6 Things to Know Before Market Opens on November 05, 2024

The Indian stock market is expected to be impacted on November 05, 2024, due to cautious sentiment in global markets ahead of the U.S. Presidential Election in 2024 and an upcoming U.S. Federal Reserve policy meeting this week.

Previous Trading Session 

On November 04, 2024, the Indian markets dropped significantly, with both the Sensex and  Nifty 50 declining over 1% due to widespread selling. The Sensex fell by 941.88 points (1.18%) to finish at 78,782.24, and the Nifty 50 dropped by 309.00 points (1.27%) to end at 23,995.35.

FII and DIIs 

On November 04, 2024, foreign institutional investors (FIIs) sold Indian shares worth ₹4,329.79 crore, while domestic institutional investors (DIIs) bought shares totalling ₹2,936.08 crore.

Put Call Ratio (PCR)

Nifty’s PCR has shifted to 0.62 in the previous session. A PCR ratio below 0.7 or heading toward 0.5 denotes a bearish trend, whereas a ratio above 0.7 or approaching 1 typically suggests a positive sentiment.

The increasing PCR, which is higher than 0.7 or surpasses 1, means traders are selling more Put options than Call options, which generally indicates the firming up of a bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, then it indicates selling Call Options is higher than selling Put options, reflecting a bearish mood in the market.

Oil Prices

Crude oil prices stabilised after a nearly 3% surge on Monday, driven by OPEC’s decision to postpone production increases and rising tensions in the Middle East.

Brent crude rose by 2.71% to $75.08 per barrel, while U.S. West Texas Intermediate (WTI) futures dipped slightly by 0.10% to $71.40 per barrel.

Asian Markets

Asian markets showed mixed results on Tuesday, following Wall Street’s decline as investors focused on the upcoming U.S. presidential election and potential interest rate cuts from the Federal Reserve this week. 

Japan’s Nikkei 225 rose by 0.68%, and the Topix gained 0.33%. South Korea’s Kospi fell 0.67%, while the Kosdaq inched up by 0.25%. Hong Kong’s Hang Seng index futures pointed to a slightly positive opening.

US Markets

The U.S. stock market closed lower on Monday as investors braced for the upcoming presidential election and Federal Reserve policy update this week.

The Dow Jones dropped by 257.59 points (0.61%) to finish at 41,794.60, while the S&P 500 declined 16.11 points (0.28%) to 5,712.69. The Nasdaq Composite also fell, down 59.93 points (0.33%) to end at 18,179.98.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.