Pre Market Report- Sensex to open lower ahead of GST Rajya Sabha debut
03/08/2016
Indian equity benchmarks are likely to witness a gap down opening on Wednesday as a worsening sell-off in oil renewed concerns over the health of the global economy, hitting stock markets worldwide, souring risk taking appetite. Further, traders may err on the side of caution ahead of the tabling of the crucial GST bill in the Rajya Sabha on Wednesday, that could give way to the country’s biggest breakthrough fiscal reform and help bolster business sentiment and growth in Asia’s third biggest economy. Losses in the CNX Nifty Index Futures for August delivery which fell 0.35 per cent or 30 points at 8,630, at 10:29 AM Singapore time, signal that Dalal Street may open in the red today. Shares of HCL Technologies, Cadila Healthcare and Emami will be in focus today amid the announcement of their April-June 2016 quarter earnings numbers. Investors will also keep a watch on the India Services PMI set for release today which will offer further cues over the health of the country’s economy. In June, the services index fell to 50.3 from 51 in May, with growth in the sector slowing for a third straight month. A pickup in core sector growth in June to 5.2 per cent year-on-year, from May’s 2.8 per cent augurs well for the economy. Marking a third straight day in the red, the 30-share Sensex on Tuesday fell by 21.41 points or by 0.08 per cent to 27,981.71 amid GST caution.
Asian shares fell as oil’s renewed slide to below USD 40 per barrel signaled alarm bells over the health of the world economy while Japan’s stimulus package left investors disappointed. Shanghai Composite was trading flat as China’s services activity slowed in July as the PMI fell from an 11-month high of 52.7 in June to 51.7, with a reading above 50 signaling expansion. Hang Seng was trading deep in the red while Nikkei 225 declined as traders gave thumbs down to Japanese government’s plan to boost spending by 4.6 trillion yen in the current fiscal year and as a stronger yen curbed the lure for exporter stocks. Wall Street succumbed to the biggest sell-off in four weeks on Tuesday as plunging crude oil prices and soft consumer spending revived anxiety over global growth outlook. US consumer spending climbed 0.4 per cent in June from May.
03/08/2016
Indian equity benchmarks are likely to witness a gap down opening on Wednesday as a worsening sell-off in oil renewed concerns over the health of the global economy, hitting stock markets worldwide, souring risk taking appetite. Further, traders may err on the side of caution ahead of the tabling of the crucial GST bill in the Rajya Sabha on Wednesday, that could give way to the country’s biggest breakthrough fiscal reform and help bolster business sentiment and growth in Asia’s third biggest economy. Losses in the CNX Nifty Index Futures for August delivery which fell 0.35 per cent or 30 points at 8,630, at 10:29 AM Singapore time, signal that Dalal Street may open in the red today. Shares of HCL Technologies, Cadila Healthcare and Emami will be in focus today amid the announcement of their April-June 2016 quarter earnings numbers. Investors will also keep a watch on the India Services PMI set for release today which will offer further cues over the health of the country’s economy. In June, the services index fell to 50.3 from 51 in May, with growth in the sector slowing for a third straight month. A pickup in core sector growth in June to 5.2 per cent year-on-year, from May’s 2.8 per cent augurs well for the economy. Marking a third straight day in the red, the 30-share Sensex on Tuesday fell by 21.41 points or by 0.08 per cent to 27,981.71 amid GST caution.
Asian shares fell as oil’s renewed slide to below USD 40 per barrel signaled alarm bells over the health of the world economy while Japan’s stimulus package left investors disappointed. Shanghai Composite was trading flat as China’s services activity slowed in July as the PMI fell from an 11-month high of 52.7 in June to 51.7, with a reading above 50 signaling expansion. Hang Seng was trading deep in the red while Nikkei 225 declined as traders gave thumbs down to Japanese government’s plan to boost spending by 4.6 trillion yen in the current fiscal year and as a stronger yen curbed the lure for exporter stocks. Wall Street succumbed to the biggest sell-off in four weeks on Tuesday as plunging crude oil prices and soft consumer spending revived anxiety over global growth outlook. US consumer spending climbed 0.4 per cent in June from May.
