Sensex back in green, rises 51 points ahead of GDP data

The BSE Sensex recovered about 51 points and the NSE Nifty scaled the 8,900-mark in early trade today as investors took to buying ahead of GDP data scheduled to be released later in the day amid firm global cues.
    
The 30-share index was trading higher by 50.53 points or 0.18 percent, to 28,863.41 with the sectoral indices led by consumer durables, capital goods, healthcare, metal, auto and banking trading higher by up to 0.58 percent.
    
The gauge had lost 80.09 points in the previous session.
    The NSE Nifty too was up 13.80 points, or 0.16 percent, to 8,910.50.

Brokers said buying by domestic institutional investors took off well today alongside a firming trend in other Asian markets. US President Donald Trump's speech at a joint session of Congress later in the day will also be keenly watched.

    

Among other Asian markets, Hong Kong's Hang Seng was up 0.02 percent, Japan's Nikkei gained 0.69 percent, while Shanghai Composite Index was up 0.13 per cent in early trade today.

    

The US Dow Jones Industrial Average ended 0.08 percent higher in yesterday's trade.

The S&P BSE benchmark Sensex trimmed its early gains in late morning trade and was quoting higher by 3 points on renewed selling pressure in refinery stocks despite buying in Capital Goods, Auto, Banking and Healthcare sectors. Foreign capital outflows affected the market sentiment.

Foreign funds sold shares net of Rs 145.55 crore yesterday as per the provisional data issued by stock exchanges. The Sensex resumed higher at 28,825.19 and firmed up further to 28,876.54 on initial buying but fell afterwards to 28,797.21 before quoting at 28,816.13 at 1030hrs, still showing a gain of 3.25 points, or 0.01 pct.

The NSE 50-share Nifty eased by 2.65 points, or 0.03 per cent, to quote at 8,894.05 at 1030hrs. Major losers were Coal India 2.09 pct, Bajaj Auto 0.81 pct, HUL 0.68 pct. Tata Motors 0.55 pct and TCS 0.54 pct. However, Bharti Airtel firmed up by 1.08 pct, SBI 0.82 pct, Adani Ports 0.81 pct, Larsen 0.74 pct and Maruti 0.71 pct.

In the overseas market, most Asian shares rose today in early trade bolstered by gains on Wall Street as investors awaited a speech by US President Donald Trump for signals on tax reform and infrastructure spending.

US stocks pushed further into record territory on yesterday as the Dow Jones industrial average closed at a record high. The Standard & Poor's 500 index also closed at a record high.

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SENSEX PARES INITIAL GAINS, SLIPS 18 POINTS

The BSE benchmark Sensex pared preliminary good points and slipped by 18.37 points in late morning exchange on profit-reserving led by means of Realty, consumer sturdy, power, Auto and Telecom sectors beforehand of January Inflation information (CPI) later nowadays. traders flip cautious after disappointing IIP quantity which shriveled to 4-month low of 0.four per cent in December. meanwhile, metallic, Utilities, IT and FMCG witnessed buying interest.

The 30-share index opened larger at 28,450.42 and moved in a range of 28,458.eighty and 28.309.fifty eight. It used to be quoting at 28,315.88 At 1100 hrs, showing a loss 18.37 points, or zero.06 per cent over its remaining close. The NSE 50-share Nifty was once also trading marginally lower with the aid of 3.30 points, or zero.04 per cent, at eight,790.25. amongst major losers have been: Coal India 1.86 per cent, SBIN 1.39 per cent, Maruti zero.75 per cent and Heromotoco zero.sixty nine per cent. on the other hand, Tata steel received by way of 1.forty eight per cent, followed by means of HUL 1.12 per cent, PowerGrid 1.08 per cent and Wipro 0.ninety six per cent.

in the meantime, international portfolio investors (FPIs) sold shares value a net Rs 504.51 crore ultimate Friday, as per provisional knowledge released by way of the stock exchanges. in another country, Asian shares rose helped through renewed optimism over Donald Trump’s tax reform plans and his alternate of tack to honour the one China policy and upbeat global economic information. the united states stocks logged document closing highs on last Friday, marking the first grand slam in two months as small capitalisation stocks have caught as much as their higher brethren. this is published unedited from the PTI feed.

