Pre Session-Gap up opening seen for Sensex amid global rally
21/06/2016
Indian equity benchmarks are set to witness a positive opening on Tuesday tracking an advance in stock markets across Asia and a bullish finish at Wall Street overnight amid hopes that Britain may choose to remain a part of the European Union at an upcoming referendum on Thursday, easing concerns over the global economy, bolstering risk taking appetite. Gains in the CNX Nifty Index Futures for June delivery which climbed by 0.13 per cent or 10.5 points to 8,253 at 10:21 AM Singapore time also signal that Dalal Street may open higher today. While the Indian rupee may continue to be weighed down by concerns over the impact of Raghuram Rajan’s exit as the RBI governor when his three-year term ends this September and potential outflows of USD 25 billion due to FCNR redemption, sentiment at domestic bourses will be supported by the latest set of sweeping reforms from the Modi government in the form of easier FDI rules in civil aviation, single-brand retail, defence and pharma by allowing more investments under the automatic route. Moreover, leading rating agency Fitch has also calmed investor concerns over ‘Rexit’, stressing that “policies are more important than personalities”, while reports suggested that Rajan’s successor may well be announced by the end of next month. Shrugging off Rexit jitters, the 30-share Sensex on Monday rallied by a whopping 241.01 points or by 0.91 per cent to end at 26, 866.92 driven by gains in IT and Teck stocks.
Asian stocks rallied on Tuesday as traders weighed polls ahead of the Brexit referendum. While EU referendum vote is expected to be a close-call, a survey by ORB for the Daily Telegraph showed “remain” surging back in the lead at 53 per cent with “leave” at 46 per cent. Odds of Britain leaving the EU have fallen since the brutal murder of Jo Cox, a pro-European lawmaker last week. China’s Shanghai Composite and Hang Seng rose while Japan’s Nikkei 225 advanced despite a strengthening yen. Wall Street bounced back handsomely on Monday as concerns over Brexit eased while traders eyed Fed Chair Janet Yellen’s testimony to lawmakers on Tuesday and Wednesday even though the odds for higher interest rates have diminished in the near-term
21/06/2016
Indian equity benchmarks are set to witness a positive opening on Tuesday tracking an advance in stock markets across Asia and a bullish finish at Wall Street overnight amid hopes that Britain may choose to remain a part of the European Union at an upcoming referendum on Thursday, easing concerns over the global economy, bolstering risk taking appetite. Gains in the CNX Nifty Index Futures for June delivery which climbed by 0.13 per cent or 10.5 points to 8,253 at 10:21 AM Singapore time also signal that Dalal Street may open higher today. While the Indian rupee may continue to be weighed down by concerns over the impact of Raghuram Rajan’s exit as the RBI governor when his three-year term ends this September and potential outflows of USD 25 billion due to FCNR redemption, sentiment at domestic bourses will be supported by the latest set of sweeping reforms from the Modi government in the form of easier FDI rules in civil aviation, single-brand retail, defence and pharma by allowing more investments under the automatic route. Moreover, leading rating agency Fitch has also calmed investor concerns over ‘Rexit’, stressing that “policies are more important than personalities”, while reports suggested that Rajan’s successor may well be announced by the end of next month. Shrugging off Rexit jitters, the 30-share Sensex on Monday rallied by a whopping 241.01 points or by 0.91 per cent to end at 26, 866.92 driven by gains in IT and Teck stocks.
Asian stocks rallied on Tuesday as traders weighed polls ahead of the Brexit referendum. While EU referendum vote is expected to be a close-call, a survey by ORB for the Daily Telegraph showed “remain” surging back in the lead at 53 per cent with “leave” at 46 per cent. Odds of Britain leaving the EU have fallen since the brutal murder of Jo Cox, a pro-European lawmaker last week. China’s Shanghai Composite and Hang Seng rose while Japan’s Nikkei 225 advanced despite a strengthening yen. Wall Street bounced back handsomely on Monday as concerns over Brexit eased while traders eyed Fed Chair Janet Yellen’s testimony to lawmakers on Tuesday and Wednesday even though the odds for higher interest rates have diminished in the near-term
