Financial Market Overview
27th November, 2018
MARKETS AT OPEN:-
- The Indian rupee opened slightly lower against the dollar, in-line with most Asian currencies, as U.S. President Donald Trump’s remarks on imposing fresh trade tariffs on China damped hopes of a respite from a trade war between the two nations.
- The rupee opened at 70.89 versus its previous close of 70.87, “Trump comments have weighed on the risk sentiments. Month-end demand from importers will also further push the rupee below the 71 levels. However, crude prices hovering near $60 per barrel has increased carry trades in the unit, limiting further losses.
- We expect USD/INR to trade in a range between 70.75 – 71.20 today.
- Benchmark indices are trading higher in the opening session.
- The Sensex is down by 7.68 points at 35,346 or -0.02 % while Nifty is down by -9.55 points at 10619 or -0.09 %.
- Asian markets are higher today as Japanese and Hong Kong shares show gains. The Nikkei 225 is up 0.14% while the Hang Seng is up 0.28%. The Shanghai Composite is up by 0.24% The Australian ASX 200 is up by 41 points or -0.76%.
- European markets finished broadly higher today with shares in Germany leading the region. The DAX is up 1.45% while London’s FTSE 100 is up 1.20% and France’s CAC 40 is up 0.97%.
- Wall Street bounced back on Monday as bargain hunters returned in force after last week’s sell-off and expectations of a flurry of holiday cyber-spending drove up shares of retailers.
- The Dow Jones Industrial Average rose 354.36 points, or 1.46 percent, to 24,640.31, the S&P 500 gained 40.91 points, or 1.55 percent, to 2,673.47 and the Nasdaq Composite added 142.87 points, or 2.06 percent, to 7,081.85.
- German public sector debt has fallen below 60 percent of gross domestic product already this year, Finance Minister Olaf Scholz said on Monday, bringing it below the European Union’s jointly agreed debt ceiling for the first time since 2002. All member states of the single currency bloc have committed themselves to limit public debt to a maximum of 60 percent. But Germany, the EU’s largest economy, has violated this rule since 2003 every year, as have many other member states.
- The dollar index rose for the second straight session yesterday, hitting an over one-week high, as renewed concerns over the trade war between the two major economies lifted safe-haven bets.
- Brent crude oil prices rose 2.9% in overnight trade, rebounding from more-than-13-month lows hit last week. It was last trading down 0.5% at $60.20 per barrel.
- Ten-year US yield was at 3.0572%.