Pre Market Report-Sensex may open little changed amid mixed global trend; Fed eyed 26/07/2016
Indian equity benchmarks are likely to witness a flattish opening on Tuesday tracking a mixed trend across Asia and a bearish finish at Wall Street overnight as traders resort to a cautious approach ahead of the start of the two-day US Federal Reserve policy meet. The CNX Nifty Index Futures for July delivery were trading at 8,637, unchanged at 10:35 AM Singapore time, signaling that Dalal Street may see little movement at opening bell today. Shares of Maruti Suzuki, IDFC Bank, Dr Reddy’s Lab, ACC, Ambuja Cements, TVS Motor and Zee Entertainment will be in focus today as the companies unveil their April-June 2016 quarter earnings numbers. Volatility may remain high at domestic indices as traders roll over their positions ahead of the July futures & options (F&O) contracts’ expiry this week. Investors will also be jittery over the developments in the Parliament surrounding the crucial GST bill with fresh political hurdles threatening to delay the passage of the bill in the Rajya Sabha. Sentiment may remain supported by hopes that a strong monsoon may buoy rural demand and lift growth in Asia’s third biggest economy. On Monday, the 30-share BSE SENSEX closed at 28,095.34, up by 292.1 points or by 1.05 per cent driven by a rally in banking stocks on hopes that the RBI will oblige with an interest rate cut in August.
Asian stocks were trading mixed ahead of key central bank meetings in the US and Japan this week. While the Bank of Japan is tipped to add stimulus, the Fed is likely to keep interest rates unchanged and could offer some cues over the timing of its next rate hike. While China’s Shanghai Composite and Hang Seng advanced, Japan’s Nikkei 225 tumbled as a stronger yen curbed the lure for exporter stocks. US stocks fell on Monday as commodities were hit by a stronger dollar while investors stayed cautious ahead of major central bank meetings.
Indian equity benchmarks are likely to witness a flattish opening on Tuesday tracking a mixed trend across Asia and a bearish finish at Wall Street overnight as traders resort to a cautious approach ahead of the start of the two-day US Federal Reserve policy meet. The CNX Nifty Index Futures for July delivery were trading at 8,637, unchanged at 10:35 AM Singapore time, signaling that Dalal Street may see little movement at opening bell today. Shares of Maruti Suzuki, IDFC Bank, Dr Reddy’s Lab, ACC, Ambuja Cements, TVS Motor and Zee Entertainment will be in focus today as the companies unveil their April-June 2016 quarter earnings numbers. Volatility may remain high at domestic indices as traders roll over their positions ahead of the July futures & options (F&O) contracts’ expiry this week. Investors will also be jittery over the developments in the Parliament surrounding the crucial GST bill with fresh political hurdles threatening to delay the passage of the bill in the Rajya Sabha. Sentiment may remain supported by hopes that a strong monsoon may buoy rural demand and lift growth in Asia’s third biggest economy. On Monday, the 30-share BSE SENSEX closed at 28,095.34, up by 292.1 points or by 1.05 per cent driven by a rally in banking stocks on hopes that the RBI will oblige with an interest rate cut in August.
Asian stocks were trading mixed ahead of key central bank meetings in the US and Japan this week. While the Bank of Japan is tipped to add stimulus, the Fed is likely to keep interest rates unchanged and could offer some cues over the timing of its next rate hike. While China’s Shanghai Composite and Hang Seng advanced, Japan’s Nikkei 225 tumbled as a stronger yen curbed the lure for exporter stocks. US stocks fell on Monday as commodities were hit by a stronger dollar while investors stayed cautious ahead of major central bank meetings.
