With increase India’s credit outlook, rupee movement has changed. Rupee against the dollar has become stronger now. Day trading has gone up to Rs 61.62 a dollar value that has come to Rs 61.10. About rupee is trading with a gain of 0.50 per cent.
“The S & P raised India’s credit rating from negative to stable. The domestic market has increased pressure on mcx commodity prices. Especially in gold and silver have begun to decline. Futures price of gold has again come down to Rs 27. December gold futures fell nearly 0.50 per cent. ” said 100 Mcx Tips.
MCX Gold October futures fell 0.3 per cent in the domestic market and is trading at Rs 26,860. MCX gold December futures declined by 0.5 per cent is trading at 26 940. The the move seems silver is flat and is trading at Rs 39,223.
The stock markets and currencies soared after the credit rating agency Standard and Poors (S & P) revised its outlook on India’s sovereign rating to stable from negative, although assigned the country rating remains unchanged.
“The upgraded political climate of India announced a more propitious for reform which provides a boost to the growth outlook and the potential for improved fiscal management environment,” the ratings agency said in a statement.
Indian Stock markets rose in response to the revision of perspective.
On Friday trade, Sensex closed higher by 0.60% or 157.96 points to 26,626.32 points, while overall 50-share Nifty Index of the National Stock Exchange gained 0.72%, or 57 points, to 7968.85.
In the intra-day trade Sensex fallen 0.94%, while the Nifty down 0.89%. The BSE metal index S & P was the overall winner up 2.49%. S & P Indices BSE Healthcare and BSE Bankex S & P rose 1.41% and 1.91%, respectively, followed by S & P BSE Realty Index which rose 2.27%. S & P BSE Capital Goods index rose by 1.56%.
“S & P rating outlook instead is a positive short term, reiterating what we were seeing over the past year, it is an improvement in macroeconomic fundamentals. Credit markets had already factorized this a little bit because spreads India were reduced to 150 percentage points from January, “said Ananth Narayan, financial markets head, south Asia, Standard Chartered.
IN global marketplace, Gold fell in Comex before U.S. GDP reports and inflation. Silver held gains. Gold Futures for December delivery dropped 0.2 percent to $1,219.70 an ounce on Comex. Silver gained 0.5 percent to $17.525 an ounce.