Wednesday, September 11, 2013

Pre-market: Nifty likely to open higher; IIP, CPI data eyed

Pre-market: Nifty likely to open higher; IIP, CPI data eyed

The Nifty index is expected to open higher on Thursday, while investors will keep a close eye on macro-economic data which will be out later today.
The Nifty index is expected to open higher on Thursday, while investors will keep a close eye on macro-economic data which will be out later today.
NEW DELHI: The 50-share Nifty index is expected to open higher on Thursday following mixed trend in other Asian markets, while investors will keep a close eye on macro-economic data which will be out later today.

The government will unveil data on industrial production for July later today. Industrial production registered a contraction of 2.2 per cent in June. According to an ET Now poll, IIP data for the month of July is likely to contract to negative 0.2 per cent.

India's annual consumer price inflation is likely to remain sticky. The index is likely to come marginally lower to 9.5 per cent in August as compared to 9.64 per cent registered in the month of July, added the Poll.

At 07:30 a.m., Nifty India stock futures in Singapore were trading 28 point higher at 5960.00, indicating a positive opening on the domestic market.

After starting on a subdued note, the 50-share Nifty index ended the volatile day above its crucial psychological level of 5900, extending its winning run to the fifth day.

"One that is clear that this market is not going to see a similar kind of decline as to what we saw in August since sentiment has changed," said Mitesh Thacker of miteshthacker.com in an interview with ET Now.

"Even if the market consolidates which is a very strong possibility right now, it is very difficult to figure out when the consolidation will begin and when the range will develop," he added.

Thacker is of the view that in case a consolidation develops, levels of 5780-5800 to about 6000-6020 on the upside could be the broad contours.

Overnight, U.S. stocks closed higher with the S&P 500 up for a seventh straight day, as geopolitical fears eased further. The S&P 500 has risen about 3.4 percent over the past seven sessions, its longest winning streak since July.

"Market nervousness abated as U.S. President Barack Obama, faced with resistance in polls and Congress, said a Russian offer to pressure Syria to place its chemical weapons under international control raised the chances of putting off a strike," Reuters reported.

The Dow Jones industrial average was up 135.16 points, or 0.89 percent, at 15,326.22. The Standard & Poor's 500 Index was up 5.11 points, or 0.30 percent, at 1,689.10. The Nasdaq Composite Index was down 4.01 points, or 0.11 percent, at 3,725.01.

Asian shares were trading mixed on growing expectations that the U.S. Federal Reserve's impending stimulus reduction might be smaller than some had believed. The Federal Open Market Committee meets next Tuesday and Wednesday.

"While it is still widely expected to begin scaling back its $85 billion monthly asset-buying program, Friday's disappointing jobs data prompted many to believe the reduction will be more modest than some had previously expected.

Oil was slightly higher, with Brent crude trading at $111.54.

Japan's Nikkei 225 index was trading 0.4 per cent lower at 14,366.50 and Hong Kong 's Hang Seng index was trading 0.16 per cent higher at 22,973.12.

South Korea's Kospi index was trading 0.3 per cent higher at 2,010. China's Shanghai index was trading 0.5 per cent lower at 2228.68.
Arvind Kumar PAthak
PGDM 3rd

No comments:

Post a Comment