Indian stock market: The domestic equity market benchmark indices, Sensex and Nifty 50, are expected to open on a flat note Tuesday, following a muted trend in the global markets as investors await the outcome of US President Donald Trump’s meeting with European leaders to stop the Russia-Ukraine war.
Asian markets traded mixed, while the US stock market was little changed overnight, with all three US benchmark index closing flat.
On Monday, the Indian stock market ended with stellar gains, bolstered by a confluence of domestic and global factors, including Prime Minister Narendra Modi’s announcement of GST reforms, S&P Global’s upgrade of India’s credit rating, and optimism over a possible end to the Russia-Ukraine war.
The Sensex gained 676.09 points, or 0.84%, to close at 81,273.75, while the Nifty 50 settled 245.65 points, or 1.00%, higher at 24,876.95.
“The rebound reflects renewed optimism, supported by policy tailwinds and improving technical indicators. Traders are advised to remain focused on sectoral rotation, with auto and consumption themes likely to stay in favor, while maintaining a stock-specific and risk-managed approach,” said Ajit Mishra – SVP, Research, Religare Broking Ltd.
Here are key global market cues for Sensex today:
Asian Markets
Asian markets traded mixed on Tuesday, tracking overnight flat trade on Wall Street. Japan’s Nikkei 225 fell 0.4%, while the Topix index was flat. South Korea’s Kospi index eased 0.01% and the small-cap Kosdaq declined by 0.33%. Hong Kong’s Hang Seng index futures indicated a stronger opening.
Gift Nifty Today
Gift Nifty was trading around 24,988 level, a premium of nearly 21 points from the Nifty futures’ previous close, indicating a mildly positive start for the Indian stock market indices.
Wall Street
US stock market ended roughly flat in a choppy trade on Monday as investors awaited a raft of corporate earnings reports from major retailers.
The Dow Jones Industrial Average dropped 34.30 points, or 0.08%, to 44,911.82, while the S&P 500 eased 0.65 point, or 0.01%, to 6,449.15. The Nasdaq Composite closed 6.80 points, or 0.03%, higher at 21,629.77.
Intel share price fell 3.66%, Dayforce stock price jumped 26%, SunRun shares rallied 11.35% and First Solar shares surged 9.69%.
Trump-Zelensky Meeting
US President Donald Trump met Ukraine President Volodymyr Zelenskyy and hosted other top European leaders in White House on Monday to discuss a pathway to end the Russia-Ukraine war.
Trump said he has begun arrangements for a face-to-face meeting between Russian President Vladimir Putin and Zelenskyy. Trump told Zelenskyy that the US would help guarantee Ukraine’s security in any deal to end Russia’s war there.
India Unemployment Rate
India’s unemployment rate for those aged 15 years and above eased to 5.2% in July from 5.6% in June. The improvement was driven by rural areas, where unemployment rate fell to 4.4% in July from 4.9% a month earlier, while urban unemployment inched up to 7.2% from 7.1%, according to the latest Periodic Labour Force Survey (PLFS).
Dollar
The US dollar held steady against its major peers. The dollar index rose 0.31% to 98.122. The euro held steady at $1.1667, up 0.06%, while Sterling traded at $1.351, up 0.1% so far on the day. Against the yen, the dollar was unchanged at 147.835 yen.
Crude Oil Prices
Crude oil prices slipped on hopes of an end of the war in Ukraine, which could lead to an end to sanctions on Russian crude. Brent crude futures fell 0.18% to $66.48 a barrel, while US West Texas Intermediate crude futures for September delivery declined 0.19% to $63.30 per barrel.
Gold Prices
Gold prices were traded flat as investors focused on the Federal Reserve’s Jackson Hole meeting later this week. Spot gold price rose 0.1% to $3,334.91 per ounce, while US gold futures for December delivery added 0.1% to $3,379.40.