10 things you need to know before the opening bell on May 22

SUMMARY

Indian shares are set to start on a positive note on Wednesday as investors await final results of the 2019 Lok Sabha elections. Broader market sentiment has been positive since exit poll results of the general elections predicted continuation of the Narendra Modi government with the Bharatiya Janata Party expected to win majority seats. Indian benchmark indices BSE Sensex and NSE’s Nifty 50 fell nearly 1 percent in the previous session after hitting record highs intraday as investors booked profits after a rally on Monday. Stocks in Asia were on shaky ground as earlier relief over Washington's temporary relaxation of curbs against China's Huawei failed to offset deeper worries about trade frictions between the world's two largest economies. At 06:55 AM, the SGX Nifty was up 32 points, or 0.27 percent, at 11,758.50, suggesting a positive start for the Sensex and the Nifty 50.

By CNBC-TV18May 22, 2019 8:02:03 AM IST (Updated)

1. Asia: MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.29 percent. Asian shares remain flat on Wednesday as trade tensions continue to linger between the US and China. The Nikkei in Japan rose 0.06 percent at 21,280.62. The Kospi declined 0.51 percent and the ASX 200 in Australia also slipped 0.26 percent.

2. US: Wall Street advanced on Tuesday after the United States temporarily eased trade restrictions on China's Huawei Technologies Co Ltd. by allowing Huawei to buy US goods. The Dow Jones Industrial Average rose 197.43 points, or 0.77 percent, to 25,877.33. The S&P 500 gained 24.13 points, or 0.85 percent, to 2,864.36 and the Nasdaq Composite added 83.35 points, or 1.08 percent, to 7,785.72.

3. Markets At Close On Tuesday: The Indian equity benchmark indices ended lower after hitting fresh record highs on Tuesday, dragged by auto and banking stocks as investors booked profit after the mammoth rally in Monday's trade. The Sensex settled 383 points lower at 38,970, while the Nifty50 lost 119 points to end at 11,709.

4. Crude Oil: Brent crude futures were down 37 cents, or 0.5 percent, at $71.81 a barrel by 00:37, having risen 21 cents on Tuesday. US West Texas Intermediate (WTI) crude futures for July delivery were down 54 cents, or 0.9 percent, at $62.59.

5. Rupee & Dollar Index: The Indian rupee closed at 69.71, down 0.04 percent against the US dollar from its previous close. While, the dollar index, which measures the greenback against a basket of currencies, fell 0.05 percent to $98.01.

6. FIIs & DIIs: Foreign institutional investors (FIIs) bought shares worth Rs 1,185 crore on a net basis in the cash market, while domestic institutional investors (DIIs) sold shares worth Rs 1,090 crore.

7. RBI New Bad Loan Circular: The Reserve Bank of India (RBI) is set to roll out new norms for the resolution of bad loans and may notify the new circular replacing the earlier February 12 circular as early as this week, three sources in the know told CNBC-TV18. The regulator is expected to retain large portions of the February 12 circular, but do away with some contentious issues, including the one-day default rule that caused a huge outcry from government, borrowers and bankers alike, sources in the know told CNBC-TV18.

8. SEBI Proposal On Rights Issue: Securities and Exchange Board of India (Sebi) on Tuesday proposed reducing the overall time taken for a rights issue to around 31 days as well as make the application and allotment process more efficient. Besides, the regulator proposed to eliminate the requirement of giving newspaper advertisement and replacing it with intimation to the shareholders through the stock exchanges and e-mail.

9. Sale Of IL&FS Entities Underway: The resolution process for 10 profitable IL&FS group companies, having total debt of Rs 11,564 crore, is underway, the government informed the National Company Law Appellate Tribunal (NCLAT) on Tuesday. The board IL&FS, which has to repay over Rs 90,000 crore to lenders, has decided to adopt an "asset level resolution" with regard to various group companies and entities. (stock image)

10. SEBI Allows Mutual Fund Investment In Exchange Traded Commodity Derivatives: Mutual funds can now invest in exchange-traded commodity derivatives, except those on sensitive commodities, according to SEBI. To boost participation of mutual funds in the commodities market, the watchdog has allowed them to invest in Exchange Traded Commodity Derivatives (ETCDs) with certain restrictions.In a circular, the regulator said that no mutual fund schemes can invest in physical goods except in 'gold' through Gold Exchange Traded Funds (ETFs).