Election results, oil prices to direct equity indices movements | WeForNews | Latest News, Blogs Election results, oil prices to direct equity indices movements – Market Outlook – WeForNews | Latest News, Blogs
Connect with us

Published

on

Mumbai, Dec 9 : The outcome of Assembly elections in five states, along with fears over an escalation in US-China trade war and volatility in crude oil prices, are expected to determine the trajectory of the key Indian equity indices next week.

Market observers opined that the direction of foreign fund flows in the backdrop of US Fed’s policy decision, coupled with the upcoming macro-economic data points on industrial production and inflation will also affect investor sentiments.

“Going into the next week, undoubtedly the outcomes of state elections, US Federal Reserve policy meet and other developments from the global arena will dictate the trend of the market,” said SMC Investments and Advisors’ Chairman and Managing Director D.K. Aggarwal.

On Tuesday, December 11, the results of state Assembly elections in Rajasthan, Madhya Pradesh, Chattishgarh, Telangana and Mizoram will be declared. These elections are considered as a crucial indicator of public mood before the Lok Sabha elections which are due in April-May 2019.

“In the week ahead, Indices are also likely to face pressure from a global sell-off and renewed up-tick in crude oil prices,” said Sahil Kapoor, Chief Market Strategist, Edelweiss Investment Research.

“State election results can cause markets to remain volatile and 1 per cent plus intra-day moves may be a common place.”

Besides the outcome of the state elections, an escalation in global trade protectionist measures after the arrest of Huawei’s Global CFO over alleged violation of US sanctions on Iran is expected to exert pressure on the indices.

Even an anticipated rise in crude oil prices after the Organisation of Petroleum Exporting Countries (OPEC) and Russia decided to go in for a production cut of 1.2 million barrels per day from 2019 might hinder the markets’ attempts to edge higher.

The brent crude oil was priced at over $63 per barrel last Friday.

Additionally, investors will remain cautious over an expected hike in US interest rates which can potentially drive away foreign portfolio investors (FPIs) from emerging markets such as India.

Last week, provisional figures from the stock exchanges showed that foreign institutional investors (FIIs) sold stocks worth Rs 865.52 crore during the week ended December 7.

These factors are also expected to exert pressure on the Indian rupee.

According to Anindya Banerjee, Deputy Vice President for Currency and Interest Rates with Kotak Securities, the Indian rupee is expected to range from 70.50 and 72.50 against a US dollar in the coming week.

“With exit polls showing the risk of a BJP loss in key states of Rajasthan and MP, USD/INR can rally on Monday morning due to short covering from traders who are short on the US Dollar,” Banerjee told IANS.

“Next week will be dominated by the election results. If BJP retains MP and at least one from Chhattisgarh and Rajasthan, then rupee can rally. However, a BJP loss can be negative for INR. The range can be large. It can between 70.50 and 72.50.”

However, in the past week, the local currency moved Rs 1.21 from its previous week’s close of Rs 69.59. The rupee closed at 70.80 a US dollar last Friday.

Apart from the rupee movement, markets will take cues from the macro-economic data points such as the IIP (Index of Industrial Production) and Balance of Trade figures.

The Central Statistics Office (CSO) is slated to release the macro-economic data points of IIP and CPI (consumer price index) on December 12, Wednesday.

Other key data points such as the wholesale price indexed-inflation (WPI) and the Balance of Trade data will be released on December 14.

On technical charts, the trajectory of National Stock Exchange (NSE) Nifty50 is expected to be volatile.

“Technically, while the Nifty has corrected sharply this week, the index has managed to bounce back and hold above the 50-day SMA. This gives the bulls a chance to make a comeback,” HDFC Securities’ Retail Research Head Deepak Jasani told IANS.

“Further, upsides are likely once the immediate resistances of 10,775 points are taken out. Crucial supports to watch for any weakness are at 10,588 points.”

Last week, the Indian equity indices dipped over concerns of a resurgence of US-China trade tensions and reports of crude oil supply cut.

Consequently, the S&P BSE Sensex lost 521.05 points, or 1.43 per cent, to close at 35,673.25 points, whereas the 50-share NSE Nifty declined 187.05 points, or 1.71 per cent, to settle at 10,693.70 points.

