Mar 14 2018

Rupee stays lower as LoU issuance ban hurts sentiment

Financial Market Overview

14th March, 2018

Noon Update:-                                                                                  

MARKETS AT Noon:-

Rupee:-

  • Indian rupee remained lower against the dollar in afternoon session, as domestic sentiment soured following the central bank’s decision to discontinue the practice of lenders issuing Letter of Undertakings and Letters of Comfort with immediate effect.
  • The rupee was last seen at 64.96 to a dollar against 64.89 at close in the previous session. The rupee has moved in a 64.86-65.05 to a dollar band so far today.
  • India’s wholesale price inflation rose 2.48% on year in February, the slowest pace of price gain since July, as food prices and fuel and power costs rose at a slower pace, government data showed today.

Indian Equities:-

  • Benchmark indices continued to reel under selling pressure, with the Sensex falling 136.95 points to 33,719.83. It was dragged by HDFC, Reliance Industries, ICICI Bank, ITC, Kotak Mahindra Bank and Infosys. However, Yes Bank and Tech Mahindra were biggest gainers among Nifty50 stocks, up 2 percent each.
  • The Nifty was down 49 points at 10,377.85.

Global Markets:-

  • European markets are higher today with shares in London leading the region. The FTSE 100 is up 0.20% while Germany’s DAX is up 0.13% and France’s CAC 40 is up 0.12%.
  • Asian markets finished lower today with shares in Japan leading the region. The Nikkei 225 is down 0.87% while China’s Shanghai Composite is off 0.57% and Hong Kong’s Hang Seng is lower by 0.53%.
  • The dollar index, which measures the greenback against a basket of six major rivals, fell 0.25% overnight, after February U.S. inflation data came in line with expectations and following Tillerson’s ouster. It was last trading steady. Trump replaced Tillerson with Central Intelligence Agency Director Mike Pompeo.