Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could rise 45 points at the opening bell.
The Narendra Modi government is actively working on yet another round of stimulus measures, which could be announced near Diwali, reports indicated. This time, measures could include an infrastructure push with focus on urban projects, sectoral intervention for sectors like hospitality and tourism, and extension of the production-linked incentive scheme to more sectors.
Overseas, Asian stocks after soaring global coronavirus cases and shrinking hopes for a U.S. stimulus deal took a toll on Wall Street. Profits at China's industrial firms jumped 10.1% year-on-year in September, according to the country's National Bureau of Statistics.
China will reportedly impose sanctions on US entities participating in US arms sales to Taiwan. Lockheed Martin, Boeing Defense and Raytheon will be sanctioned.
In US, stocks tumbled on Monday as soaring coronavirus cases and uncertainty about a fiscal relief bill in Washington dimmed the outlook for the U.S. economic recovery.
Optimism also dimmed over the White House and Republicans striking a stimulus deal with Democrats before the election. White House economic advisor Larry Kudlow reportedly said that talks had slowed down, but noted they are still ongoing.
Back home, domestic shares went on a southward spiral on Monday amid a broader selloff. Global cues were weak as fresh COVID concerns and fading hopes for more US fiscal stimulus before the presidential election weighed on the market sentiments. Governments across Europe have tightened restrictions to curb an accelerating second wave of COVID-19 infections. The barometer index, the S&P BSE Sensex slumped 540 points or 1.33% at 40,145.50. The Nifty 50 index fell 162.60 points or 1.36% at 11,767.75.
Foreign portfolio investors (FPIs) sold shares worth Rs 119.42 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 979.16 crore in the Indian equity market on 26 October, provisional data showed.