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Sensex climbs 126 points, Nifty breaches 8,800-mark

BSE benchmark Sensex surged over 126 points and NSE Nifty reclaimed the eight,800-stage in early exchange on Friday as home traders and international dollars indulged in sustained buying ahead of key industrial output numbers to be launched later in the day.

along with, higher-than-expected revenue through some extra corporations additionally fuelled the certain sentiment.

in the case of international cues, firming trend at other Asian bourses, tracking in a single day gains on the U.S. markets after President Donald Trump promised to unlock a so much-anticipated plan for tax cuts quickly, boosted buying and selling momentum here.

The 30-share Sensex was once higher by way of 126.forty eight points, or zero.44 per cent, at 28,456.18 with sectoral indices led through banking, metal, capital items, healthcare and IT buying and selling in the sure zone.

The gauge had received 39.seventy eight points in Thursday’s trade. The broader NSE Nifty too rose by 44 factors, or zero.50 per cent, to 8,822.10.

Brokers mentioned build up of positions by individuals ahead of key economic data — industrial production (IIP) for December — to be released after market closing on Friday, had a significant affect on the buying and selling sample on domestic bourses.

Globally, Japan’s Nikkei climbed 2.36 per cent, while Hong Kong’s dangle Seng moved up 0.fifty one per in early alternate. China’s major Shanghai Composite Index was once also up by means of zero.33 per cent.

The U.S. Dow Jones Industrial average ended at file high by means of surging zero.59 per cent in Thursday’s alternate.

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The US stock market is 'fragile' right now, expert says

investors' enthusiasm for President Donald Trump's guarantees of tax cuts, deregulation and financial stimulus has left the market in a "fragile spot," expert Ernesto Ramos warned Tuesday.

that is as a result of they are not necessarily taking into consideration the general image, he instructed CNBC.

"one hundred percent of the prospective positives which were announced … by the Trump administration were priced in by means of the markets and as far as we are able to inform very little of the prospective negatives when it comes to exchange wars ... immigration and even perhaps geopolitical risks have been priced in," the top of equities at BMO world Asset administration stated in an interview with CNBC's "energy Lunch."

shares soared after Trump's election as buyers cheered his professional-growth message. the key indexes have just lately held around all-time highs as buyers wait for more details on the administration's policies.

while he sees near-term risks in the market, Ramos said he nonetheless needs to own equities. he is simply now not going with the consensus of investing in professional-boom, cyclical shares.

"We need to be uncovered to equities because we see the prospective positives coming through. then again we wish to do it a protecting low-risk means," he stated. "we're taking a look actively for underpriced, low-chance stocks to place our money, with secure working revenue fashions."

He particularly likes Verizon, American express and CVS.

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Sensex Edges decrease On warning ahead Of funds

Indian shares edged lower on Monday after four straight periods of gains on warning ahead of the federal finances, while broader sentiment was additionally hit by way of fears about the affect of U.S. President Donald Trump's immigration curbs.

executive is because of existing its 2017/18 budget on Wednesday, with shares remaining week posting their largest weekly good points in eight months on hopes the federal government will announce incentives to ease the affect from a bold and unsafe gamble to outlaw high-price previous forex bills.

however additional warning set in on Monday, especially as Asian shares fell on concerns that Trump's ban on the entry of refugees into the U.S. would show destabilising for the remainder of the sector.

"Markets are somewhat wary of what lies in the price range and have most certainly have rallied too a long way on the belief that some good is in the offing," said Saurabh Jain, assistant vice-president of analysis at SMC global Securities.

The broader NSE Nifty was down 0.14 p.c at 8,629.05 with the aid of 0546 GMT, while the benchmark BSE Sensex was once 0.06 p.c decrease at 27,866.14.

each indexes had risen greater than three % closing week in their biggest weekly good points when you consider that late may.

IT shares contributed to a majority of the losses on the NSE index. The Nifty IT index fell 1.15 percent, dragged down with the aid of Infosys Ltd and Tata Consultancy products and services Ltd, which misplaced over 1.40 p.c each and every.

investors additionally booked profits in latest outperformers: the Nifty financial institution index, which led gains ultimate week, fell zero.40 %, dragged down through HDFC bank Ltd and Kotak Mahindra bank Ltd. The index had received 4.seventy two % closing week.

