By Aditya Raghunath
Investing.com -- As Q4 FY2021 earnings season kicks off in India, Nifty and the BSE Sensex are expected to open down today. Nifty Futures are trading down 1.89% as of this report and that is a very strong indicator of a red opening. Major reasons for the market opening down are:
- Rising number of COVID cases: The second wave of COVID cases has been very severe in India. Sunday saw a record number of over 1.7 lakh active cases in the country, up 11.6% from Saturday’s 1.52 lakh cases. There is talk about another round of lockdowns. A CII survey said that 75% of CEOs are afraid partial lockdowns will impact businesses.
- Weak global cues: Asia has opened lower with Nikkei 225 trading down 0.51%, Shanghai Composite down 0.72%, and the KOSPI 50 is trading flat. Global markets are waiting for a sign from the US, where S&P and Dow have closed at record highs, to see if the extremely high valuations are justified as earnings season kicks off this week.
Corporate India will start reporting its numbers this week. Tata Consultancy Services Ltd. (NS:TCS), Housing Development and Infrastructure Ltd (NS:HDIL), California Software Company Ltd (NS:CALI), Cupid Ltd (NS:CUCO) and Lloyds (LON:LLOY) Metals And Energy Ltd (BO:LYMT) are scheduled to announce their numbers today.