India : Sensex, Nifty open at new 2016 high; Midcap at 11-month high
The market has opened at new 2016 high while the midcap index is at 11-month high. The Sensex is up 368.52 points or 1.4 percent at 27495.42, and the Nifty is up 104.45 points or 1.2 percent at 8427.65. About 932 shares have advanced, 111 shares declined, and 36 shares are unchanged.ICICI Bank, BHEL, Tata Motors, Bharti and L&T are top gainers.
The Indian rupee gained in the early trade. It has opened higher by 24 paise at 67.12 per dollar versus 67.36 Friday.
Pramit Brahmbhatt of Veracity said, “Rupee is expected to trade with a positive bias, taking cues from global equity market. The trading range for the spot USD-INR pair will be 67-67.50/dollar.”
Midcap index is at record high, up over 1 percent at 14238. Jindal Steel, LIC Housing Finance, Bank of India, Cadila Health and Berger Paints are top gainers in the index. Shree Cement, I-bulls Hsg & IOC Top Contributors To Midcap Index Gainers.
Around 89 percent of the country has received normal and excess rainfall, owing to a good amount of monsoon in several parts, while large parts of Gujarat have recorded deficiency of more than half. Overall, the country has recorded 254 mm of rainfall from June 1 to July 10, as against 251 mm, which is one percent more. The India Meteorological Department said 26 percent of the country has received “excess” rainfall while the 63 percent “normal” rainfall. Only 11 percent has received “deficient” rainfall. However, according to the IMD, the rainfall deficiency in the east and northeast region of the country has reached a whopping 21 percent. Only four sub-regions have, until now, recorded deficient rainfall.
Two US lawmakers have introduced a new bill in the House of Representatives that proposes to prevent IT companies from hiring more H-1B workers if a maximum of 50 or 50 percent of their employees are already on H-1B/L1 visas.
Speaking to CNBC-TV18, NASSCOM President R Chandrashekhar said the proposal is a long way off from becoming law and is unlikely to be passed before the presidential elections later this year.
The Bill is yet to be tabled in the Senate and post that it needs to be signed into law by the President.
Industry expert Moshe Katri termed the news as “noise”, saying it could be just “election propaganda”.
Asia enjoyed a relief rally as upbeat US jobs data lessened immediate concerns about health of the world’s largest economy, though long-run fallout from Brexit kept sovereign yields near record lows.MSCI’s broadest index of Asia-Pacific shares outside Japan, While Australia added 1.3 percent. Japan’s Nikkei climbed 2.9 percent in the wake of a clear win by the government in upper house elections.
Prime Minister Shinzo Abe’s ruling coalition won a landslide victory giving it the power to potentially revise the nation’s post-war pacifist constitution for the first time.
One major event this week will be a Bank of England meeting on Thursday when it might well cut its 0.5 percent rate to offset the drag from the vote to leave the European Union.
Meanwhlie, among other asset classes sterling was stuck at USD 1.2948, having failed utterly to rebound from the 13 percent loss suffered in the immediate wake of Brexit.
The Japanese yen eased a little to 100.80 per dollar, while the euro stayed on the defensive at USD 1.1043having touched a low of USD 1.1003.
In commodity markets, spot gold was a shade higher around USD 1,369.70 per ounce. Crude prices edged down to near two-month lows on seasonally weak consumption, despite comments from Saudi Arabia’s oil minister that the oil market was becoming more balanced.
