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After largely bearish trade in the week-ended Friday, the key Indian equity indices would be driven by corporate earnings, futures and options (F&O) expiry and the rupee movement in the week ahead, analysts said. The proceedings of the ongoing monsoon session of parliament are also likely to impact the market. Further, analysts feel the result of Friday’s no-confidence motion in Parliament, which the government comfortably won, is likely to support investor sentiments in the week ahead. “Earnings season will pick up pace in the coming week, where the expectations are high. Any revival in earnings growth will provide the scope for re-rating in valuation,” said Vinod Nair, Head of Research at Geojit Financial Services. According to Delta Global Partners’ Principal Partner, Devendra Nevgi, the markets would look forward to earnings releases, particularly of HDFC Bank, ITC, Bharti Airtel and Dr Reddy’s Lab. “The outcome of the no-confidence motion against the ruling governm...

MUMBAI  – India’s rupee slipped to its weakest in more than 18 months on Wednesday, hit by higher oil prices and trade war concerns that could spark another bout of capital outflows for Asia’s third-largest economy. The rupee fell to 68.68 to the dollar on Wednesday, its lowest since Nov. 29, 2016, making it a 0.62 percent decline so far in the day from its previous close of 68.25. High oil prices will stoke inflation and widen the country’s current account deficit, adding to more selling pressure on the fragile rupee that risks destabilising the broader economy. India imports more than two-thirds of its crude requirements. Brent crude was up 30 cents a barrel at $76.61 by 0800 GMT. U.S. light crude was 25 cents higher at $70.78. “If the rupee continues to depreciate, it could trigger dollar outflows from the equity market, which can put pressure on the currency, current account deficit and could even push the balance of payments to a deficit,” said Sajal Gupta, head of f...

TOKYO  – Major currencies trod water early on Friday as investor caution prevailed ahead of Washington’s implementation of its threatened tariffs on Chinese goods and the U.S. jobs report due later in the day. The United States is due to begin collecting tariffs on $34 billion in Chinese goods at 0401 GMT on Friday. Focus has shifted to how China will retaliate and the potential volatility that could cause in the global financial markets. “As Wall Street’s gains have shown, the markets have been able to price in the tariff implementation for the most part. But there is always the risk of President Trump tweeting something out of the blue, and we also have to worry about the subsequent tariffs,” said Yukio Ishizuki, senior currency strategist at Daiwa Securities in Tokyo. U.S. President Donald Trump warned that subsequent rounds of tariffs could apply to more than $500 billion of Chinese goods – roughly the amount that the United States imported from China last year as the w...

100 day MA just ahead Today, the pair is up about $130 on the day after reaching a high of $7545.00. The run higher is approaching another key technical level at the 100 day MA (see blue line in the chart below). The price has not traded above the 100 day MA since early May.  That level comes in at $7608.82. Traders who feel the price surge is likely to run out of steam, can sell against the level with a stop above (or just take profit if long).   Those who seen open road ahead and another break and run higher want to see a move back above the 100 day MA. That would be another step in the bullish direction for the digital currency. PS Fed Chair Powell poured some cold water on Bitcoin today when he said that crypto currencies are not real currencies because they have no intrinsic value.  He also said: There are investor and consumer protection issues Cryptocurrencies are great if you are trying to hide money “Relatively unsophisticated investors se...