Financial Market Overview
10th January, 2019
- The Indian rupee was trading lower against the dollar in afternoon trade, as importers stepped up greenback purchases following uptrend in crude oil prices. However, broad weakness in the greenback, following the Federal Reserve’s latest meeting minutes, limited further losses in the local unit.
- The rupee changed hands at 70.53 to a dollar, against 70.46 at yesterday’s close. It opened flat and has so-far fallen to the day’s low of 70.60.
- Indian shares snapped a four-session rally on Thursday, as an overnight jump in oil prices hit trading sentiment.
- The benchmark BSE Sensex is down 0.24% at 36,124.71, and the broader NSE Nifty is down 0.31% at 10,821.90.
- Asian markets finished mixed as of the most recent closing prices. The Hang Seng gained 0.09%, while the Nikkei 225 led the Shanghai Composite lower. They fell 1.29% and 0.36% respectively.
- European markets are lower today. The CAC 40 is down 0.63% while Germany’s DAX is down 0.51% and London’s FTSE 100 is down 0.32%.
- Meanwhile, the benchmark Brent crude jumped 4.6% in overnight trade to clinch its eighth straight daily advance amid a rebound in global risk appetite. It was last down 1.16% at $60.73 per barrel.
- The dollar index was trading little changed at 95.18 after having declined overnight by 0.7%, after minutes of the December Fed meeting revealed willingness among policymakers to be more patient on additional interest rate increases. The index was also weighed down as a partial U.S. shutdown continued as Democratic congressional leaders did not budge on President Trump’s demand for funds for building a border wall with Mexico.
- Investors now await U.S. consumer inflation data due tomorrow, while focus also remains on the British parliament vote on Prime Minister Theresa May’s Brexit agreement due on Jan. 15.