Market Snapshot – Markets Move Towards Tepid Close

As was widely expected, the week is drawing to a close with most of the markets in a consolidation mode. It is the third week of the month and with economic news and events drying up during the course of the week, there isnt many market drivers around and that is why we have been seeing the markets in a consolidation mode. They are likely to waken up from their slumber only towards the end of next week as the month end flows begin to pick up. Stocks have been mixed today with the DAX close to ending a volatile week, when it pushed to new highs beyond 12900, within the usual range. The PMI data has not shaken the European markets and they are drawing towards a tepid close.

On the FX front, the dollar has been on the defensive over the last couple of days as the traders and investors have been taking some profits off the table. The dollar selling is picking up as we move towards the end of the week and the market is a bit jittery with the economic news from the US, however little it might have been this week, showing up to be mixed.

Gold has moved towards the 1260 region during the course of trading today and has been correcting since as the investors have been taking some of the profits made over the last couple of days. This has been on expected lines and it remains to be seen whether the prices would be able to surmount the resistance in the 1260 region in the short term.