The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open on a tepid note on Wednesday, following weakness in global markets.
Asian markets traded lower, while the US stock market declined overnight, with the S&P 500 posting a four-day drop, its longest losing streak in three months.
On Tuesday, the Indian stock market ended lower, with the benchmark indices snapping their six-day winning run.
The Sensex declined 277.93 points, or 0.33%, to close at 84,673.02, while the Nifty 50 settled 103.40 points, or 0.40%, lower at 25,910.05.
“We expect further consolidation to persist, which would be healthy as long as the Nifty 50 holds above its key short-term support — the 20-DEMA, which currently lies around 25,700. Participants should continue to prioritise stock selection based on relative strength across sectors, with a preference for large-cap and stronger mid-cap names, while maintaining a measured approach amid the prevailing choppiness,” said Ajit Mishra – SVP, Research, Religare Broking Ltd.
Here are key global market cues for Sensex today:
Asian Markets
Asian markets traded mostly lower on Wednesday, following overnight losses on Wall Street. Japan’s Nikkei 225 index fell 0.06%, while the Topix index declined 0.26%. South Korea’s Kospi index dropped 1.26%, and the Kosdaq fell 1.02%. Hong Kong’s Hang Seng Index futures indicated a higher opening.
Gift Nifty Today
Gift Nifty was trading around 25,945 level, a discount of nearly 4 points from the Nifty futures’ previous close, indicating a flat start for the Indian stock market indices.
Wall Street
US stock market ended lower on Tuesday, dragged by selling in technology stocks, with the S&P 500 putting in a fourth straight session of losses.
The Dow Jones Industrial Average declined 498.50 points, or 1.07%, to 46,091.74, while the S&P 500 dropped 55.09 points, or 0.83%, to 6,617.32. The Nasdaq Composite closed 275.23 points, or 1.21%, lower at 22,432.85.
Nvidia share price fell 2.8%, Microsoft shares declined 2.7%, Amazon stock price plunged 4.43%, AMD shares dropped 4.25%, while Home Depot stock tanked 6%. Cloudflare stock price fell 2.83%, Crowdstrike shares slipped 3.04% and Tesla stock price shed 1.88%.
India-US Trade Deal
Union commerce minister Piyush Goyal stated that the India-US partnership remains strong and expanding across sectors, with no cause for concern about the trajectory of the bilateral relationship. On the proposed India-US trade deal, Goyal stated that negotiations were progressing and that India would only sign an agreement that is fair, balanced, and protects national interests.
Adani Group Stocks Block Deal
Rajiv Jain-led GQG Partners has increased its stake in five Adani Group stocks – Adani Enterprises, Adani Ports and Special Economic Zone (APSEZ), Adani Power, Adani Green Energy and Adani Energy Solutions, NSE block deal data showed.
Gold Prices
Gold prices were steady, as investors awaited minutes from the Federal Reserve’s latest policy meeting and US jobs. Spot gold price was flat at $4,069.44 per ounce, while US gold futures for December delivery edged 0.1% higher to $4,069.50 per ounce.
Crude Oil Prices
Crude oil prices traded over half a percent lower. Brent crude oil prices fell 0.54% to $64.54 a barrel, while the US West Texas Intermediate (WTI) crude futures declined 0.54% to $60.41.
Dollar
The US dollar held steady against most of its biggest peers. The dollar index, which measures the greenback’s strength against a basket of six currencies, was flat at 99.594, close to a one-week high. The yen advanced 0.1% after hitting a nine-month low against the dollar and was fetching 155.49 yen to the dollar, Reuters reported. The euro was little changed at $1.1580, while the Sterling was at $1.3148, unchanged on the day.
(With inputs from Reuters)
