SGX Nifty was up in the green but A long bear candle was formed, after the formation of small negative candles in the last four sessions, which indicate that the downside momentum has started to gather strength. This could mean chances of more weakness for the Nifty in the coming sessions. The next crucial support is placed at 14300 -270 level.(we mentioned it already)
Yesterday’s nosedive by Sensex erased 1,145 points with the benchmark index closing at 49,744 while the 50-stock Nifty tanked 306 points and gave up 14,700 mark. Rising bond yields, worries across the globe, and the resurgence of coronavirus cases domestically are believed to be troubling the stock markets.
Factors driving markets
- US bond yields rise: Benchmark US Treasury yields hit a near one-year peak but the dollar eased against rivals.
Covid cases: In some pockets of India, covid cases have started spiking, spooking investors who believed the crisis was all but over. If this leads to more lockdowns, there could be more negatives for the market.
Stimulus coming: President Joe Biden's push for a $1.9 trillion Covid-19 relief bill took a step forward on Friday as a US House of Representatives committee unveiled the legislation Democrats hope to pass by late next week.