MARKETS LIVE: Rupee, macro data and oil prices to guide indices this week

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SI Reporter  |  New Delhi 

BSE, NSE, Markets, SENSEX
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Rupee slumps to all-time low of 73.76 as RBI holds rate   The rupee slidded by 18 paise to finish at a fresh lifetime low of 73.76 against the US dollar on October 5 after the RBI unexpectedly kept the policy rate unchanged. The domestic unit crashed below the 74-mark for the first time ever in intra-day trade on persistent capital outflows and high crude oil prices.   It recovered to a high of 73.42, but failed to sustain the momentum and plunged to 74.23 after RBI's policy announcement. It finally closed at 73.76, down by 18 paise or 0.24 per cent, marking its fourth straight session of decline. Oil Check   Brent crude oil prices fell by more than 1 per cent on Monday after Washington said it may grant waivers to sanctions against Iran’s oil exports next month, and as Saudi Arabia was said to be replacing any potential shortfall from Iran.   International benchmark Brent crude oil futures were at $83.25 per barrel, down 91 cents, or 1.1 per cent, from their last close. US West Texas Intermediate (WTI) crude futures were down 57 cents, or 0.8 per cent, at $73.77 a barrel. SGX Nifty   Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 17.5 points or 0.17 per cent. Nifty futures were trading around 10,282-level on the Singaporean Exchange. Asia Check   Shares in Asia stumbled in early trade on Monday as investors waited with bated breath as China’s markets prepare to reopen following a week-long holiday and after its central bank cut banks’ reserve requirements in a bid to support growth.   MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.3 per cent, after major stock markets around the world fell for a second straight day on Friday. Australian shares were down 1 per cent. Markets in Japan are closed for a holiday. Wall Street falls as solid jobs report boosts bond yields   US stocks dropped for a second straight day on Friday, weighed down by another rise in Treasury yields in the wake of a solid jobs report that capped off a week of robust data.   The Dow Jones Industrial Average fell 180.43 points, or 0.68 per cent, to 26,447.05, the S&P 500 lost 16.04 points, or 0.55 per cent, to 2,885.57 and the Nasdaq Composite dropped 91.06 points, or 1.16 per cent, to 7,788.45. Good Morning! Welcome to market's live blog. Catch all live market action here

Macroeconomic data, movement of the rupee and trend in global crude oil prices would be crucial for the stock markets this week. After back-to-back hikes since June, the Reserve Bank of India (RBI) kept interest rates unchanged Friday, surprising markets that had expected a rate hike to support the tumbling rupee and combat inflationary pressures from high oil prices.

Stock markets took a beating last week over rupee woes and crude oil prices. The BSE Sensex lost a whopping 1,850.15 points over the week to close at 34,376.99 on Friday.

Meanwhile, investors will also keep an eye on the rupee, which crashed below the 74-level against the US dollar for the first time ever Friday.

Country's industrial production (IIP) data for August and retail inflation (CPI) prints for September will be released on Friday. Industrial production grew 6.6 per cent in July. Retail inflation eased to a 10-month low of 3.69 per cent in August. The numbers may come slightly higher owing to falling rupee and rising crude prices. 

Stock specific action will also continue as major companies including Hindustan Unilever, Tata Consultancy Services (TCS), Zee Entertainment and Bandhan Bank, will announce their September quarter earnings during the week. 

Globally, shares in Asia stumbled in early trade on Monday as investors waited with bated breath as China’s markets prepare to reopen following a week-long holiday and after its central bank cut banks’ reserve requirements in a bid to support growth. MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.3 per cent, after major stock markets around the world fell for a second straight day on Friday.

Australian shares were down 1 per cent. Markets in Japan are closed for a holiday.
First Published: Mon, October 08 2018. 08:15 IST