(Rohit Vaid can be contacted at [email protected])

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

one × four =

Analysis

31% Goa IT workers battle hypertension, 40% overweight: Study

“Thirty seven (31.4 per cent) had hypertension, 50 (42.4 per cent) suffered from pre-hypertension… 13 (11.2 per cent) had diabetes mellitus and three (2.5 per cent) blood sugar in pre-diabetic range,” the study noted.

Published

on

working pressure hypertension

Panaji, Jan 20 : Nearly 31 per cent of the IT sector workforce in Goa suffers from hypertension whereas more than 40 per cent are either overweight or obese, a cross-sectional study of IT professionals working in the coastal state has revealed.

“A majority of the 118 surveyed employees — 63 (53.4 per cent) — had normal range body mass index, seven (5.9 per cent ) were underweight, 40 (33.9 per cent) overweight, six (5.1 per cent) class I obesity and two (1.7 per cent ) class II obesity,” the study by Preksha P Vernekar, Kalyani and Jagadish A Cacodcar said.

“Thirty seven (31.4 per cent) had hypertension, 50 (42.4 per cent) suffered from pre-hypertension… 13 (11.2 per cent) had diabetes mellitus and three (2.5 per cent) blood sugar in pre-diabetic range,” the study noted.

“A significant prevalence of lifestyle diseases is noticed among the participants in the study. Lifestyle diseases like hypertension, diabetes, dyslipidaemia and overweight/obesity are major risk factors for the development of cardiovascular disease,” as per the study published in the Epidemiology International journal.

Considerable pre-hypertension cases raised concern over possible cardiovascular morbidities along with complications in due course of time, the research paper’s authors pointed out.

The study data was collected from health records of 118 IT professionals working in four top Information Technology firms in Goa, whose government is pitching the coastal state as a destination for IT start-ups.

The study authors, all medical professionals working at the state’s top government-run medical facility, also underlined the need for periodic health checkups to ensure timely detection and early management of health problems.

“The companies should have mandatory periodic health check-ups of their employees, preferably at their health centres, to gain better insight into their general health status.

“Pre-placement examination of employees is must to know their working capacity so as to ensure ergonomics as well as to procure first-hand knowledge on health problems workers may be suffering from before employment,” the study recommended.

The study suggested the introduction of stress-busting modules in the IT work space to ensure better physical and mental health of staff, which ensured better performance by the workforce.

“Health education on diet, physical activity and relaxation techniques such as yoga and meditation can be imparted to employees. These steps will finally improve their performance and in turn lead to decreased incidence of morbidities, absenteeism due to sickness and job stress, thereby leading to optimum work output,” the study said.

Continue Reading

Analysis

Housing sales fell 30% in October-December: Report

For the period, April-December 2019-20, sales at 2,28,220 units fell by 13 per cent, compared to 2,63,294 units last year.

Published

on

By

Real Estate Sector

New Delhi, Jan 14 : Sales in the residential real estate segment declined 30 per cent during the October-December quarter on a year-on-year basis across nine major cities in the country, a PropTiger report said on Tuesday.

A total of 64,034 homes were sold across nine key markets during the third quarter of the financial year 2019-20.

“Housing sales in India’s nine key property markets fell 30 per cent annually during the October-December quarter despite the government launching several measures in the recent past to revive buyer sentiment. As against 91,464 units sold during the quarter last year, only 64,034 homes were sold across the nine markets in Q3 this year,” it said.

Mumbai contributed nearly 40 per cent to the overall sales numbers during the period under review, as per the report.

“What points towards a nation-wide phenomenon, sales declined across all these markets, with Bengaluru, popularly known as India’s Silicon Valley, registering a 50 per cent fall in sales numbers.”

For the period, April-December 2019-20, sales at 2,28,220 units fell by 13 per cent, compared to 2,63,294 units last year.

New project launches in India’s nine key residential markets continued to decline, falling 44 per cent year-on-year to 41,133 units during the October-Decmber quarter, primarily on liquidity concerns, the report said.

