Herald Van Der Linde, head of Asia Pacific equity strategy at HSBC Holdings Plc says the near-term looks challenging for emerging markets but valuations are getting attractive across Asia. Linde has a cautious stance on India because equities here are little expensive than other markets. He sees Sensex at 26800 by year end. Talking about Fed shelving plans to hike interest rates once again, Linde said US market has already priced that in. He says Fed may go for it later in the year
The market has opened higher, tracking positive cues from Wall Street after the Federal Reserve kept rates unchanged. All eyes are on expiry of July derivative contracts today. The Sensex gained 135.55 points at 27698.98 and the Nifty rose 40.75 points to 8415.80. About 713 shares have advanced, 119 shares declined, and 64 shares are unchanged on the BSE. Cipla, HDFC, Axis Bank, BHEL, ONGC and Cairn India rallied 1-1.5 percent.
However, ITC lost 0.6 percent ahead of earnings. GAIL, ICICI Bank, Tata Power and Ambuja Cements also declined. In key earnings today, according to a CNBC-TV18 poll, ITC profit may rise 6 percent to around Rs 2,300 crore. Cigarette volumes are expected to decline 15-18 percent due to price hikes. From the pharma space, muted numbers are expected from Dr Reddy's, the profits may rise 4 percent. From the banking sector, this will be first quarter of Kotak-ING consolidated numbers. Analysts expect a muted profit growth while the margins may come off since ING Vysya has lower margins.
The Indian rupee opened lower by 5 paise at 63.96 per dollar against 63.91 Wednesday. Mohan Shenoi of Kotak Mahindra Bank said, "As per July FOMC statement, Fed is poised to begin rate hikes in 2015 most likely in September. Dollar strength against major currencies is continuing." "With Reserve Bank Of India (RBI) presence on both sides of the market, USD-INR is expected to trade today in a range of 63.85-64.15/dollar," he added. In global markets, the US Federal Reserve kept rates unchanged, giving no hint of lift-off coming in the next meeting.
Policymakers said the economy is expanding moderately, but made no mention of recent volatility around Greece or China. The US markets closed in the green with the Dow Jones industrial average closing about 120 points higher. The Nasdaq Composite briefly dipped into negative territory before trading half a percent higher. Asian markets gained today, taking heart from a positive finish on Wall Street and a modest recovery in commodity prices. The dollar remained steady in cautious trade ahead of US GDP data that could reinforce expectations that the Federal Reserve is on track to raise interest rates as early as September.
For Quick Trial – 8962000225 ✔
or mail us here: info@ways2capital.com
or visit http://www.ways2capital.com
✆ - 0731-6554125 | Toll Free - 1800-3010-2007
Give a Missed Call for Free Trial - 09699997717
0 comments:
Post a Comment