The Sensex is down by 40 points at 19350.32 while the Nifty is at 5727.45, down by 12 points after US government shut down for the first time in 17 years. White House has notified federal agencies to implement shutdown plans. It has also ordered government agencies to begin shutting down. The markets gained marginally at the opening bell with the Sensex is at 19452.05, up 73 points while Nifty is up 17 points at 5751.92. The rupee opened with a marginal gain of 11 paise at 62.49 per dollar versus 62.60 on Tuesday. Sensex falls marginally as US govt shuts down The markets gained marginally at the opening bell with the Sensex is at 19452.05, up 73 points while Nifty is up 17 points at 5751.92. Tirthankar Patnaik, Religare said, "We expect overall CAD for the fiscal at a much lower USD 55 billion or 3.2 per cent of GDP, thanks to a narrowing trade deficit. Concerns on the capital account have also faded after the RBI's recent steps. However, with lower growth and the Fed's 'taper' still remaining key risks for India, we maintain our 58-62/USD band for the rupee for now." Meanwhile, current account deficit (CAD) widens to USD 21.8 billion in the first quarter of the fiscal. Imports surge at a 4.7 per cent pace during the quarter, while exports decline by 1.5 per cent. Oil marketing companies are under selling pressure on price cut. After seven successive petrol price hikes, oil marketing companies cut petrol prices by Rs 3 but hike diesel prices by 50/paise a litre. BPCL loses 3 per cent, HPCL is down 2 per cent and IOC falls 2.3 per cent on the BSE. US markets finished sharply lower as the budget impasse in Washington threatens the first government shutdown in nearly 17 years, but major indices still capped a rocky month and quarter with robust gains. The Dow Jones lost nearly 130 points to close lower for the seventh session in the last 8 days. The yield on the 10-year treasury remains almost unchanged at 2.6 per cent. The CBOE volatility index jumped to near 17 levels. For the month, the Dow rallied 2.16 per cent, the S&P 500 jumped 2.97 per cent, and the Nasdaq soared 5.06 per cent. Equity markets in Asian enjoyed a modest rebound on Tuesday but investors remained on tenterhooks on the back of a likley US government shutdown. Japan's Nikkei and South Korea's Kospi were both rallying while Australia's S&P ASX 200 traded flat.
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