India Morning Report August 01, 2012: There you go, Dollar is down, Rupee will correct that?

 

Korean surplus of $2.7B for the month was lower yet followed the Dollar index down becoming stronger and Chinese Economic data fooled quite a few with the state sponsored PMI going to another new low but staying above 50.

Economic conditions have improved however as China’s property is returning to a comeback and both Indonesia and China reported stronger PMIs , Indonesia scoring a 51.4 and China manufacturing scoring a high49.2 on the HSBC MarkIT surveys ahead of last month’s 48. While lead times and prices are weaker in the Chinese case, in the case of indonesia they are already stroner reflecting continuing groth as the previous series was also in expansion.

Indian data as usual is likely going to be in the comfortable 50s and then next week Services data would again be leading US.

Nifty is flat, banks are yet strong, HDFC Bank should get caught up with the leaders in pricign and the Northern power grid’s woes unlikely to affect production and services further. The Rupee should strengthen further as the Euro tracks to 1.23 and the Rupee has opened at nearly the same day before yesterday levels as it is apparently rudderless, india having being read land clean like a whistle, Rupee decides to create a intra day breathing and diving range with new Olympic disciplines in and out of matter

Economically India is stronger but as the rupee says, prove it! so do equities, cautiously optimistic and apparently time for a technical dragdown to the earlier Fibonacci levels would now make extremely sensible trading.

 

Advertisements

One thought on “India Morning Report August 01, 2012: There you go, Dollar is down, Rupee will correct that?

  1. Pingback: The 11AM Update – PMI at 53 for July 2012, Rupee cracks up big gains, Retail Mall wannabes power on « A blog of blogs

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s