The Sensex and Nifty are likely to open on a flat note in trades on Tuesday tracking subdued trading of Nifty futures on the Singapore Stock Exchange.
Asian shares wobbled on Tuesday as crude oil prices slid on rekindled oversupply fears and after downbeat manufacturing data raised concerns about global momentum.
Most of the Asian share markets were trading on a subdued note. Hong Kong’s Hang Seng was up 0.11 per cent, Japan’s Nikkei slipped 0.01 per cent and South Korea’s KOSPI declined 0.33 per cent. On the other hand, China’s Shanghai Composite advanced 1.8 per cent.
Overnight, strong gains in Facebook and Alphabet helped Wall Street cut losses and stage a late-day rally, with major indexes closing near the unchanged mark.
Stocks had been lower earlier in the day as weak Chinese economic data added to concerns about a global slowdown and oil prices resumed their slide. The manufacturing sector in the world’s second-largest economy contracted in January at the fastest pace since 2012.
The Dow Jones industrial average was down 17.12 points, or 0.1 per cent, to 16,449.18, the S&P 500 had lost 0.86 points, or 0.04 per cent, to 1,939.38 and the Nasdaq Composite had added 6.41 points, or 0.14 per cent, to 4,620.37.
Back home, investors would eagerly watch out for the Reserve Bank of India’s first monetary policy review of 2016 which is due later in the day.
The Reserve Bank of India (RBI) is expected to leave its key interest rate steady at 6.75 per cent and only make one cut this year as rising inflation ties its hands, according to a Reuters poll.
Meanwhile, foreign institutional investors bought shares worth Rs 253.88 crore while domestic institutional investors sold shares worth Rs 535.7 crore on Monday.