Financial Market Overview
30th January, 2018
MARKETS AT Noon:-
- Indian rupee fell to a one-week low against the dollar in afternoon session, as higher U.S. treasury yields underpinned demand for the greenback, even as traders await cues from President Donald Trump’s speech later today and the Fed policy meet outcome tomorrow.
- The rupee was last seen at 63.74 to a dollar, its lowest since Jan. 23, and against 63.57 at close yesterday. The rupee opened lower at 63.69, and had briefly pared some losses on greenback sales by several private banks along with one U.K- and a U.S-based bank. Most Asian currencies also traded lower against the greenback.
- Benchmark indices are not showing any sign of recovery in afternoon as the Sensex fell 226.44 points to 36,056.81 and the Nifty declined 83.40 points to 11,047.
- Private banking & financials, technology stocks and Reliance Industries drove the market lower. Oil marketing companies and PSU banks gained strength. The market breadth remained weak as about three shares declined for every share rising on the BSE.
- European markets are lower today with shares in Germany off the most. The DAX is down 0.60% while France’s CAC 40 is off 0.39% and London’s FTSE 100 is lower by 0.35%.
- Asian markets finished broadly lower today with shares in Japan leading the region. The Nikkei 225 is down 1.43% while Hong Kong’s Hang Seng is off 1.14% and China’s Shanghai Composite is lower by 0.99%.
- The dollar index, which measures the greenback against a basket of six major rivals, extended its overnight rise of 0.3%, and was last trading up 0.24%, tracking higher U.S. Treasury yields.
- Market participants were awaiting Trump’s State of the Union speech, due later on Tuesday, for anything further he might have to say about the dollar. The president was also expected to outline his much-anticipated infrastructure plan in the speech.
- Traders are also waiting for the outcome of the Fed’s policy meeting tomorrow. Most market participants expect status quo at the review.