Markets likely to open in the red tracking negative global cues

Indian stock markets are likely to open lower on Monday as global sell-off has intensified with the US intending to pursue its $200 billion worth of trade tariffs on China. The SGX Nifty is trading lower by 51 points below the 11,500 mark.   
  
The Asian stock markets were trading lower on Monday in cautious trading following the flat cues from Wall Street on Friday amid news that the US still plans to impose tariffs on an additional $200 billion worth of Chinese goods this week, despite the attempts to restart trade talks with Beijing. Hong Kong’s Hang Seng index has lost 1.70 per cent and China’s Shanghai Composite has declined by 0.88 per cent, while Japanese markets are closed for a holiday.  
  
Back home, Friday turned out to be a fabulous day of trading for the Indian equity markets as the Sensex ended above the psychological important 38,000 mark and the Nifty ended above the 11,500 mark. Markets started the session on an optimistic note as retail inflation cooled off to a 10-month low of 3.69 per cent in August, increasing the odds that the central bank will keep interest rates on hold in October. The broader indices outperformed the frontline indices with Nifty Mid-cap and Small-cap indices ending with gains of 1.80 per cent and 1.47 per cent. On the sectoral front, all indices ended in the green with Nifty Realty, Nifty Pharma and Nifty Metal ending as top gainer. 
  
The US equities pared early losses to end near the neutral mark. At the close of trading, the Dow Jones Industrial Average inched up 9 points to close at 26,155; the S&P 500 added 1 point to finish at 2,905, while the Nasdaq slipped 4 points to end at 8,010. During the mid-day, bouts of volatility were seen after a report indicated that the US President Donald Trump still wants to inflict tariffs on China in spite of recent suggestions that tensions between Washington and Beijing were easing. Meanwhile, traders also digested slew of US economic data, with the retail sales data coming in mixed and industrial production and consumer sentiment topping the forecasts.  
  
The European stock indices ended the last trading session of the week in the positive territory. The DAX of Germany rose 0.57 per cent; the CAC 40 of France added 0.46 per cent and UK’s FTSE 100 ended higher by 0.31 per cent.