Opening Bell: Here's what will decide market course today
With tepid September jobs report from the US, the possibility of a tapering in the monthly bond buying programme by the US central bank is likely to be delayed further. Will the sentiment drive the markets up today?
October 23, 2013 / 08:38 IST
The markets in US recovered from session lows to close higher with the S&P 500 hitting a new high above 1,750, after the tepid September jobs report gave further evidence to investors that the Federal Reserve will continue to support the economy at the current pace. The Dow was trading within 1.5 percent of its all-time record set last month and the NASDAQ hit a fresh 13-year high.
European markets too closed higher following the latest US labour report, whose disappointing numbers encouraged investors' hopes that the Federal Reserve will delay tapering off its monthly asset purchases. In Asia, Japan's Nikkei lingered near a one-month high. Momentum was stalled as investors await comments from Bank of Japan chief Haruhiko Kuroda later in the session for further cues. Australia's S&P/ASX 200 hit a fresh five-year high and South Korea's Kospi rose to a two-year peak. Meanwhile, back in India, the markets closed flat on Tuesday. The Nifty managed to hold on to 6200, closing at 6202.80, down 2.15 points from Monday’s close. The Sensex was down around 28 points and it closed at 20864.97. The broader markets outperformed the benchmarks. On the earnings front, Hero MotoCorp will announce the earnings today. From the cement space, ACC and Ambuja Cement will also be coming out with its quarterly results later in the day. In the currency space, the dollar wobbled after disappointing US jobs data. It assured that stimulus was in place at least until early next year. The euro rose intra-day to as high as 1.379/USD, its strongest level since mid-November 2011In commodities, Nymex crude extended a sharp decline to it's lowest in nearly four months breaking below USD 98/bbl at one point. Brent prices though hold firm as signs of a near-term surplus in US crude spurred heavy selling in the trans-Atlantic spread. From precious metals space, gold prices hit at a three-week high after weak US jobs figures raised expectations no taper by the Fed well into 2014. Analysts see higher levels if the dollar weakens further today. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
