Sep 12 2018

Indian rupee opened at new low after crude oil jump

Financial Market Overview

12th September, 2018

Morning Coffee:-

MARKETS AT OPEN:-

Rupee:-

  • After a gap down opening the rupee slipped further to all-time low of 72.91 per dollar. It opened 11 paise lower at 72.7850 per dollar versus previous close 72.69. On Tuesday, after a positive start the rupee touched a new record low of 72.73 before it settle at 72.69 per dollar, down 24 paise from the Monday’s close of 72.45.
  • Brent crude climbed by the most in three weeks to near $80 a barrel.
  • We expect the pair to trade in the range between 72.60 to 73.10

Indian Equities:-

  • Equity benchmarks have begun the day on a flat note, with the Nifty trading below 11,300 in the opening tick. The Sensex is trading marginally higher. Banks are taking a hit this morning, with the Bank Nifty trading lower by one-third of a percent. Pharmaceuticals are also trading in the red. Meanwhile, after days of a fall in FMCG names, the Nifty FMCG index is up around one-third of a percent. Meanwhile, in the broader markets, Nifty Midcap is trading flat with a negative bias.
  • The Sensex is up 37.83 points or 0.10% at 37450.96, while the Nifty is down 0.70 points or 0.01% at 11286.80. The market breadth is narrow as 422 shares advanced, against a decline of 408 shares, while 46 shares are unchanged.

Global Markets:-

  • Asian markets are lower today as Chinese, Japanese and Hong Kong shares fall. The Shanghai Composite is off 0.21% while the Hang Seng is down 0.42%. The Nikkei 225 is off 0.41%. The Australian’s ASX200 is little down today by -6 points and -0.06% .
  • European markets finished mixed as of the most recent closing prices. The CAC 40 gained 0.27%, while the DAX led the FTSE 100 lower. They fell 0.13% and 0.08% respectively.
  • U.S. stocks rose on Tuesday as Apple Inc led a jump in technology shares and a gain of more than 2 percent in oil prices drove up energy shares.
  • The Dow Jones Industrial Average rose 113.99 points, or 0.44 percent, to 25,971.06, the S&P 500 gained 10.96 points, or 0.38 percent, to 2,888.09 and the Nasdaq Composite added 45.10 points, or 0.57 percent, to 7,969.26.
  • U.S. job openings surged to a record high in July and more Americans voluntarily quit their jobs, pointing to sustained labor market strength and confidence that could soon spur faster wage growth. The economic expansion is on a collision course with a lack of workers to man the shop floors, work the restaurants and stores at the shopping malls across America. Job openings, a measure of labor demand, increased by 117,000 to a seasonally adjusted 6.9 million in July. That was the highest level since the series started in December 2000. The jobs openings rate was 4.4 percent, unchanged from the previous month and an all-time high first touched in April.
  • The current level of job openings means there is a job for every one of the 6.2 million people who were unemployed in August. Hiring was little changed at 5.7 million in July, keeping the hiring rate at 3.8 percent for a second straight month.