Oct 27 2017

Rupee lower as Dollar rallies post ECB decision

Financial Market Overview

27th October, 2017

Morning Coffee:-                                                                                  

MARKETS AT OPEN:-

Rupee:-

  • Rupee lower as dollar rallies against most currencies after ECB. Pair now at 65.02 against 64.82 previous close.
  • Pair to tip in range between today 64.90-65.20.

Indian Equities:-

  • The market started off last day of the week on a positive note as equity benchmarks hit fresh record highs but Nifty Bank fell over half a percent due to weak earnings from Yes Bank.
  • The 30-share BSE Sensex was up 83.71 points at 33,230.84 and the 50-share NSE Nifty rose 15.10 points or to 10,358.90.

Global Markets:-

  • Asian shares gained on Friday. Australia’s S&P/ASX200  fell about 0.39 percent after the news of Joyce’s disqualification. Japan’s Nikkei gained 1.05 percent while MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.3 percent, with Hong Kong shares  leading gains by 0.83% and Shanghai composite is up 0.28%.
  • S. stocks were mixed at the close on Thursday, as gains in the Basic Materials, Consumer Goods and Telecoms sectors led shares higher while losses in the Healthcare, Consumer Services and Utilities sectors led shares lower. At the close in NYSE, the Dow Jones Industrial Average added 0.31%, while the S&P 500 index gained 0.13%, and the NASDAQ Composite index fell 0.11%.
  • European markets finished broadly higher on Thursday with shares in France leading the region. The CAC 40 is up 1.50% while Germany’s DAX is up 1.39% and London’s FTSE 100 is up 0.53%.
  • Euro down to three-month lows after ECB extends QE program by nine months to Sep. 2018 while reducing its bond purchase to 30 billion euros a month. Draghi says ample degree of monetary stimulus remains necessary and leaves door open to bond purchases after Sep. 2018. Dollar index up 0.2%, at three-month highs; extends 1% rally overnight, best performance this year. Dollar also buoyed by US House of Representatives approval of 2018 budget resolution, seen as making it easier to pass tax reforms. Sensex climbs 0.2%, tracking advance in most Asian markets.