Pre Session- D-Street set to remain in Bear grip on Asia sell-off
19/08/2015
Indian equity benchmarks are poised to extend a slide into a third straight day tracking a continued gloom across markets in Asia and a bearish finish at Wall Street overnight as a worsening global commodity slump signals concerns over the health of the Chinese economy while traders remain jittery ahead of the minutes from the Fed’s latest meet, set for release on Wednesday, which may offer cues over the timing of a maiden interest rate lift-off since 2006. Marking a second straight finish in the red, the 30-share Sensex declined 46.73 points or by 0.17 per cent to end at 27,831.54 on Tuesday as a steep sell-off in China soured sentiment while a downward revision of India’s growth outlook by Moody’s also curbed risk taking appetite. Moody’s cut India’s growth forecast for 2015 to 7 per cent from 7.5 per cent earlier citing worries stemming from a below par Monsoon and slow pace of reform execution. Meanwhile, fears that a further depreciation of the rupee owing to a spike in global financial volatility amid the China devaluation shock may force the Reserve Bank of India (RBI) to delay an interest rate cut could also weigh on sentiment. The Indian currency has shed more than 2 per cent since China’s Yuan devaluation moves, plummeting to the lowest level in two years against the greenback on concerns that an export slump may deepen while a China rout sparks an exit from risky emerging market assets. Amidst a bearish trend in most markets across Asia, coupled with weakness in the SGX CNX Nifty Index futures for August delivery which fell 0.14 per cent or 11.50 points at 8,462.50 at 10:44 am Singapore time, Dalal Street is set to witness a gap down opening today.
Asian stocks were trading lower today as investors awaited cues over US monetary tightening timing while stocks in China extended a decline following Tuesday’s over 6 per cent slide amid speculation of reduced state intervention to support the country’s battered stock markets. Hang Seng fell while Japan’s Nikkei 225 also succumbed to losses as a steep slowdown in China signaled a gloomy export outlook for the shrinking Japanese economy. Wall Street marked a bearish finish on Tuesday as a deepening commodities sell-off overshadowed improvement in US housing with new home construction soaring to the highest level in almost eight years.
19/08/2015
Indian equity benchmarks are poised to extend a slide into a third straight day tracking a continued gloom across markets in Asia and a bearish finish at Wall Street overnight as a worsening global commodity slump signals concerns over the health of the Chinese economy while traders remain jittery ahead of the minutes from the Fed’s latest meet, set for release on Wednesday, which may offer cues over the timing of a maiden interest rate lift-off since 2006. Marking a second straight finish in the red, the 30-share Sensex declined 46.73 points or by 0.17 per cent to end at 27,831.54 on Tuesday as a steep sell-off in China soured sentiment while a downward revision of India’s growth outlook by Moody’s also curbed risk taking appetite. Moody’s cut India’s growth forecast for 2015 to 7 per cent from 7.5 per cent earlier citing worries stemming from a below par Monsoon and slow pace of reform execution. Meanwhile, fears that a further depreciation of the rupee owing to a spike in global financial volatility amid the China devaluation shock may force the Reserve Bank of India (RBI) to delay an interest rate cut could also weigh on sentiment. The Indian currency has shed more than 2 per cent since China’s Yuan devaluation moves, plummeting to the lowest level in two years against the greenback on concerns that an export slump may deepen while a China rout sparks an exit from risky emerging market assets. Amidst a bearish trend in most markets across Asia, coupled with weakness in the SGX CNX Nifty Index futures for August delivery which fell 0.14 per cent or 11.50 points at 8,462.50 at 10:44 am Singapore time, Dalal Street is set to witness a gap down opening today.
Asian stocks were trading lower today as investors awaited cues over US monetary tightening timing while stocks in China extended a decline following Tuesday’s over 6 per cent slide amid speculation of reduced state intervention to support the country’s battered stock markets. Hang Seng fell while Japan’s Nikkei 225 also succumbed to losses as a steep slowdown in China signaled a gloomy export outlook for the shrinking Japanese economy. Wall Street marked a bearish finish on Tuesday as a deepening commodities sell-off overshadowed improvement in US housing with new home construction soaring to the highest level in almost eight years.
