Domestic stock indices are set to open flat on Wednesday amid mixed global cues. Asian stocks were mostly down in the early trade ahead of the US Fed's FOMC policy outcome, even as US stocks settled higher overnight. Back home, two new IPO- DOMS Industries and India Shelter Finance, will open for bidding today. Here's what you should know before the Opening Bell: Nifty outlook Jatin Gedia of Sharekhan said Nifty formed a negative divergence on the hourly chart and that the index is likely to consolidate over the next few trading sessions. “On the downside crucial support is placed at 20,850-20,800 while resistance is placed at 20,973-21,000. Overall, the trend is positive, and the current dip should be used as a buying opportunity," he said. Nifty Bank outlook Kunal Shah of LKP Securities said that Nifty Bank encountered resistance at higher levels, facing selling pressure and struggling to breach the 47,500 mark. The lower-end support for the index is positioned at 46800, and a decisive break below this level could trigger additional downside movement toward the 46400 levels. "With the weekly expiry approaching, heightened volatility is anticipated. Traders are advised to exercise caution and implement strict stop-loss measures on both sides of the market," he said. GIFT Nifty signals a flat start Nifty futures on the NSE International Exchange traded 1 point, or 0.01 per cent, lower at 21,070.50, hinting at a flattish start for the domestic market on Wednesday. Asian stocks fall in early trade Asian markets dropped early on Wednesday ahead of the US Federal Reserve's latest interest rate decision, guidance and economic projections later in the day. The MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.12 per cent. Japan's Nikkei rose 0.43 per cent; Australia's ASX 200 gained 0.48 per cent; New Zealand's DJ dropped 0.44 per cent; China's Shanghai tumbled 0.53 per cent; Hong Kong's Hang Seng shed 0.64 per cent; South Korea's Kospi fell 0.34 per cent. Oil prices flat, near 6-month low Oil prices consolidated losses on Wednesday in Asian trade, after falling by more than 3 per cent to six-month lows in the previous session on oversupply and demand concerns. Brent crude futures for February inched down 1 cent to $73.23 a barrel by 0207 GMT. US West Texas Intermediate crude futures for January dropped 2 cents to $68.59 a barrel. Dollar weakens ahead of US Fed outcome The dollar remained on the back foot versus major rivals on Wednesday, as traders braced for the conclusion of a Federal Reserve policy meeting and clues on when the US central bank will begin cutting interest rates. The dollar index was steady at 103.82. The US currency edged lower to 145.385 yen in early Asian trading. It was also down slightly against the euro at $1.0798. Wall Street stocks settle higher US stocks advanced and the dollar dipped after a report showed sticky US inflation meandering lower as the Federal Reserve convened to assess policy and investors awaited a sign on when to expect interest rate cuts. Wall Street's three major indexes notched their highest closing prices of 2023. The Dow Jones Industrial Average rose 173.01 points, or 0.48 per cent, to 36,577.94, the S&P 500 gained 21.26 points, or 0.46 per cent, to 4,643.7 and the Nasdaq Composite added 100.91 points, or 0.7 per cent, to 14,533.40. DOMS Industries IPO to open today The initial public offering (IPO) by DOMS Industries will open for bidding on Wednesday. The stationery and art products company will be offering its shares in the range of Rs 750-790, with a lot size of 18 equity shares. The three-day bidding for the issue will close on Friday, December 15. DOMS Industries is looking to raise a total of Rs 1,200 crore. India Shelter Finance Corporation IPO to open today The Rs 1,200 crore-initial public offering (IPO) of India Shelter Finance Corporation (Indian Shelter) will open for bidding on Wednesday, December 13. The housing finance player will be selling its shares in the price band of Rs 469-493 apiece with a lot size of 30 equity shares. The three-day bidding for the offer shall conclude on Friday, December 15. Stocks in F&O ban Eight stocks have been put under the F&O segment ban by the National Stock Exchange (NSE) for Wednesday, December 13. The new addition namely- Zee Entertainment Enterprises- will join the existing retentions including Hindustan Copper, Balrampur Chini Mills, National Aluminium Company (Nalco), Indiabulls Housing Finance, India Cements, Steel Authority of India (SAIL) and Delta Corp. Companies where derivative contracts cross 95 per cent of the market-wide position limit are put under ban in the F&O segment. FPIs buy shares worth Rs 1,932 crore Provisional data available with NSE suggest that FPIs were net buyers of domestic stocks to the tune of 1,923.32 crore on Tuesday. On the other hand, domestic institutional investors (DIIs) turned net sellers of Indian equities to the tune of Rs 76.86 crore. Rupee end flat against dollar The rupee settled flat at 83.37 against the US dollar on Tuesday, as investors preferred to remain cautious ahead of the domestic inflation data release and US Fed meeting. Besides, selling pressure in the domestic equity markets dented market sentiments, forex traders said. Note: With inputs from PTI, Reuters and other agencies
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