Pre Session: Gap up opening seen at D-Street amid firm Asian cues
30/09/2015
Indian equity benchmarks are set to open higher today tracking a firm trend in markets across Asia and a bullish finish at Wall Street overnight after better-than-expected the US consumer confidence data indicated strong health of the world’s biggest economy, bolstering risk taking appetite. The 30-share Sensex ended higher by 161.82 points or by 0.63 per cent at 25778.66, led by gains in the interest rate sensitives such as banking, auto and realty, after the Reserve Bank of India (RBI) announced interest rates cut and allowed for steady increase in foreign investment limit in government securities. Taking markets by surprise, RBI delivered a bigger than expected cut in interest rates by 50 basis points to 6.75 per cent as cooling inflation enables the central bank to increase focus on growth in Asia’s third biggest economy. Marking its fourth interest rate reduction this year, the RBI slashed the repo rate by 50 basis points to 6.75 per cent while the Cash Reserve Ratio (CRR) was left unchanged at 4 per cent. Against the backdrop of a rise in Asian stocks and a positive closing at Wall Street overnight, coupled with a gain in the SGX CNX Nifty Index futures for October delivery, Dalal Street is set to open in positive terrain at the opening bell.
Asian stocks rebounded on Wednesday to end grim quarter with gain after a plunge in in the previous session after Wall Street ended higher in the overnight trade. China's Shanghai Composite was up 0.5 per cent, Hang Seng rose 0.9 per cent and Japan’s Nikkei 225 shed added 1.8 per cent as a weaker yen increased the appeal of exporter stocks. However, analysts cautioned on the sustainability of the recovery as concerns over the world’s second biggest economy deepened before the start of the week-long trading holiday in mainland China. China’s industrial profits shrank the most in at least four years, down 8.8 per cent, year on year in August 2015 while Thursday’s manufacturing data is set to show a contraction. Boosted by the better-than-expected the US consumer confidence data, US stocks ended higher with the Dow Jones Industrial Average and S&P 500 rising by 0.3 per cent and 0.1 per cent, respectively, while the Nasdaq Composite Index shed 0.6 per cent.
30/09/2015
Indian equity benchmarks are set to open higher today tracking a firm trend in markets across Asia and a bullish finish at Wall Street overnight after better-than-expected the US consumer confidence data indicated strong health of the world’s biggest economy, bolstering risk taking appetite. The 30-share Sensex ended higher by 161.82 points or by 0.63 per cent at 25778.66, led by gains in the interest rate sensitives such as banking, auto and realty, after the Reserve Bank of India (RBI) announced interest rates cut and allowed for steady increase in foreign investment limit in government securities. Taking markets by surprise, RBI delivered a bigger than expected cut in interest rates by 50 basis points to 6.75 per cent as cooling inflation enables the central bank to increase focus on growth in Asia’s third biggest economy. Marking its fourth interest rate reduction this year, the RBI slashed the repo rate by 50 basis points to 6.75 per cent while the Cash Reserve Ratio (CRR) was left unchanged at 4 per cent. Against the backdrop of a rise in Asian stocks and a positive closing at Wall Street overnight, coupled with a gain in the SGX CNX Nifty Index futures for October delivery, Dalal Street is set to open in positive terrain at the opening bell.
Asian stocks rebounded on Wednesday to end grim quarter with gain after a plunge in in the previous session after Wall Street ended higher in the overnight trade. China's Shanghai Composite was up 0.5 per cent, Hang Seng rose 0.9 per cent and Japan’s Nikkei 225 shed added 1.8 per cent as a weaker yen increased the appeal of exporter stocks. However, analysts cautioned on the sustainability of the recovery as concerns over the world’s second biggest economy deepened before the start of the week-long trading holiday in mainland China. China’s industrial profits shrank the most in at least four years, down 8.8 per cent, year on year in August 2015 while Thursday’s manufacturing data is set to show a contraction. Boosted by the better-than-expected the US consumer confidence data, US stocks ended higher with the Dow Jones Industrial Average and S&P 500 rising by 0.3 per cent and 0.1 per cent, respectively, while the Nasdaq Composite Index shed 0.6 per cent.
