BSE Sensex opens 103 pts down; rupee at 59.62 per dollar

Written By Unknown on Senin, 24 Juni 2013 | 10.54

09:19

Moneycontrol Bureau 
Live Market Commentary

The market has once again kick-started the week on a weak note. The Sensex opens 103.44 points down at 18670.80, and the Nifty is down 29.60 points to be at 5638.05. About 120 shares have advanced, 175 shares declined, and 39 shares are unchanged.

"No great pullback along expected lines was seen in US equities on Friday. The global environment still remains wishy-washy. It is unlikely for our market to start a major process of re-construction," says CNBC-TV18 managing editor Udayan Mukherjee. However, the only silver lining is that Brent crude is down to USD 100 per barrel, he added.

Ranbaxy will be in focus today. The Supreme Court will hear the plea against company for allegedly manufacturing and selling adulterated medicines.

Agency sources indicate there could be new bidding norms for power projects in a month's time. The power minister may release new standard bidding documents in next three-four weeks. This is the last lap of finalisation.

The unions are against the 5 percent stake sale in Neyveli Lignite divestment. The company is likely to issue a notice to management today and begin an indefinite strike.

HCL Tech is in a multi-year pact to provide IT consultancy services to Vestas.

Indian rupee fell by 33 paise to 59.60 per dollar in early trade Monday as against previous day's closing of 59.27 per dollar.

Rajeev Malik of CLSA expects the rupee to depreciate further, but the trajectory won't be a straight line.

"Given the recent outsized rupee move, it will find some near-term respite because of more measures to encourage capital inflows and the anticipated improvement in the CAD (current account deficit)," he added.

According to him, the rupee could break above 60/USD in early 2014 and possibly depreciate to 62-65/USD.

Globally, Asian markets were very quiet in the morning trade on Monday, just exhibiting some fatigue after last weeks selling rout. Further weakness in the dollar yen provided some relief for exporter companies; also the market was upbeat after the Ruling Party's victory in Tokyo metropolitan elections.


 



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