|
|
On the radar:
-
Markets await India's January WPI inflation print (ICICI projection:5.2%YoY, market consensus:5.6%YoY), prior reading 6.16%YoY.
Central Bank Watch:
-
The Bank of Indonesia left its policy rate unchanged at 7.5% yesterday.
Global Market Developments:
-
US benchmark equity indices ended in the green yesterday, amid better than expected corporate earnings results. Meanwhile, Comcast Corp. decided to buy Time Warner Cable Inc for USD 45.2 bn, which also added to the gains. Dow Jones ended higher by 0.40% and S&P 500 ended up by 0.58%.
-
Asian stocks are trading mixed today morning. Hang Seng is trading higher by 0.52%, led by gains in information technology companies. Meanwhile, Shanghai Composite is up by 0.23% amid gains in consumer companies. However, Nikkei is trading lower by 0.69%, led by losses in developer stocks.
-
US Treasuries are trading flat today morning, holding on to yesterday's gains amid weak US retail sales print,which boosted the safe haven demand for Treasuries. Meanwhile, the bid-to-cover ratio in yesterday's auction of 30-year bonds came in at 2.27 vs. an average of 2.40 in past 10 sales. The 10-year benchmark yield fell from an intraday high of 2.78% yesterday, to end the session at 2.73%.
Domestic Market Developments:
-
The telecom spectrum auction reportedly attracted around INR 600 bn worth bids yesterday.
-
Indian equities are trading higher today, led by positive overnight cues from the US markets.
-
Indian government bonds are trading a tad higher today amid expectation of a benign WPI inflation reading.
Please find detailed currency views in the attached document.
Regards,
ICICI Bank
Contact:
Sunandan Chaudhuri
(+91-22) 4008-7525
|
|
|
