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Dec 15 2017

Rupee edges higher as Modi’s BJP seen winnig Gujrat polls

Financial Market Overview

15th December, 2017

Morning Coffee:-                                                                                  

MARKETS AT OPEN:-

Rupee:-

  • Indian rupee edge higher against the dollar, after exit polls showed Prime Minister Narendra Modi’s Bharatiya Janata Party winning Gujarat and Himachal Pradesh state elections, boosting investor sentiment. Pair USDINR now at 64.15 agaisnt 64.34 prevoius close.
  • Three different television exit polls at the close of the final round of voting yesterday showed the BJP winning more than 100 seats in the 182-member state house in the western state of Gujarat, reducing concerns that Modi-led Bharatiya Janata Party’s support base was thinning after last year’s demonetisation shock and implementation of goods and services tax. The main opposition party, Congress, is forecast to win 70-74 seats. BJP will need 92 seats to win in the 182-member state house.
  • Pair to tip in range between 64.10-64.30 today.

Indian Equities:-

  • Equity benchmarks opened sharply higher on last day of the week Friday.
  • The 30-sahre BSE Sensex was up 286.89 points at 33,533.59 and the 50-share NSE Nifty gained 91.40 points at 10,343.50. About 981 shares advanced against 185 declining shares on the BSE.
  • Adani Ports, Vedanta, Tata Steel and Bajaj Auto were early gainers while Kotak Mahindra Bank and Infosys were flat.

Global Markets:-

  • Asian markets are lower today . The Hang Seng is down 1.19% . The Shanghai Composite fell by 0.85% and ASX200 is trading lower  0.18%.
  • Major U.S. stock indexes fell on Thursday, with the S&P 500 down the most in a month, as investor worries over potential roadblocks to the Republicans’ tax overhaul more than offset optimism over strong retail sales data. The Dow Jones Industrial Average fell 76.77 points, or 0.31 percent, to close at 24,508.66, the S&P 500 lost 10.84 points, or 0.41 percent, to 2,652.01 and the Nasdaq Composite  dropped 19.27 points, or 0.28 percent, to 6,856.53.
  • European markets finished lower yesterday with shares in France leading the region. The CAC 40 is down 0.78% while London’s FTSE 100 is off 0.65% and Germany’s DAX is lower by 0.44%.
  • The dollar index, which measures the greenback against a basket of six major rivals, pared gains amid reports that two lawmakers seek changes to the proposed legislation to overhaul the U.S. tax code to lend their support. The index settled 0.06% higher after rising as much as 0.35% in an overnight trade. Gains in the dollar were supported by upbeat U.S. retail sales and lower weekly unemployment report. A fall in the euro further supported the greenback, after the European Central Bank raised growth and inflation forecasts for the euro area, but stuck with its pledge to provide stimulus for as long as needed.
  • The Commerce Department said on Thursday that retail sales rose 0.8% last month. that was above economists’ forecast of a 0.3%. The upbeat retail sales data suggested that consumer spending would continue to be robust, lifting expectation for a solid fourth quarter of US economic growth.