Global cues are subdued. Asian markets are mostly weak. The market will await data on Nikkei Services and Composite PMI. The rupee could remain lower for most part of the day.
It has stopped raining gains for some days now and investors seem to be banking on a good monsoon for a recovery on the street. Talking about banks, the picture is not so healthy. The government said that PSU banks exposure to top 50 defaulters is around Rs. 1.22 trillion while wilful defaults stand at Rs. 662 bn. On the bright side, IMF said India's growth outlook is favourable, with GDP growth projected to strengthen to 7.5 per cent in the current fiscal year, even in the absence of major structural reforms. China and Japan are expected to further slowdown sharply over the next two years. Yet, it is important to implement major reforms like GST on a priority, an IMF spokesperson said.
The outlook is a weak start. The indices may look at bouncing back as the weakness has prolonged for a few days now. Global cues are subdued. Asian markets are mostly weak. The market will await data on Nikkei Services and Composite PMI. The rupee could remain lower for most part of the day. US stock indices ended lower on Tuesday, with the technology, energy and banking shares leading the fall, as weaker-than-expected Chinese manufacturing data revived worries about global growth. European stocks slumped, while commodity prices as well as commodity currencies declined following a surprise interest-rate cut by the Australian central bank.
The Dow Jones Industrial Average dropped 140.25 points, or 0.8%, to end at 17,750.91. The S&P 500 index sank 18.06 points, or 0.9%, to close at 2,063.37, with all the 10 main sectors in the red. The Nasdaq Composite index fell by 54.37 points, or 1.1%, to finish at 4,763. Two prominent members of the US Federal Reserve's Open Market Committee overnight said they intend to support an interest rate hike in June.
Crude oil futures traded in New York slipped on Tuesday on the back of renewed fears of a severe global glut ahead of weekly inventory data. West Texas Intermediate (WTI) crude oil lost US$1.13, or 2.5%, to end at US$43.65 a barrel on the New York Mercantile Exchange (NYMEX). Brent oil futures dropped 86 cents, or 1.9%, to finish at US$44.97 a barrel on London’s ICE exchange.
Meanwhile, the closely watched Energy Information Administration (EIA) weekly inventory data is due out on Wednesday. A survey compiled by Bloomberg expects an increase of 500,000 barrels in stockpiles last week.
The UK-based commodity-trading firm Liberty House Group has formally submitted the first bid for some of Tata Steel Ltd’s UK assets, reports a business daily. Sanjeev Gupta, Executive Chairman of Liberty House, has formally submitted the so-called letter of intent (LOI) to buy loss-making assets of Tata Steel, including the Port Talbot steel plants in Wales.
The outlook is a weak start. The indices may look at bouncing back as the weakness has prolonged for a few days now. Global cues are subdued. Asian markets are mostly weak. The market will await data on Nikkei Services and Composite PMI. The rupee could remain lower for most part of the day. US stock indices ended lower on Tuesday, with the technology, energy and banking shares leading the fall, as weaker-than-expected Chinese manufacturing data revived worries about global growth. European stocks slumped, while commodity prices as well as commodity currencies declined following a surprise interest-rate cut by the Australian central bank.
The Dow Jones Industrial Average dropped 140.25 points, or 0.8%, to end at 17,750.91. The S&P 500 index sank 18.06 points, or 0.9%, to close at 2,063.37, with all the 10 main sectors in the red. The Nasdaq Composite index fell by 54.37 points, or 1.1%, to finish at 4,763. Two prominent members of the US Federal Reserve's Open Market Committee overnight said they intend to support an interest rate hike in June.
Crude oil futures traded in New York slipped on Tuesday on the back of renewed fears of a severe global glut ahead of weekly inventory data. West Texas Intermediate (WTI) crude oil lost US$1.13, or 2.5%, to end at US$43.65 a barrel on the New York Mercantile Exchange (NYMEX). Brent oil futures dropped 86 cents, or 1.9%, to finish at US$44.97 a barrel on London’s ICE exchange.
Meanwhile, the closely watched Energy Information Administration (EIA) weekly inventory data is due out on Wednesday. A survey compiled by Bloomberg expects an increase of 500,000 barrels in stockpiles last week.
The UK-based commodity-trading firm Liberty House Group has formally submitted the first bid for some of Tata Steel Ltd’s UK assets, reports a business daily. Sanjeev Gupta, Executive Chairman of Liberty House, has formally submitted the so-called letter of intent (LOI) to buy loss-making assets of Tata Steel, including the Port Talbot steel plants in Wales.
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