Pre Session- Flat opening seen on Dalal Street ahead of F&O expiry; eyes on Rail Budget
25/02/2016
Indian equity benchmarks are set to open little changed on Thursday as traders resort to a cautious stance ahead of the Railway Budget today with Railway Minister Suresh Prabhu likely to unveil a series of new rail projects, which may come with a hike in passenger fares as the exchequer faces an additional burden of Rs 32,000 crore due to higher salaries and pensions, as imposed by the seventh pay commission. Volatility at the local bourses may remain high as traders roll over their positions ahead of the February futures & options (F&O) contract expiry today. The CNX Nifty Index futures for February delivery were trading down by 0.04 per cent or by 2.5 points at 7,022 at 10:21 am Singapore time, signaling that the Sensex may open tad lower today. Traders are expected to remain jittery ahead of Monday’s Union Budget with Finance Minister Arun Jaitley walking on a tight rope as he grants wage and pension hikes, increases public expenditure and assures that the centre’s fiscal deficit is reigned in. Marking a second day in the red, the 30-share Sensex on Wednesday tanked 321.25 points or by 1.37 per cent to 23,088.93 as jitters ahead of the Union Budget and weakness in Asian shares amid falling oil prices hit sentiment.
Asian stocks were trading mixed on Thursday with concerns over the outlook for the Chinese economy taking toll on China’s Shanghai Composite that tumbled over 1 per cent while Hang Seng fell too, but Japan’s Nikkei 225 rallied driven by gains in energy shares as crude rallied while a report that Japan is considering an extra budget of 5 trillion yen also cheered traders. Wall Street advanced on Wednesday as oil steadied at around USD 32 per barrel, helping US stocks to overcome their biggest dip in two weeks, even as concerns remained over the health of the world’s biggest economy. Sales of US new home sales fell by 9.2 per cent to a 494,000 annualized pace in January while services fell into contraction for the first time since October 2013 with the PMI declining to 49.8 in February from 53.2 in January. The Dow Jones Industrial Average advanced 0.32 per cent; the Nasdaq Composite rallied 0.87 per cent while S&P 500 gained 0.44 per cent.
25/02/2016
Indian equity benchmarks are set to open little changed on Thursday as traders resort to a cautious stance ahead of the Railway Budget today with Railway Minister Suresh Prabhu likely to unveil a series of new rail projects, which may come with a hike in passenger fares as the exchequer faces an additional burden of Rs 32,000 crore due to higher salaries and pensions, as imposed by the seventh pay commission. Volatility at the local bourses may remain high as traders roll over their positions ahead of the February futures & options (F&O) contract expiry today. The CNX Nifty Index futures for February delivery were trading down by 0.04 per cent or by 2.5 points at 7,022 at 10:21 am Singapore time, signaling that the Sensex may open tad lower today. Traders are expected to remain jittery ahead of Monday’s Union Budget with Finance Minister Arun Jaitley walking on a tight rope as he grants wage and pension hikes, increases public expenditure and assures that the centre’s fiscal deficit is reigned in. Marking a second day in the red, the 30-share Sensex on Wednesday tanked 321.25 points or by 1.37 per cent to 23,088.93 as jitters ahead of the Union Budget and weakness in Asian shares amid falling oil prices hit sentiment.
Asian stocks were trading mixed on Thursday with concerns over the outlook for the Chinese economy taking toll on China’s Shanghai Composite that tumbled over 1 per cent while Hang Seng fell too, but Japan’s Nikkei 225 rallied driven by gains in energy shares as crude rallied while a report that Japan is considering an extra budget of 5 trillion yen also cheered traders. Wall Street advanced on Wednesday as oil steadied at around USD 32 per barrel, helping US stocks to overcome their biggest dip in two weeks, even as concerns remained over the health of the world’s biggest economy. Sales of US new home sales fell by 9.2 per cent to a 494,000 annualized pace in January while services fell into contraction for the first time since October 2013 with the PMI declining to 49.8 in February from 53.2 in January. The Dow Jones Industrial Average advanced 0.32 per cent; the Nasdaq Composite rallied 0.87 per cent while S&P 500 gained 0.44 per cent.
