Tuesday 13 December 2016

Opening Bell – Indices Open On A Mixed Note

Posted by suhani varma on Tuesday, December 13, 2016 with No comments

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The S&P BSE Sensex is trading at 26,520, up by 5 points, while NSE Nifty is trading at 8,170 down by 0.75 points.

The bright spot status of India seems to be suffering a temporary setback. The recent macro numbers have been disappointing, crude has been on a boil and nature continues to play havoc with Cyclone Vardah disrupting life in and around Chennai on Monday. India managed a cool ride on the back of falling crude prices but over the weekend sentiment has changed and crude has leapt to US$54 a barrel after non-OPEC members too agreed on a cut in output.  Today’s CPI numbers will be keenly watched but the rising crude prices could spike inflation and prevent RBI from effecting a rate cut. Meanwhile, the Fed meet gets underway today and so far expectations are of a rate hike. The outcome will be known on Wednesday. 

The outlook is a flat start. Indices will swing more to global beats as the day progresses. Tata Motors will be in focus as large number of shares may change hands today. TCS shareholder meet will also keep the focus on Tatas.

Asian markets opened flat after a weak start to the week saw most indices close in the red on Monday. The sharp rally in crude combined with US 10 year bond yields crossing 2.5% saw weakness again creep up in the emerging markets basket. The Dow Jones continues its unprecedented rally as money chases US stocks, ETF's & bonds.

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