The key domestic benchmarks are tipped to open higher today tracking a
firm trend in fellow Asian stocks and a strong closing at Wall Street overnight
as a string of better than expected US corporate earnings infused optimism over
the health of the world’s biggest economy. China’s Shanghai Composite and Hang
Seng rose ahead of the US Federal Reserve’s policy announcement in which the
central bank is expected to end its monthly bond buying program. Japan’s Nikkei
225 surged as Japanese industrial output rose 2.7 per cent in September 2014
from the year ago month, signaling a recovery in the world’s third biggest
economy. Back home, optimism over the country’s economic outlook may continue to
boost sentiment. However, some volatility may be seen in the Sensex as traders
roll over the positions ahead of the F&O October contract expiry tomorrow,
while caution ahead of Fed decision may also curb gains. The stock of DrReddy
will be in focus as it reports its September quarter earnings.
