Market LIVE: SGX Nifty signals muted opening for indices; SBI says India’s GDP may shrink by 16.5% in Apr-June
Share Market News Today | Sensex, Nifty, Share Prices LIVE: SGX Nifty was trading flat on Tuesday morning, hinting a weak start to domestic indices. Sensex and Nifty enter Tuesday’s trading session on the back of a strong trading session on Monday that saw the indices jump close to 0.50% each. Market analysts believe that eyes will be glued on how global stock markets perform and that will chart the trajectory taken by domestic indices as well. Stock markets in the United States ended in the green, except Dow Jones that was down in the red. Major European indices were also showing positive signs. However, trade was mixed on Tuesday morning among Asian peers. Shanghai Composite gained while Nikkei 225 and Topix traded with losses along with share markets in South Korea, Taiwan and Singapore.
India’s largest public sector lender in its economic research report, Ecowrap, said that it expects the Gross Domestic Product (GDP) to slip by 16.5% during the first quarter of this fiscal year. Earlier this year, SBI’s Ecowrap had projected a GDP contraction of 20%. The report adds that corporate Gross Value Added (GVA) de-growth is better than expected. However, the report does flag concerns about the coronavirus pandemic entering rural areas. The percentage of cases in rural districts to total new cases has risen to 54% in August.
State Bank of India’s research report Ecowrap expects the country’s GDP to contract by 16.5 per cent during the first quarter of the current fiscal. Earlier in May, Ecowrap had estimated Q1 FY21 GDP contraction at over 20 per cent and now pegs it at much lower contraction of 16.5 per cent for the quarter, “though with the relevant caveats in the current uncertain scenario”, the research report released on Monday stated.