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European shares hold ground as investors assess earnings; focus on Fed, tariff updates

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[hfe_template id='11223'] [ad_1] European shares were little changed on Tuesday as investors assessed a spate of corporate earnings and monitored potential tariff moves, while awaiting the U.S. Federal Reserve's monetary policy decision later this week. The pan-European STOXX 600 index was flat at 537.35 points as of 0711 GMT. Other regional indexes were mixed. Investors' attention is fixed on whether the Sino-U.S. trade tensions will ease after China last week said it was evaluating an offer from Washington to hold talks over tariffs. However, the lack of concrete details on any deals between the U.S. and its partners has kept investors on edge, especially as Trump announced a new slate of tariffs. Trump, on Sunday, announced a 100% tariff on movies produced outside the U.S. and a day later said he intends to announce pharmaceutical tariffs over the next two weeks. Live Events In that light, the U.S. Fed's policy announcement on Wednesday garners increas...

Geopolitical developments, earnings to drive markets in holiday-shortened week: Analysts

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[hfe_template id='11223'] [ad_1] Geopolitical developments between India and Pakistan, quarterly earnings and macro data will be the key drivers of stock markets in the holiday-shortened week, say analysts. Trading activity of foreign investors, who were sustained buyers in the Indian market last week, and global trends would also guide movement in the market, they said. Equity markets will remain closed on Thursday for 'Maharashtra Day'. Further updates related to tariffs will also be watched by investors, experts noted. Stock markets witnessed profit-taking in the last two sessions due to increased geopolitical tensions between India and Pakistan following the death of 26 people in a terror attack on tourists at Pahalgam in Jammu and Kashmir. "The upcoming holiday-shortened week also marks the beginning of a new month, making monthly auto sales data a key area of focus for market participants. On the macroeconomic front, investors will closely track the...

European shares fall after Nvidia, ASML signal mounting corporate pain

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[hfe_template id='11223'] [ad_1] European shares slipped on Wednesday after a strong start to the week, as concerns over corporate profits deepened following news that Nvidia would shoulder billions in charges due to U.S. export curbs to China. Adding to tech woes, ASML, the world's biggest supplier of computer chip-making equipment, warned that tariffs were increasing uncertainty for its outlook for 2025 and 2026, sending its shares 7.4% lower. The pan-European STOXX 600 index fell 0.9%, as of 0706 GMT, after two days of gains although market moves were tamer compared to a week ago. Other regional indexes - Germany, France, Spain, and the UK also fell between 0.3% and 0.8%. Nvidia faced a $5.5 billion charge related to its most advanced chip available for sale in China, as U.S. attempts to keep ahead in the AI race. Live Events The European technology sector fell 3.2%, leading declines among sectors. The outlook for European corporate earnings has worsened as th...

Japan's Nikkei sinks to 1-1/2-year low as bank shares tumble

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[hfe_template id='11223'] [ad_1] Japan's Nikkei share average slumped on Monday to the lowest level in 1-1/2 years, with the index of Japanese bank stocks diving more than 17% at one point, as concerns over a tariff-induced global recession continued to rip through markets. The Nikkei dropped as much as 8.8% to hit 30,792.74 for the first time since October 2023, before ending the day down 7.8% at 31,136.58. All 225 component stocks of the index finished in the red. The broader Topix sank as much as 9.6% before closing down 7.8%. Speaking on Sunday aboard Air Force One, U.S. President Donald Trump characterized his latest round of sweeping tariffs as "medicine", and signalled a willingness to accept the market rout. Since Trump revealed the more-aggressive-then-anticipated levies last week, the Nikkei has tumbled 11.6% and the U.S. S&P 500 has dropped 10.6%. Live Events "It's extremely difficult to judge how far this stock market correction...

Japan's Nikkei dips as looming US tariff deadline spurs caution

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[hfe_template id='11223'] [ad_1] Japan's Nikkei share average declined for a third straight session on Monday as uncertainty ahead of a looming deadline for implementing additional U.S. tariffs sapped investor appetite for riskier assets. The Nikkei closed down 0.2% at 37,608.49, while the broader Topix shed 0.5% to sit at 2,790.88 after hitting an eight-month peak on Friday. The Nikkei received some support as a portion of heavyweight shares saw some buying, with AI-focused startup investor SoftBank Group climbing 3% to offer the biggest lift. U.S. President Donald Trump hinted that he would be flexible regarding a new round of tariffs set to go into effect on April 2, helping lift the S&P and Dow at the end of the week. But the benchmark Nikkei index struggled to advance on the day, seesawing between gains and losses as investors took a cautious approach to the impending tariff threat. Live Events Many important details regarding the latest tariffs are stil...

