Sensex, Nifty may start November series on a positive note

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Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could rise 28 points at the opening bell. Overseas, Asian stocks are trading mixed as investors monitor stocks of Apple suppliers after the tech giant’s revenue miss.

Investors watched for movements in regional Apple supplier stocks after the company’s sales fell short of Wall Street expectations in its fiscal fourth quarter. CEO Tim Cook said there were larger-than-expected supply constraints on iPhones, iPads and Macs.

Japan’s factory output shrank for the third straight month in September as production in the auto sector was hit by a global supply shortage. Factory production slumped 5.4% in September from the previous month, official data showed on Friday.

US stocks reached record levels on Thursday as strong earnings from major companies bolstered investor confidence.

The S&P 500 added 0.98% to close at a record high of 4,596.42, and the tech-heavy Nasdaq Composite jumped 1.39% to close at its own record of 15,448.12. The Nasdaq also notched an intraday record high. The Dow Jones Industrial Average rose 239.79 points, or 0.68%, to finish at 35,730.48, just under its all-time high.

The move for stocks came despite a disappointing economic report on Thursday. GDP growth for the third-quarter came in at 2.0%. The reading marks a slowdown from 6.7% growth in the second quarter.

The number of Americans applying for unemployment benefits fell to a pandemic low last week. Jobless claims dropped by 10,000 to 281,000, lowest since mid-March 2020, the Labor Department said Thursday.

Wall Street was also monitoring events in Washington, where Democrats and President Joe Biden appear to have reached a deal on a $1.75 trillion social spending bill. Negotiations over the bill have held up a vote on a separate infrastructure package.

Domestic markets

Back home, the main indices ended with steep losses on Thursday amid weak global cues. The S&P BSE Sensex, declined 1,158.63 points or 1.89% to 59,984.70. The Nifty 50 index fell 353.70 points or 1.94% to 17,857.25.

Foreign portfolio investors (FPIs) sold shares worth Rs 3,818.51 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 836.60 crore in the Indian equity market on 28 October, provisional data showed.