Oct 11 2017

Rupee opened higher as fears over U.S tax reform hits Dollar

Financial Market Overview

11th October, 2017

Morning Coffee:-                                                                                  

MARKETS AT OPEN:-

Rupee:-

  • Indian rupee opens higher at 65.22 against the dollar, tracking overnight weakness in the greenback after U.S. President Donald Trump’s tax reforms hit a fresh roadblock, while the euro continued to strengthen; pair now at 65.23 against 65.28 previous close.
  • Pair to tip in range between today 65.10-630.

Indian Equities:-

  • Equity benchmarks extended yesterday’s gains in opening trade, with the Nifty reclaiming 10,050 level ahead of earnings season that will be kicked off by TCS on Thursday.
  • The 30-share BSE Sensex was up 96.14 points at 32,020.55 and the 50-share NSE Nifty gained 28.60 points at 10,045.55.

Global Markets:-

  • Asian markets are higher today as Japanese and Hong Kong shares show gains. The Nikkei 225 is up 0.22% while the Hang Seng is up 0.01%. The Shanghai Composite is trading up 0.22% and ASX200 is higher by 0.51%.
  • S. stocks were higher at the close on Tuesday, as gains in the Utilities, Consumer Goods and Financials sectors led shares higher. At the close in NYSE, the Dow Jones Industrial Average rose 0.31% to hit a new all time high, while the S&P 500 index gained 0.23%, and the NASDAQ Composite index gained 0.11%.
  • European markets finished mixed as of the most recent closing prices on Tuesday. The FTSE 100 gained 0.40%, while the DAX led the CAC 40 lower. They fell 0.21% and 0.04% respectively.
  • Yesterday witnessed an escalation in Trump’s Twitter dispute with Tennessee lawmaker Senator Bob Corker, who is Chairman of the Senate Foreign Relations Committee and has expressed opposition to any tax changes, which could further widen the federal deficit. Traders now await the Federal Reserve’s September meeting minutes, due later today, and comments from central bank officials.
  • The euro gained 0.57% against the dollar yesterday, extending Oct. 9 gains, after fresh data showed German trade activity rose in August with seasonally adjusted exports climbing 3.1%, marking the strongest month in a year.
  • The euro was already higher following European Central Bank Executive Board member Sabine Lautenschlaeger’s comments calling for a roll back asset purchases in 2018. The upcoming ECB policy on Oct. 26 could reveal whether there will be a continuation in bond purchases next year.