stunned markets by choosing not to expand monetary stimulus. The Dow Jones Industrial Average lost 210.79 points, or 1.2%, to close at 17,830.76. The S&P 500 slipped 19.34 points, or 0.9%, to close at 2,075.81 while the tech-heavy Nasdaq Composite dropped 57.85 points, or 1.2%, to close at 4,805.29. Crude oil prices remained firm; ignoring a report of bigger-than-expected growth in U.S. crude inventories spurred some investors to unload the commodity.

European stocks finished mixed on Thursday as rebound in oil prices, after digesting earnings and the latest central bank decisions from the Federal Reserve and the Bank of Japan. The Stoxx Europe 600 finished up 0.2% at 348.90. Germany’s DAX 30 reversed losses and rose 0.2% at 10,321.15, while France’s CAC 40 narrowed its loss to 2 points at 4,557.36. The U.K.’s FTSE 100 swung up for a fractional rise to 6,322.40.

Asian markets opened in the mix on the final trading day of the week, following a decline in U.S. equities overnight, while the yen saw fresh strength against the dollar. Japanese markets are closed on Friday for a public holiday. Australia's ASX 200 reversed early losses to trade up 0.44% while South Korea’s Kospi index was down 0.6%. In Hong Kong, the Hang Seng index dropped 1.24% and China’s Shanghai composite index also reversed early losses and tradedat flat.

On the domestic front, A SGX Nifty 50 index future for May series traded down by 31.50 points at 7,878. Indian markets are likely to open in red on account of negative global cues. Investors will be keeping an eye on ICICI bank results due for release today.