SGX Nifty indicates positive opening after black Monday
Monday saw bears putting pressure on the markets with concerns over a new variation of the COVID-19 virus and dominating the market moods. The new stricter lockdowns in the UK led to travelling curbs in Europe; hence, leading to a sharp sell-off in travel-related stocks in Europe.
Overall, the European equities witnessed a sea of red on Monday with German DAX falling the most amongst all the European indices.
The US markets staged a recovery on Monday after falling sharply in the early hours of the day. Financials outperformed on Monday in the US markets even as the market sentiments were aided by the positive development of the most-anticipated stimulus of more than USD 900 billion. It is expected that this direct transfer of money to the US citizens will happen as early as the next week. This stimulus announcement has helped Dow Jones Industrial Average (DJIA) to stage a recovery on Monday.
The Asian markets are expected to remain under pressure on Tuesday even as the stimulus announcement is expected to provide some support in the short-term.
SGX Nifty is indicating a positive start for the markets today with the index trading up by nearly half a per cent.
Monday saw high beta financial names drag the markets lower. The high beta financials will be under the radar of traders even on Tuesday.