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Trump targets Toyota over Mexican-built cars, Nissan faces bigger risk

US President-elect Donald Trump has threatened Toyota Motor Corp over its Mexican-built cars, but the biggest risk from a punitive tariff would be for its compatriot Nissan Motor Co, the largest automaker operating in the country.

Trump has criticised US companies like General Motors and Ford Motor Co which manufacture abroad, accusing them of costing US jobs. On Thursday he took on Toyota, warning the world's largest automaker that it would face a "big border tax" if it exported Mexico-built cars to the US market.

But it is Nissan, Japan's second-largest automaker, which would be the bigger victim of any tax punishment. Nissan built its first overseas plant in Mexico in 50 years ago and now produces more than 8,00,000 cars there, mainly its entry-level Versa and Sentra sedans.

Nissan's production dwarfs that of Toyota, Honda Motor Co and Mazda Motor Corp in Mexico. It exports roughly half of its output to the United States, where it also has production plants.

Vehicles made in Mexico comprise roughly one-quarter of Nissan's total US vehicle sales, industry experts say, compared with around 30 per cent for smaller rival Mazda, but less than 10 per cent for Toyota and Honda.

Japanese automakers together produced around 1.4 million vehicles in Mexico in the year ended March, nearly 40 per cent of the country's total output. According to the Japan External Trade Organization, they plan to ramp up production to 1.9 million by 2019.

Current production in Mexico is dwarfed by the number of cars they produce in the United States, their single largest market, where Japan's top three automakers alone produced around 4 million vehicles in 2015.

Trump has said he plans to renegotiate the North American Free Trade Agreement between the United States, Canada and Mexico, and has vowed to impose a 35 per cent tariff on cars exported to the United States from Mexico.

According to JP Morgan estimates, an increase in tariffs on cars exported from Mexico to the United States to even 10 per cent would hit Nissan's consolidated operating earnings by 10.3 per cent, more than 5.5 per cent at Mazda. Toyota would see a hit of 0.7 per cent, while Honda 2.2 per cent.

All four Japanese automakers building cars in Mexico said they have no immediate plans to change operations. But Nissan and Renault SA (RENA.PA) CEO Carlos Ghosn told  he was watching the incoming Trump administration closely and would respond to whatever policies it adopts.

"I don't want to preempt or try to guess what's going to happen," Ghosn said in an interview on Thursday, on the sidelines of the CES (Consumer Electronic Show) technology show in Las Vegas, Nevada.

"It's not a question that we are afraid or not afraid, we're dealing with 160 markets in the world, different powers, different policies, different approaches, so we are used to adapting our strategy to different policies," he said.

One Asian auto executive told Reuters his company long ago made a strategic decision to make Mexico a production hub in North America, and that it is tough to alter its strategy overnight.

"We can't turn back the clock on these decisions," said the executive, who did not have clearance to speak to media and so declined to be identified.

"What we need to explain more clearly (to Trump) is that most automakers are not cutting production capacity or jobs in the United States to make Mexico an additional production hub."

Still, analysts said automakers would likely think twice about expanding production in the country in the coming years.

"As long as this administration is in place I suspect (Nissan is) not going consider any additional capacity there," CLSA analyst Chris Richter said.

Trump's criticisms come just as Japanese automakers are shuffling their production portfolios to boost supply of popular, higher-margin sport utility vehicles (SUV) and trucks for the U.S. market.

Honda last year announced it would expand its U.S. production capacity to build more of its CR-V SUV, while shifting production from Mexico.

Toyota has said that its Guanajuato plant under construction in Mexico will produce the entry-level Corolla sedan, a vehicle segment currently produced at its plants in Mississippi and Ontario, Canada. Demand for the cars has slumped in recent years as cheap gasoline prices has prompted drivers to buy more SUVs.

"We're always considering ways to increase production in the United States, regardless of the political situation," Toyota President Akio Toyoda told reporters on Thursday.

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