Indian stock market: The domestic equity market benchmark indices, Sensex and Nifty 50, are expected to open on a muted note on Wednesday, following mixed global market cues.
Asian markets traded mixed, while the US stock market ended lower amid cautiousness over US tariffs and Federal Reserve policy.
On Tuesday, the Indian stock market ended higher, lifted by fag-end short-covering, with the Nifty 50 closing above 24,800 level.
The Sensex gained 446.93 points, or 0.55%, to close at 81,337.95, while the Nifty 50 settled 140.20 points, or 0.57%, higher at 24,821.10.
“We expect the markets to witness selective buying, driven by quarterly results; while broader sentiment would hinge on macroeconomic data and progress in the India-US trade deal,” said Siddhartha Khemka, Head – Research, Wealth Management, Motilal Oswal Financial Services Ltd.
Here are key global market cues for Sensex today:
Asian Markets
Asia markets traded mixed on Wednesday amid uncertainties related to US tariffs. Japan’s Nikkei 225 fell 0.17%, while the Topix was flat. South Korea’s Kospi gained 0.53%, and the Kosdaq rose 0.42%. Hong Kong’s Hang Seng Index futures indicated a weaker opening.
Gift Nifty Today
Gift Nifty was trading around 24,821 level, a discount of nearly 17 points from the Nifty futures’ previous close, indicating a muted start for the Indian stock market indices.
Wall Street
US stock market ended lower on Tuesday after some disappointing corporate earnings, while investors awaited a Federal Reserve policy.
The Dow Jones Industrial Average declined 204.57 points, or 0.46%, to 44,632.99, while the S&P 500 fell 18.91 points, or 0.30%, to 6,370.86. The Nasdaq Composite closed 80.29 points, or 0.38%, lower at 21,098.29.
United Parcel Service shares plunged 10.6%. Whirlpool share price plummeted 13.4%, UnitedHealth stock price stumbled 7.5%, Boeing shares declined 4.4% and Merck stock dropped 1.7%.
US-China Trade Talks
US and Chinese officials agreed to seek an extension of their 90-day tariff truce, following two days of talks in Stockholm. No major breakthroughs were announced, and US officials said it was up to President Donald Trump to decide whether to extend a truce that expires on August 12.
Trump Tariffs
US President Donald Trump said that India could face tariff rates as high as 25% on its exports to the United States, but emphasised that a final decision had not yet been made. “I think so,” Trump responded when asked by reporters aboard Air Force One if the US would impose a 20–25% tariff rate on Indian goods.
Gold Prices
Gold prices steadied ahead of the Federal Reserve’s policy statement later in the day for cues into future rate cuts. Spot gold price was steady at $3,329.19 per ounce, while US gold futures rose 0.1% to $3,327.70.
Dollar
The dollar index, which measures the US currency against six others, at 98.815, hovering near a one-month high. The euro was 0.12% higher at $1.1558, and Sterling was at $1.3358. The offshore yuan was little changed at 7.178 per US dollar, while the Japanese yen firmed a bit to 148.20 per dollar.
Crude Oil Prices
Crude oil prices held the biggest gain in six weeks after US President Donald Trump reiterated he may impose additional economic penalties on Russia unless a truce is reached with Ukraine.
Brent crude oil rose 0.12% to $72.60 a barrel, after closing 3.5% higher in the previous session, while the US West Texas Intermediate (WTI) crude futures were flat at $69.20.
(With inputs from Reuters)
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
