Financial Market Overview
6th February, 2019
MARKETS AT CLOSE:-
- The Indian rupee was steady against the dollar, as investors remained on the sidelines awaiting monetary policy decision at home tomorrow. Participants also awaited comments from Federal Reserve Chairman Jerome Powell tomorrow at a speech.
- The rupee ended at 71.55 to a dollar, against 71.56 at previous close. The currency opened at 71.55 and moved in a18-paisa band today. India’s Monetary Policy Committee is due to release its policy statement at 11:45 a.m. tomorrow. Two-thirds of 65 economists expect the MPC to hold the repo rate at 6.50% and most forecast that the rate-setting panel would shift its stance to neutral
- What a strong day of trade! Equities closed the session with strong gains. The Nifty ended above 11,000-mark, while the Sensex was just short of 37,000.
- At the close of market hours, the Sensex was up 358.42 points or 0.98% at 36975.23, and the Nifty up 128.10 points or 1.17% at 11062.50. The market breadth was negative as 1023 shares advanced, against a decline of 1517 shares, while 148 shares were unchanged
- European markets are lower today with shares in Germany off the most. The DAX is down 0.51% while France’s CAC 40 is off 0.29% and London’s FTSE 100 is lower by 0.10%.
- U.S. stocks rose on Tuesday as largely upbeat corporate results fueled investor optimism ahead of the highly awaited State of the Union address by President Donald Trump. The Dow Jones Industrial Average rose 172.15 points, or 0.68 percent, to 25,411.52, the S&P 500 gained 12.83 points, or 0.47 percent, to 2,737.7 and the Nasdaq Composite added 54.55 points, or 0.74 percent, to 7,402.08
- A sharp drop in demand for U.S. auto and credit card loans could point to a troubling answer to a question vexing economists in recent weeks: Are consumers poised to pull back despite surging job growth. A partial shutdown of America’s federal government in December and January interrupted the flow of official data on U.S. retail spending data that economists and policymakers use to gauge the gusto of U.S. consumers.
- U.S. retail sales are expected to rise between 3.8 percent and 4.4 percent to more than $3.8 trillion in 2019, citing high consumer confidence, low unemployment and rising wages. Preliminary estimates show retail sales grew 4.6 percent in 2018 to $3.68 trillion, exceeding the retail industry group’s forecast for growth of at least 4.5 percent.
- U.S. services sector activity slowed to a six-month low in January as businesses worried about the impact of a partial shutdown of the federal government on the economy. The ISM said its non-manufacturing activity index dropped 1.3 points to a reading of 56.7 last month. That was the lowest reading since July and marked two straight monthly declines. A reading above 50 indicates expansion in the sector, which accounts for more than two-thirds of U.S. economic activity.
- Oil is trading lower early in European trade, a move that actually started prior to the release of inventory figures on Tuesday that showed a larger than expected rise.