Wall Street corrected as Goldman Sachs and Pfizer disappoints, DOW30 down 1.14%, S&P500 closed with minor cuts at 0.20% & NASDAQ was up 0.14%.
Market awaits Bank of Japan policy, any change towards tight monitory policy and increasing tolerance level for JGB from existing 0.50% will be negative for emerging market.
Bank of Japan maintain yield curve control. Maintain their rate at – 0.10%. BOJ maintain 10-year bond yield target @ 0.00% for JGB.
VIX @ 14.59: within comfortable level 14 – 16.
Approach on Indices: Yesterday’s recovery in 2nd half is positive, but indices continue to trade in range 17775 – 18153 & Banknifty in range of 41597 to 42573. Range in getting narrow but clear trend awaited.
Market View: We would focus on domestic economy stocks, infrastructure & Defense stocks with a view on budget. Broadly market remain in range and wait for better clarity and break-out on upside before going aggressive long.
SGX Nifty @ 18123.50 up 47.50 points at 8:10 AM