Markets likely to open on a cautious note

The domestic markets are likely to open on a cautious note as the cues from Asian markets are dismal. As per early SGX indication, Nifty Fut (Nov) may open around 10,280 with a loss of 22 points at the opening bell.  

Asian markets have kicked off the week with a dismal start. Japan's  Nikkei 225 has lost 0.45%, Hong Kong’s Hang Seng has dipped 0.17%, while China’s Shanghai Composite has slid 1.04%.  

Back home, markets witnessed a gap-up opening by a fair margin mainly on the back of Moody’s upgrade. Later, markets trimmed some gains as profit-booking emerged at higher levels. The broader market ended the session on a firm note as Nifty Mid-Cap and Small–Cap indices rose 1.04% and 0.91%, respectively. Sector-wise, Nifty Realty was the top performer as it surged 3.66%, followed by Nifty Metal and Nifty Fin Service. At the closing bell, markets continued the rally for the second day in a row; BSE Sensex surged 236 points to close at 33,343 and Nifty added 69 points to settle at 10,284.  

During the last trading session of the week, the US stocks saw modest weakness on the back of lingering uncertainty about the outlook for Republican lawmaker’s tax reform plans. The Dow Jones Industrial Average slipped 100 points to settle at 23,358, Nasdaq Composite index lost 11 points to close at 6,783 and the S&P 500 shed 7 points to finish at 2,579.  

The European markets vacillated between small gains and losses on Friday and finally finished the day in the red. The German DAX index dipped 0.41%, French CAC 40 edged down by 0.32%, while FTSE 100 of the UK fell 0.08%