By Kailash Bathija and Krishna Eluri BENGALURU (Reuters) - Sensex is expected to rise next year but it may not scale record highs predicted a few months back, a Reuters Poll showed, mainly because Prime Minister Narendra Modi's shock currency ban is seen knocking economic growth in the next few quarters. Indian shares fell over 6 percent a day after the Nov. 8 announcement by Modi outlawing high-value bank notes, coinciding with a shakeout in global financial markets after Donald Trump's victory in the U.S. presidential election. "What demonetization did from an equities perspective is it added to an already lengthy list of risks, such as a impending Fed rate hike, Trump's win, corporate earnings slowdown and investor flight to higher-yielding assets," said CA Rudramurthy, managing director at Vachana Investments.
Most markets extended gains in Asia Wednesday after another record close on Wall Street but dealers were cautious after the recent Donald Trump-fuelled rally. "Right about now investment committees all over the investing universe have been sitting down trying to work out exactly what Trumponomics means for not only the nations of Asia and other emerging markets but also assets classes they invest in," Greg McKenna, chief market strategist at CFD and FX provider AxiTrader, said. The last big new event of the year comes up next week when the Federal Reserve holds its next policy meeting.
The head of Japan's SoftBank Group Corp , which in October set up a $100 billion fund for technology investments, said on Tuesday he would invest $50 billion in U.S. businesses, a move President-elect Donald Trump claimed was a direct result of his election win. The investment, which could create 50,000 new U.S. jobs, revived speculation on Wall Street that U.S. telecommunications giant Sprint Corp , 82-percent-owned by SoftBank, might rekindle merger talks with T-Mobile US Inc that died under pressure from U.S. regulators. Trump's moves since the election to engage with individual companies, while turning his back on broader, years-in-the-works trade deals, show that the President-elect is leaning on the deal-making skills he honed in the boardroom.
By Sinead Carew NEW YORK (Reuters) - Oil futures snapped a four-day rally on Tuesday on signs of higher output while the euro slipped from a three-week high ahead of a Thursday meeting of the European Central Bank. Wall Street was boosted by financial and telecom stocks while U.S. Treasury yields held in narrow ranges ahead of the ECB meeting. Italian banks rebounded. The euro fell 0.4 percent to $1.072 after rising sharply in the previous session as currency investors focused on the possibility the ECB may take a hawkish turn, even as it is widely expected to extend bond purchases. ...
Quote of the Day
The man who follows the crowd will usually get no further than the crowd. The man who walks alone is likely to find himself in places no one has ever been. -Alan Ashley-Pitt