Indian markets likely to be rangebound on Wednesday. Stocks were steady in early Asian trade on Wednesday as investors awaited the signing of an initial US-China trade deal, with sentiment somewhat dented by comments from the US Treasury Secretary that tariffs would remain in place for now.

MSCI’s broadest index of Asia-Pacific shares outside Japan eased 0.13%, Japan’s benchmark Nikkei and South Korea’s Kospi shed 0.29% and 0.48%, respectively, while Australian stocks added 0.33%.

Treasury Secretary Steven Mnuchin said late Tuesday that the United States would keep in place tariffs on Chinese goods until the completion of a second phase of a US-China trade agreement.

The news came hours before the signing of a preliminary trade agreement to ease an 18-month-old trade war between the world’s two largest economies.

Wall Street stocks dipped on Tuesday, reversing earlier intraday record highs, after media reported the United States would likely maintain tariffs on Chinese goods past November’s presidential election.

US Treasury yields ticked down as investors took stock of weaker-than-expected consumer prices and the expected signing of the interim trade deal, with benchmark 10-year note yield falling to 1.807%.

Markets were also absorbing news the US government is nearing publication of a rule that would vastly expand its powers to block shipments of foreign-made goods to China’s Huawei, as it seeks to squeeze the blacklisted telecoms company.

Back home, Yes Bank Ltd is recasting its capital-raising strategy, part of which involves abandoning its quest for big-ticket cheques in favour of relatively smaller and more frequent share sales. While the private lender’s overall capital-raising target remains $2 billion, it now plans to raise the money in multiple tranches of around $400-500 million, according to a Mint report.

Kishore Biyani-led Future Retail Ltd, which runs the Big Bazaar chain of stores, on Tuesday raised $500 million through dollar-denominated bonds. The Future Retail board had approved the fundraising exercise on 4 January to finance the purchase of retail assets from group company Future Enterprises Ltd.

IT services major Wipro on Tuesday posted 2.17 % dip in consolidated net profit to 2,455.9 crore for December 2019 quarter. Its revenue from operations grew 2.7 per cent to 15,470.5 crore during the period under review from 15,059.5 crore in the same quarter last year (as per Ind-AS).

In the currency market, the Japanese yen reversed earlier losses against the dollar as news US tariffs would remain on Chinese goods through the US election hurt risk sentiment.

The yen was last changing hands at 109.95 yen to the dollar, flat on the day, after hitting its weakest in near 8 months of 110.22 yen previous day.

The euro was last traded at $1.1129, also little changed on the day. The offshore yuan weakened to 6.899, after rising to 6.865 per dollar, the strongest since July 11, on Tuesday. The dollar index against a basket of currencies was flat at 97.367

Oil prices edged higher on Tuesday after five days of declines as the United States and China prepared to sign the preliminary trade deal and as Middle East tensions eased.

In early Asian trade on Wednesday, US West Texas Intermediate (WTI) crude slipped 0.1% to $58.17 per barrel.

(Reuters contributed to the story)

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