Pre Market Report- Sensex may open in the red on Asia weakness 29/07/2016
Indian equity benchmarks are likely to witness a gap down opening on Friday tracking a sell-off across markets in Asia as traders stayed jittery ahead of the Bank of Japan policy review, souring risk taking appetite. Losses in the CNX Nifty Index Futures for August delivery which were trading down by 0.13 per cent or 11.5 points at 8,685, at 10:35 AM Singapore time signal that Dalal Street may open lower today. Shares of ICICI Bank, Larsen & Toubro and Nestle India will be in focus today amidst their April-June quarter earnings announcements. Continued optimism that the long pending GST bill may soon see the light of the day and receive Parliamentary nod following key changes in the Constitutional Amendment Bill by the government will continue to support sentiment at domestic indices. The Fed’s decision to keep interest rates unchanged, coupled with a potential addition in stimulus by the Bank of Japan will augur well for Asia’s third biggest economy, one of the top emerging markets for foreign investment. Marking a second straight rally on Thursday, the 30-share Sensex advanced by 184.29 points or by 0.66 per cent to end at 28,208.62 amid hopes of a passage of the long pending Goods and Services Tax (GST) bill in Parliament, and on the expiry of the July derivative contracts.
Asian stocks fell amid caution ahead of the Bank of Japan policy meet with investors expecting further policy easing from the apex bank. Investors also stayed jittery ahead of the Q2 US GDP data to be released on Friday. China’s Shanghai Composite was trading tad lower and Hang Seng fell while Japan’s Nikkei 225 fell as a stronger yen curbed the lure for exporter stocks while a drop in core consumer prices in June signaled fresh deflation risks for Japan. Most US stocks rose, pushing benchmark S&P 500 within touching distance of a record high as traders weighed corporate earnings from the likes of Ford Motor and Facebook, while looking ahead to Friday’s economic data.
Indian equity benchmarks are likely to witness a gap down opening on Friday tracking a sell-off across markets in Asia as traders stayed jittery ahead of the Bank of Japan policy review, souring risk taking appetite. Losses in the CNX Nifty Index Futures for August delivery which were trading down by 0.13 per cent or 11.5 points at 8,685, at 10:35 AM Singapore time signal that Dalal Street may open lower today. Shares of ICICI Bank, Larsen & Toubro and Nestle India will be in focus today amidst their April-June quarter earnings announcements. Continued optimism that the long pending GST bill may soon see the light of the day and receive Parliamentary nod following key changes in the Constitutional Amendment Bill by the government will continue to support sentiment at domestic indices. The Fed’s decision to keep interest rates unchanged, coupled with a potential addition in stimulus by the Bank of Japan will augur well for Asia’s third biggest economy, one of the top emerging markets for foreign investment. Marking a second straight rally on Thursday, the 30-share Sensex advanced by 184.29 points or by 0.66 per cent to end at 28,208.62 amid hopes of a passage of the long pending Goods and Services Tax (GST) bill in Parliament, and on the expiry of the July derivative contracts.
Asian stocks fell amid caution ahead of the Bank of Japan policy meet with investors expecting further policy easing from the apex bank. Investors also stayed jittery ahead of the Q2 US GDP data to be released on Friday. China’s Shanghai Composite was trading tad lower and Hang Seng fell while Japan’s Nikkei 225 fell as a stronger yen curbed the lure for exporter stocks while a drop in core consumer prices in June signaled fresh deflation risks for Japan. Most US stocks rose, pushing benchmark S&P 500 within touching distance of a record high as traders weighed corporate earnings from the likes of Ford Motor and Facebook, while looking ahead to Friday’s economic data.
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Pre Market Report - 29.07.2016
