Cues that may help you trade better today - Moneycontrol.com

Excerpts from Power Breakfast on CNBC-TV18 Watch the full show »

The Wall Street bounced back on Thursday boosted by positive earnings and on the back of the US economy expanding 3.2 percent. Europe too closed higher. In Asia, Japan opened positive in morning trade. However, trading volumes were thin due to the Chinese New Year holidays.

Back home, the 30-share BSE benchmark fell more than 300 points intraday on Thursday before recouping half of the losses in last hour of trade. Further tapering by Fed and weak China PMI dampened sentiment across the globe.

Also Read: Rajan calls LPG cap hike `misdirected subsidy'

The 50-share NSE Nifty closed below the 6,100 level on expiry day for January series derivative contracts, losing 46.55 points to 6073.70. The Sensex was down 149.05 points to 20,498.25, continuing downward move for the fifth consecutive session.

Meanwhile, the Reserve Bank governor Raghuram Rajan batted for the Urjit Patel panel recommendation for a monetary policy committee - saying it's better for a group of experts to take policy decisions than just the governor. According to him, it will put India on par with global peers.

RBI also put in rules for early recognition and resolution of bad loans. It also imposed penal provisions if NPAs were not resolved early.

Earnings:

Hero Motocorp  disappointed with its third quarter numbers. The company's net profit grew 7.5 percent, much below street expectations. Higher costs, tax expenses and ad spends took a toll.

In important earnings today,  Punjab National Bank will report numbers today. According to a CNBC-TV18 poll, net interest income is expected to grow 10 percent, but profits may decline 28 percent to Rs 934 crore year-on-year. Asset quality continues to be a key concern which is expected to remain elevated but moderate quarter-on-quarter.

USA

US stocks jumped on Thursday, with the S&P 500 on track for weekly gains, as companies including Facebook reported better-than-expected quarterly results.

On the economic data front - the first estimate of fourth quarter GDP shows that the US economy expanded at 3.2 percent during the quarter. This number is in line with forecasts and follows on the heels of a 4.1 percent growth rate in the third quarter.

Weekly jobless claims showed that applications for benefits climbed by 19,000 for the week ended January 25. This number is significantly higher than forecasts.

In the housing space, pending home sales plunged 8.7 percent in December.

In key earnings, Facebook reported fourth quarter numbers, revenue jumped 63 percent for the quarter, speeding past estimates. That number was boosted by advertising revenue that rose 76 percent year on year. Mobile ad revenue in particular boosted revenue. Earnings rose to 31 cents a share. That was almost double compared to the same period a year ago.

Currencies:

In the currency space, dollar rose to 1-week high against a basket of major currencies. The euro slipped to 1.35 levels.

Crude:

Brent crude remained largely unchanged at USD 107 per barrel

Gold:

From the precious metals space, gold snapped its rally. Fell 1 percent as strong US economic growth boosted global equities and the dollar.

via Business - Google News http://ift.tt/1ecdty4

Put the internet to work for you.

via Personal Recipe 2910127