Financial Market Overview
24th December, 2018
MARKETS AT OPEN:-
- The Indian rupee opened marginally lower at 70.18 per dollar on Monday against Friday’s close 70.15.
- Foreign investors were net buyers of $103.61 million of Indian government and corporate bonds on Dec. 21, according to NewsRise calculations based on data from Clearing Corp of India Ltd. and National Securities Depository Ltd.
- Overseas investors have sold net $6.35 billion worth of Indian debt this calendar year against a net purchase of $26.26 billion of Indian government and corporate debt in 2017.
- We expect USD/INR to trade in a range between 69.90 – 70.35 today.
- It’s a positive start to the market on Monday morning, with the Nifty trading one-fifth of a percent higher.
- The Sensex is up 89.93 points or 0.25% at 35832.00, while the Nifty is higher by 21.80 points or 0.20% at 10775.80. The market breath was narrow as 278 shares advanced, against a decline of 164 shares, while 45 shares were unchanged.
- Metals and automobiles are the ones to be in the red, while consumption, pharma and PSU banks were gainers. In the broader market, the Nifty Midcap was up quarter of a percent.
- Shares in Hong Kong are lower today as the Hang Seng falls 0.70%. The stock markets in Tokyo and Shanghai are trading up at 0.17%. ASX 200 is up by 46 points or 0.48%.
- European markets finished higher on Friday with shares in Germany leading the region. The DAX is up 0.21% while London’s FTSE 100 is up 0.14% and France’s CAC 40 is up 0.04%.
- Wall Street stocks fell sharply in volatile trading on Friday, with the Nasdaq confirming it is in a bear market, as concerns of slowing economic growth led investors to flee stocks in high-valuation sectors such as technology and communication services.
- The Dow Jones Industrial Average fell 416.09 points, or 1.82 percent, to 22,443.51, the S&P 500 lost 50.8 points, or 2.06 percent, to 2,416.62 and the Nasdaq Composite dropped 195.41 points, or 2.99 percent, to 6,333.00.
- Fed Chairman Jerome Powell may have missed his chance for an “I feel your pain” moment with markets on Wednesday, so his colleague John Williams tried today. Sort of. The ripple of good cheer that the New York Fed chief’s comments produced in stocks, which spilled over into forex was fleeting, suggesting markets may want some more reassurance. In his interview with CNBC, Williams stressed flexibility. In particular, he focused on the Fed’s decision to substitute the word “judges” for “expects” in the policy statement.
- Europe’s economy and the euro, the growing weight of U.S. uncertainties could weigh on the dollar enough to produce EUR/USD gains in 2019. The market is sending a clear signal to Powell and the Fed that rates should not be lifted as much as the Fed indicates. NY Fed chief Williams attempted to acknowledge some of that anxiety today .
- Shanghai metals prices generally eased on Monday amid ongoing concerns over global economic growth, although aluminium was steady following a proposal to further reduce China’s production capacityChina will ratchet up support for the economy in 2019 by cutting taxes and keeping liquidity ample, the official Xinhua news agency said following an annual meeting of top leaders amid a trade dispute with the United States.