Dismal opening likely on weak global cues

SGX Nifty:

Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could slide 145 points at the opening bell.

Global markets:

Overseas, Asian stocks are trading lower on Thursday after the U.S. Federal Reserve raised interest rates and signaled further hikes ahead. Australia`s market is closed for a holiday.

Japan`s central bank is expected to hold interest rates at ultra-low levels and maintain its yield curve control policy as its meeting concludes Thursday.

Wall Street`s main indexes dropped on Wednesday, as investors digested another supersized Federal Reserve hike and its commitment to keep up increases into 2023 to fight inflation.

The Federal Reserve raised benchmark interest rates by another three-quarters of a percentage point and indicated it will keep hiking well above the current level. That takes the bank`s benchmark overnight rate target range to 3-3.25%.

Federal Reserve Chair Jerome Powell vowed on Wednesday that he and his fellow policymakers would "keep at" their battle to beat down inflation.

Domestic markets:

Back home, domestic equity barometers ended a volatile session with modest losses on Wednesday, snapping a two-day rising streak. The barometer index, the S&P BSE Sensex, declined 262.96 points or 0.44% to 59,456.78. The Nifty 50 index declined 97.90 points or 0.55% to 17,718.35.

Foreign portfolio investors (FPIs) sold shares worth Rs 461.04 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 538.53 crore in the Indian equity market on 21 September, provisional data showed.

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