Dec 28 2017

Rupee offsets early losses on Dollar sales

Financial Market Overview

28th December, 2017

Noon Update:-                                                                                  



  • The Indian rupee was little changed against the dollar in thin afternoon trade, as banks’ greenback sales offset the losses triggered by the government’s decision to sell more debt than it had initially budgeted amid an estimated revenue shortfall.
  • The rupee was last seen at 64.09 to a dollar. The currency had opened flat, falling to 64.27 to a dollar, the lowest since Dec.18, before recouping the losses on dollar sales by a large India-based conglomerate in early trade. Other Asian currencies edged higher.
  • The federal government will borrow an additional 500 billion rupees in the current fiscal year that started on Apr. 1, the Reserve Bank of India said after market hours yesterday.

Indian Equities:-

  • Benchmark indices continued to consolidate in afternoon.
  • The 30-share BSE Sensex was up 68.96 points at 33,980.46 and the 50-share NSE Nifty rose 27.60 points to 10,518.35.
  • About 1,422 shares advanced against 1,094 declining shares on the BSE.

Global Markets:-

  • European markets are mixed today. The FTSE  is up 0.09% and France’s CAC 40 is trading higher by 0.08% while Germany’s DAX is down 0.02%.
  • Asian markets finished mixed as of the most recent closing prices. The Hang Seng gained 0.90% and the Shanghai Composite rose 0.63%. The Nikkei 225 lost 0.56%.
  • The dollar index, which measures the greenback against a basket of six major rivals, slipped 0.2% overnight tracking a decline in U.S. 10-year bond yields. The U.S. 10-year yield ended lower at 2.41% yesterday as investors reshuffled their portfolios ahead of the year-end. The index was last trading down 0.3%.
  • Japan’s industrial output rose more than expected in November and companies forecast a further increase in December as robust overseas demand continues to support factory activity and broader economic growth, trade ministry data showed on Thursday. The 0.6 percent increase in industrial output in November was more than the median market projection for a 0.5 percent rise and followed a 0.5 percent gain in October.
  • Japanese retail sales rose 2.2 percent in November from a year earlier, more than the median forecast for a 1.2 percent increase, government data showed on Thursday.