Stocks tumble, dollar firm as Trump tariff threats ruffle markets

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[hfe_template id='11223'] [ad_1] World stocks fell to their lowest levels in six weeks on Friday, and the dollar hovered near multi-week highs, as the prospect of higher U.S. tariffs sent jitters through markets and revived concerns about a global trade war. Technology shares took an additional hit following a sharp sell-off in AI darling Nvidia and other so-called "Magnificent Seven" Wall Street mega-cap stocks, as investors judged the chipmaker's earnings report harshly a day after its release. U.S. President Donald Trump said on Thursday that 25% duties on imports from Canada and Mexico will come into effect on March 4 - not April 2 as he had suggested a day earlier - and said goods from China will be subject to an additional 10% duty. This week he also floated 25% tariffs on shipments from the European Union. "A market that had reduced its sensitivity to recent tariff headlines has had to reconsider that reaction function," said Chris Weston,...

FPIs withdraw Rs 21,272 cr from equities in Feb; total outflow nears Rs 1 lakh cr in 2025

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[hfe_template id='11223'] [ad_1] The exodus of FPIs from the Indian equity markets continues as they pulled out Rs 21,272 crore in the first two weeks of this month, driven by global tensions after the US imposed tariffs on imports. This came following a net outflow of Rs 78,027 crore in January. With these, the total outflow by FPIs has reached Rs 99,299 crore -- near Rs 1 lakh crore -- in 2025 so far, data with the depositories showed. Going forward, V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services, believes that reversal of FPI strategy will happen when the dollar index moves down. According to the data, Foreign Portfolio Investors (FPIs) offloaded shares worth Rs 21,272 crore from Indian equities so far this month (till February 14). Market concerns heightened as US President Donald Trump imposed new tariffs on steel and aluminum imports and announced plans for reciprocal tariffs on several countries, Himanshu Srivastava, Associate Director-Ma...

FPIs incessant selling continues; withdraw Rs 64,000 cr from equities in Jan

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[hfe_template id='11223'] [ad_1] The exodus of FPIs from the Indian equity markets continues unabated, as they withdrew Rs 64,156 crore (USD 7.44 billion) this month so far on depreciation of the rupee, rise in the US bond yields and expectation of a tepid earning season. This came after an investment of Rs 15,446 crore in the entire December, data with the depositories showed. The shift in sentiment comes amid global and domestic headwinds. "The continued depreciation in Indian rupee is exerting significant pressure on foreign investors leading them to pull the money out of the Indian equity markets," Himanshu Srivastava, Associate Director - Manager Research, at Morningstar Investment Advisers India said. In addition to that, higher valuation of Indian equities, despite recent corrections, expectation of a rather tepid earning season and macroeconomic headwinds are making investors wary, he said. Moreover, the unpredictable nature of Donald Trump's poli...

Four of 10 most valued firms lose Rs 1.25 lakh cr in market valuation; Reliance biggest laggard

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[hfe_template id='11223'] [ad_1] The combined market valuation of four of the top 10 valued firms declined by Rs 1,25,397.45 crore last week, with Reliance Industries taking the biggest hit, in line with weak investors' sentiment at Dalal Street. Last week, the BSE benchmark index declined by 428.87 points or 0.55 per cent, and the Nifty dipped 111 points or 0.47 per cent. "It was another tough week for the Bulls, as the Nifty ended in the red for the third consecutive week. Despite favourable conditions for a comeback, the bulls failed to capitalize on them," Santosh Meena, Head of Research, Swastika Investmart Ltd, said. The market valuation of Reliance Industries slumped by Rs 74,969.35 crore to Rs 16,85,998.34 crore. The valuation of Life Insurance Corporation of India (LICI) eroded by Rs 21,251.99 crore to Rs 5,19,472.06 crore. State Bank of India's valuation diminished by Rs 17,626.13 crore to Rs 6,64,304.09 crore and that of ICICI Bank tumbled Rs...

Japan's Nikkei ends nearly flat as markets await key central bank meetings

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[hfe_template id='11223'] [ad_1] Japan's Nikkei share average ticked lower to close nearly flat on Monday, as caution ahead of major central bank meetings this week largely trumped a rise in heavyweight chip-related shares. The Nikkei erased early gains to close down 0.03% at 39,457.49, while the broader Topix shed 0.3% to 2,738.33. "There's certainly a strong sense that investors are taking a wait-and-see approach" ahead of the central bank meetings this week, said Hiroshi Namioka, chief strategist at T&D Asset Management. The U.S. Federal Reserve is widely expected to deliver another 25 basis points interest rate cut on Wednesday, putting the focus on hints regarding its rate path outlook in 2025. Meanwhile, Reuters and other media outlets have reported that the Bank of Japan is leaning toward keeping rates steady at its Dec. 18-19 meeting. Isuzu Motors, up 1.9%, was among exporter shares to gain on a softer yen, although the impact of the weaker...

