Financial Market Overview
11th February, 2019
MARKETS AT CLOSE:-
- The Indian rupee rose for a third session against the dollar, aided by hopes of inflows into local bonds after the nation’s rate-setting panel unexpectedly cut key interest rate last week.
- The rupee ended at 71.1650 to the dollar, versus its previous close of 71.30. The unit opened at 71.23 and traded in a 71.10-71.29 range today. Most Asian currencies ended lower against the dollar as traders remained focused on U.S.-China trade talks.A fresh round of trade talks begins in Beijing today, after the recent negotiations concluded in Washington last week without a deal, while a top U.S. negotiator declared that more work needs to be done.
- The dollar index edged 0.1% higher on safe haven appeal, adding to last week’s 1.1% rally which came amid U.S. and China trade uncertainty. The Chinese yuan was down 0.7% today.
- Indian shares fell on Monday, dragged by declines in energy stocks including index-heavyweight Reliance Industries Ltd as investors fretted over global uncertainties and lacklustre quarterly earnings. While a Sino-U.S. trade dispute continues to worry investors, a breakdown in talks on border security funding between Democratic and Republican lawmakers sparked fears of another government shutdown in the United States.
- The benchmark BSE index settled 0.41 percent lower at 36,395.03. The broader NSE index declined 0.50 percent to 10,888.8
- European markets are broadly higher today with shares in France leading the region. The CAC 40 is up 1.09% while Germany’s DAX is up 1.08% and London’s FTSE 100 is up 0.94%.
- The benchmark S&P 500 index and the Nasdaq edged upward to snap a two-day losing streak on Friday as positive corporate results offset lingering skepticism over the United States and China reaching a trade deal before the March 1 deadline. U.S. stocks dragged as trade concerns continued to weigh on investor sentiment. President Donald Trump said on Thursday he did not plan to meet Chinese President Xi Jinping before the deadline set for reaching an agreement.
- The Dow Jones Industrial Average fell 63.2 points, or 0.25 percent, to 25,106.33, the S&P 500 gained 1.83 points, or 0.07 percent, to 2,707.88 and the Nasdaq Composite added 9.85 points, or 0.14 percent, to 7,298.20. For the week, the Dow added 0.17 percent, the S&P 500 rose 0.05 percent, and the Nasdaq gained 0.47 percent.
- The British economy slowed by more than expected in the fourth quarter, with the annualized reading dropping to its weakest level in six years, amid uncertainty over the U.K.’s pending departure from the European Union. In a report, the Office for National Statistics (ONS) said gross domestic product expanded by a seasonally adjusted 0.2% in the October to December period. That was below forecasts of a 0.3% rise and compared to growth of 0.6% in the third quarter.
- The dollar rose on Monday as concerns grew that U.S.-China talks this week would not heal a rift over trade between the world’s largest economies. The greenback is being lifted by its safe-haven appeal as investors, worried about a sharp global economic slowdown, pile into the world’s most liquid currency.
- China’s retailer and catering enterprises earned over 1 trillion yuan ($148.3 billion) during the Lunar New Year holiday, defying an economic slump to rise 8.5 percent from last year.