“Only 41,133 units were launched in Q3 FY20, as against 73,226 units in the corresponding period last fiscal, the report shows. New launches fell across markets, with Kolkata and Gurugram seeing the biggest fall, at 79 and 74 per cent, respectively,” it said.

Nearly 40 per cent of new launches were concentrated in India’s financial capital Mumbai. Affordable housing continued to dominate launches, with 52 per cent units launched in this segment across the major cities.

Compared to the first nine months (April-December) of the previous financial year, launches declined by 32 per cent during the same period in the current fiscal. While 2,15,596 units were launched between April and December in the previous year, 1,45,852 units were launched during the same period this year, it added.

The cities covered under the survey were Ahmedabad, Bengaluru, Chennai, Gurugram, Hyderabad, Kolkata, Mumbai (including Navi Mumbai and Thane), Pune and Noida, including Greater Noida and the Yamuna Expressway.

Continue Reading

Analysis

One unemployed committed suicide every hour in 2018: NCRB

Of the total suicides by unemployed persons, males are 10,687 while the females are 2,249.

Published

on

Man suicide

New Delhi, Jan 10 : In a shocking revelation, one unemployed person committed suicide every hour during 2018 when a total of 1,34,516 suicides, including 92,114 male and 42,391 female, were reported in the country, NCRB’s “Suicide in India 2018” says.

The latest data, issued by the National Crime Records Bureau (NCRB), which comes under Ministry of Home Affairs, last week reveals that a total of 12,936 unemployed persons committed suicide in 2018, which accounted for 9.6 per cent of the total suicides, and were of aged below 18 years to above 60 years.

Those below 18 years include 31 males and nine females while those between 18 and 30 years comprise 1,240 male and 180 female. A total of 868 male and 95 female were aged between 30 and 45 years. A number of 237 males and 21 females were aged between 45 and 60 years while 2,431 males and 310 females were above 60 years.

Of the total suicides by unemployed persons, males are 10,687 while the females are 2,249.

The highest number of suicides – 12.3 per cent – committed by unemployed persons were in Kerala (1,585 out of 12,936 suicides), 12.2 per cent in Tamil Nadu (1,579), 9.7 per cent in Maharashtra (1,260 suicides), 8.5 per cent in Karnataka (1,094 suicides) and 7 per cent in Uttar Pradesh (902 suicides).

“Each suicide is a personal tragedy that prematurely takes the life of an individual and has a continuing ripple effect, dramatically affecting the lives of families, friends and communities. Every year, more than 1 lakh people commit suicide in our country. There are various causes of suicides like professional/career problems, sense of isolation, abuse, violence, family problems, mental disorders, addiction to alcohol, financial loss, chronic pain etc,” says the NCRB adding it collects data on suicides from police recorded suicide cases.

As per the NCRB, rate of suicides has been calculated using projected population for the non-census years whereas for 2011, the population of the Population Census 2011 was used.

The NCRB data says that a total of 1,34,516 suicides were reported in the country during 2018 showing an increase of 3.6 per cent in comparison to 2017 and the rate of suicides has increased by 0.3 during 2018 over 2017.

Government servants accounted for 1.3 per cent (1,707 out of 1,34,516) of the total suicide victims as compared to 6.1 per cent (8,246 out of 1,34,516) of total victims from Private Sector Enterprises.

Employees from Public Sector Undertakings formed 1.5 per cent (2,022 out of 1,34,516) of the total suicide victims, whereas students and unemployed victims accounted for 7.6 per (10,159 victims) of total suicides. Self-employed category accounted for 9.8 per cent of total suicide victims (13,149 out of 1,34,516).

A total of 10,349 persons involved in farming sector (consisting of 5,763 farmers and cultivators and 4,586 agricultural labourers) have committed suicide during 2018, accounting for 7.7 per cent of total suicides victims (1,34,516) in the country.

A total of 11 transgenders have committed suicide in which three were daily wage earners, one each were ‘professionals and salaried persons’ and ‘unemployed persons’ while six falls under ‘Other Persons’.

(Rajnish Singh can be contacted at [email protected])

Continue Reading
Advertisement

Most Popular