Financial Market Overview
30th October, 2017
MARKETS AT OPEN:-
- Indian rupee opened higher against the dollar, tracking Asian peers, with the greenback trading lower in early trade from last week’s sharp gains post an upbeat third-quarter U.S. GDP data. Investors will stay cautious ahead of the Federal Reserve’s two-day policy meeting that starts tomorrow and imminent selection of the head at the U.S. central bank. Pair USDINR now at 64.8950 against 65.05 previous close.
- Pair to tip in range between today 64.75-65.05.
- Equity benchmarks started off the week at record high, with the Nifty crossing earlier intraday record high. Investors continued to focus on earnings.
- The 30-share BSE Sensex was up 117.35 points at 33274.57 and the 50-share NSE Nifty rose 45.80 points to 10,368.80.
- Asian markets are mixed today Japanese and Chinese shares fall. The Nikkei 225 is off 0.08% while the Shanghai Composite is down 0.73%. The Hang Seng rose 0.10% and Australian ASX200 is trading higher by 0.27%.
- S. stocks were higher at the close on Friday, as gains in the Technology, Consumer Services and Utilities sectors led shares higher. At the close in NYSE, the Dow Jones Industrial Average added 0.14%, while the S&P 500 index climbed 0.81%, and the NASDAQ Composite index added 2.20%.
- European markets finished higher on Friday with shares in France leading the region. The CAC 40 is up 0.71% while Germany’s DAX is up 0.64% and London’s FTSE 100 is up 0.25%.
- Crude oil prices have been inching upwards, with the benchmark Brent crude oil contract crossing $60 per barrel market for the first time since July 2015, amid hopes of more production cuts.
- The Organization of the Petroleum Exporting Countries (OPEC) along with Russia and nine other oil producers have agreed to hold back about 1.8 million barrels per day and the pact ends in March, but Saudi Arabia and Russia, who are leading the effort, want to extend these supply cuts.
- The dollar index, which measures the greenback against a basket of six major rivals, rose 0.3% on Oct. 27, closing at an over-three-month high of 94.92, after data showed U.S. economy expanded at an annual pace of 3% during July-September for a second straight quarter despite two hurricanes. Meanwhile, reports suggest U.S. President Donald Trump is leaning towards nominating Fed Gov. Jerome Powell as the next Fed chief. Trump is expected to announce the Fed chief candidate later this week.
- The euro fell 0.4% against the dollar on Oct. 27, and was last trading flat amid political tensions in Catalonia. In latest developments, the Spanish government dismissed the Catalonian regional government last week, dissolved the parliament and called for snap elections following Catalonia’s declaration of independence from Spain. The euro was already under considerable pressure after the European Central Bank decided to prolong its bond purchases and signalled its willingness to stick with a loose policy stance.