Indian billionaires' wealth nearly tripled to $905 billion in 10 years: Report

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[hfe_template id='11223'] [ad_1] India has emerged as a hotspot for wealth creation in the Asia-Pacific region, with the combined net worth of its billionaires nearly tripling to $905.6 billion in 10 years as of 2024. India now ranks third globally in total billionaire wealth, behind the United States and China, a UBS report highlighted. Rising sharply from $637.1 billion in 2023, this remarkable 42% growth rate in Indian billionaires’ wealth outpaces the global average and reflects India’s rapid economic transformation, propelled by family-led businesses and structural reforms propelled by the country’s government. Over the last decade, the number of billionaires in India has grown to 185—a 123% increase, throwing light on the flourishing entrepreneurial spirit in sectors like pharmaceuticals, edtech, and fintech, the UBS report noted. UBS highlights that family-owned enterprises are central to the surging growth rate in Indian billionaires’ wealth. India boasts one of ...

FPI inflows in equities drop to Rs 7,320 crore in August due to higher valuations

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[hfe_template id='11223'] [ad_1] Foreign investors have adopted a cautious stance and infused Rs 7,320 crore in the Indian equities in August owing to high valuation of stocks and the unwinding of the Yen carry trade after Bank of Japan raised interest rates. This investment was way lower than Rs 32,365 crore in July and Rs 26,565 crore in June, according to data with the depositories. While September is likely to see continued interest from FPIs, the flows would be shaped by a combination of domestic political stability, economic indicators, global interest rate movements, market valuations, sectoral preferences, and the attractiveness of the debt market, Vipul Bhowar, Director Listed Investments, Waterfield Advisors, said. According to the data with the depositories, Foreign Portfolio Investors (FPIs) made a net investment of Rs 7,320 crore in Indian equities in August. The fundamental reason for the poor FPI interest compared to the preceding two months is the high v...

Where US stock market is headed after wild first half: 5 charts

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[hfe_template id='11223'] [ad_1] A boom in artificial intelligence fueled a blistering first half for the US stock market, and traders expect to see the same — and more — in the remainder of the year. The S&P 500 Index has climbed 14% since the beginning of January, notching its second-best stretch of records to start a year this century, thanks to a resilient economy, improved corporate earnings and torrid demand for companies linked to AI. Even with signs of economic cooling, the rally is getting help from a Federal Reserve that’s considering when to trim rates after the most disruptive tightening campaign in decades. A strong first-half in the stock market has historically boded well for the rest of the year. Whether that will be the case again is anyone’s guess, considering wild cards on the horizon. The US presidential election in November — which may move stocks haywire — is one of them. Uncertainty about the path of interest-rate cuts is another. Agencies Afte...

Divergence in foreign and local bets hints at a volatile future

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[hfe_template id='11223'] [ad_1] Mumbai: A tug-of-war between overseas fund managers and domestic individuals over Dalal Street's near-term prospects is at play. Foreigners are holding record bearish derivative bets on the Nifty as uncertainty over the outcome of the general elections is prompting them to hedge their portfolios here. Signs of renewed global investor interest in battered Chinese and Hong Kong stocks could also be driving them to be cautious about Indian equities, said analysts. Crossing swords with the sophisticated foreign institutions are domestic individual investors, who have created aggressive bullish wagers, underscoring their continued optimism over the market outlook. The Nifty has gained 2.5% in the past week while Foreign Portfolio Investors (FPIs) retained their elevated short positions in index futures and options through the third week of May. According to analysts, the net bearish positions of FPIs in index futures stood at a record 2.46...

diagnostics sector: Stock picks of the week: 4 stocks with consistent score improvement and upside potential of up to 39%

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[hfe_template id='11223'] [ad_1] Synopsis Last week’s movement of the market has brought back some memories of what happened in March 2024. Given the event risk in terms of election results, we might see higher volatility as some profit booking takes place. If one is not a trader and knows how to hedge, it would be better to be cautious before investing. If one is taking fresh exposure to equity, ensure that there is some level of quality as far as the business and fundamentals are concerned. These selected stocks depict a strong upward trajectory in their overall average score which is based on five key pillars i.e. earnings, fundamentals, relative valuation, risk and price momentum. This implies that there has been a significant improvement in their market outlook in the given time frame. Last week, bears once again made a comeback, their appearance has become more frequent and it is very likely that we are going to see them more often at least for some time. In such t...