Sensex, Nifty Seen Tad Lower At Open

(RTTNews) - Indian shares look set to open a tad lower on Monday, with expectations around upcoming Budget and the reshuffle of the S&P BSE Sensex likely to bring in stock-specific action.

Current account deficit data, infrastructure output figures, foreign investor activity, oil price movements, the progress of the monsoon and scheduled monthly derivatives expiry may influence trading as the week progresses.

Fertilizer stocks could be in focus today after the GST council referred a recommendation on exempting the fertilizer sector from the current 5 percent GST to the Group of Ministers on rate rationalization.

Meanwhile, Quant Mutual Fund has issued a clarification to its investors regarding the report of SEBI probe for front-running, saying it is "fully committed to cooperate with the regulator".

Asian markets were broadly lower this morning, though Japan's Nikkei average edged up slightly after the country's top currency official, Masato Kanda, told reporters that officials are ready to intervene to support the yen 24-hours a day, if needed.

Treasury yields held steady, and the dollar pushed higher, keeping gold prices under pressure. Oil extended Friday's decline toward $80 a barrel amid pressure from the stronger greenback.

U.S. stocks ended narrowly mixed on Friday as semiconductor shares slumped for a second day running and Treasury yields rose on data showing U.S. business activity crept up to a 26-month high in June.

Existing home sales fell for a third straight month in May and the leading indicators for the U.S. economy declined for the third month in a row, separate reports revealed.

The Dow finished marginally higher while the tech-heavy Nasdaq Composite and the S&P 500 both eased by 0.2 percent amid a large options expiry.

European stocks closed lower on Friday as a survey showed Eurozone business recovery slowed sharply in June due to uncertainty over France's snap election outcome.

The pan European STOXX 600 dropped 0.7 percent. The German DAX dipped half a percent, France's CAC 40 shed 0.6 percent and the U.K.'s FTSE 100 slid 0.4 percent.