Pre Session- Gap up opening seen for D-Street on firm global trend
23/12/2015
The key domestic benchmarks are set to open higher on Wednesday tracking a positive trend in fellow Asian markets and a firm finish at Wall Street overnight as growing optimism that the world’s biggest economy will handle policy tightening which began this month, bolstered the lure for risky assets. Gains in Asian equities coupled with strength in the CNX Nifty Index futures for December delivery which climbed 0.54 per cent or 42.5 points at 7,826.5 at 10:24 am Singapore time, signals that Dalal Street may witness a positive opening today. However, the gains in the Sensex may be curbed by caution ahead of the Christmas holiday on Friday and the expiry of the December futures and options (F&O) contracts next Thursday. Foreign institutional investors may stay on the sidelines ahead of Christmas and New Year, weighing on trading volume at Dalal Street. Meanwhile, the Winter Session of Parliament, which has been a big disappointment, comes to a close today with key bills such as the Goods and Services Tax (GST) remaining dogged by political headwinds amid opposition uproar, clouding the outlook for Asia’s third biggest economy. On Tuesday, the 30-share Sensex fell 145.25 points or by 0.56 per cent to end at 25,590.65 led by profit booking in blue chips.
Growing confidence in the US and Chinese economies pushed Asian stocks higher on Wednesday. The US economy grew by a revised 2 per cent annualized pace in the September 2015 quarter with consumer spending, the backbone of the world’s biggest economy, that accounts for about 70 per cent of US GDP growing by 3 per cent. China’s Shanghai Composite logged modest gains while Hang Seng surged amid signs of a pickup in China’s economy as a leading index advanced at a quicker pace in November. The Conference Board said that its China leading economic index climbed 0.6 per cent in November from October, when it advanced 0.3 per cent. Japan’s Nikkei 225 was closed due to a national holiday. Wall Street extended gains on Tuesday as investors cheered the fairly upbeat US Q3 GDP data which showed that consumer spending boosted economic growth amidst a slowdown overseas. The Dow Jones Industrial Average climbed 0.96 per cent, the Nasdaq Composite rose 0.65 per cent while S&P 500 advanced 0.88 per cent.
23/12/2015
The key domestic benchmarks are set to open higher on Wednesday tracking a positive trend in fellow Asian markets and a firm finish at Wall Street overnight as growing optimism that the world’s biggest economy will handle policy tightening which began this month, bolstered the lure for risky assets. Gains in Asian equities coupled with strength in the CNX Nifty Index futures for December delivery which climbed 0.54 per cent or 42.5 points at 7,826.5 at 10:24 am Singapore time, signals that Dalal Street may witness a positive opening today. However, the gains in the Sensex may be curbed by caution ahead of the Christmas holiday on Friday and the expiry of the December futures and options (F&O) contracts next Thursday. Foreign institutional investors may stay on the sidelines ahead of Christmas and New Year, weighing on trading volume at Dalal Street. Meanwhile, the Winter Session of Parliament, which has been a big disappointment, comes to a close today with key bills such as the Goods and Services Tax (GST) remaining dogged by political headwinds amid opposition uproar, clouding the outlook for Asia’s third biggest economy. On Tuesday, the 30-share Sensex fell 145.25 points or by 0.56 per cent to end at 25,590.65 led by profit booking in blue chips.
Growing confidence in the US and Chinese economies pushed Asian stocks higher on Wednesday. The US economy grew by a revised 2 per cent annualized pace in the September 2015 quarter with consumer spending, the backbone of the world’s biggest economy, that accounts for about 70 per cent of US GDP growing by 3 per cent. China’s Shanghai Composite logged modest gains while Hang Seng surged amid signs of a pickup in China’s economy as a leading index advanced at a quicker pace in November. The Conference Board said that its China leading economic index climbed 0.6 per cent in November from October, when it advanced 0.3 per cent. Japan’s Nikkei 225 was closed due to a national holiday. Wall Street extended gains on Tuesday as investors cheered the fairly upbeat US Q3 GDP data which showed that consumer spending boosted economic growth amidst a slowdown overseas. The Dow Jones Industrial Average climbed 0.96 per cent, the Nasdaq Composite rose 0.65 per cent while S&P 500 advanced 0.88 per cent.
