Indian shares look set to open sharply higher on Monday, mirroring positive global cues amid optimism that U.S. inflation is slowing and that consumer spending remains healthy.
More stock-specific action is likely as the earnings season picks up pace.
Ambuja Cements, HDFC Life Insurance, Hindustan Unilever, ICICI Bank, IndusInd Bank, JSW Energy, JSW Steel, Kotak Mahindra Bank, Reliance Industries, Ultratech Cement and Wipro are among the prominent companies that will unveil their quarterly earnings results this week.
The Reserve Bank of India (RBI) said in its July bulletin that there is a need for frontloading of monetary policy actions to keep inflation expectations firmly anchored and re-align inflation with the central bank’s target.
Asian markets rose this morning, with Japanese markets closed for a holiday.
The dollar nudged down from multi-year highs as investors await details on the ECB’s anti-fragmentation tool that will help ease pressure on borrowing costs for the Union’s most indebted members.
Oil prices fell $1 a barrel in Asian trading after rallying around 2 percent on Friday.
U.S. stocks rallied on Friday as a new round of earnings results from Wells Fargo, Citigroup and UnitedHealth coupled with promising retail sales and consumer sentiment data painted a positive picture of the economy.
The Dow jumped 2.2 percent and the S&P 500 surged 1.9 percent to snap five-day losing streaks, while the tech-heavy Nasdaq Composite added 1.8 percent.
European stocks also closed on a strong note Friday after two hawkish Fed policymakers pushed back on the prospect of a 100-bps rate cut.
The pan European Stoxx 600 jumped 1.8 percent. The German DAX soared 2.8 percent, France’s CAC 40 index climbed 2 percent and the U.K.’s FTSE 100 advanced 1.7 percent.
Market Analysis
Sensex, Nifty Set To Follow Global Peers Higher
2022-07-18 02:54:02
