Jun 29 2018

Rupee higher tracking recovery in Asian equities

Financial Market Overview

29th June, 2018

Morning Coffee:-                                                                                  



  • Rupee opens higher helped by rebound in regional equities after recent rout. Pair USDINR now at 68.62 against 68.79 previous close.
  • We expect the pair to tip in range between 68.50-68.80 today.

Indian Equities:-

  • Benchmark indices started off the July series on a positive note despite mixed Asian cues, after rattled in previous two consecutive sessions.
  • The 30-share BSE Sensex rose 115.70 points to 35,153.34 and the 50-share NSE Nifty gained 38.60 points at 10,627.70.

Global Markets:-

  • Asian equities are higher today. The Hong Kong’s Hang Seng gains 1.16%, the Shanghai Composite is up 1.07% while the Australian’s ASX200 is trading higher by 0.06%.
  • European markets finished broadly lower on Thursday with shares in Germany leading the region. The DAX is down 1.39% while France’s CAC 40 is off 0.97% and London’s FTSE 100 is lower by 0.08%.
  • US. stocks rose on Thursday as growth sectors such as technology rebounded from the previous session’s declines and financial shares snapped their 13-day losing streak. The Dow Jones Industrial Average  rose 89.19 points, or 0.37 percent, to 24,206.78, the S&P 500 gained 15.7 points, or 0.58 percent, to 2,715.33 and the Nasdaq Composite added 57.40 points, or 0.77 percent, to 7,502.48.
  • The yuan continued its descent against the dollar today, poised for a seventh day of decline. In this period, the currency has declined 2.5% amid worries over the impact of U.S. projectionist agenda on the Chinese economy. The Chinese central bank on Thursday sought to allay those fears, saying that the country’s economy has the ability to cope with external shocks and economic fundamentals remained robust. The People’s Bank of China said it will maintain its monetary policy neutral and will keep liquidity reasonably ample.
  • Oil prices rose for the third day on Thursday. The U.S. benchmark oil is hovering near its highest level in three-and-a half years and Brent crude is just $2.50 dollar away from the psychological $80 mark.
  • The U.S. economy slowed more than previously estimated in the first quarter amid the weakest consumer spending in nearly five years. Gross domestic product increased at a 2.0 percent annual rate in the January-March period, the Commerce Department said on Thursday in its third estimate of first-quarter GDP, instead of the 2.2 percent pace it reported last month.