The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open flat on Monday, following mixed cues from global markets.
Asian markets traded mostly higher, while the US stock futures rose after lawmakers neared a deal to end the historic US government shutdown.
This week, market participants will watch out for key stock market triggers, including the next set of Q2 results, inflation data, IPO activity, trends in gold prices and foreign capital flows, developments over the India-US trade deal, and other key domestic and global macroeconomic data.
On Friday, the Indian stock market ended lower, extending losses to the third consecutive session.
The Sensex fell 94.73 points, or 0.11%, to close at 83,216.28, while the Nifty 50 settled 17.40 points, or 0.07%, lower at 25,492.30.
“We expect markets to remain range-bound tracking mixed global cues, while optimism around better than expected corporate earnings and any progress in India–US trade talks could provide upside support,” said Siddhartha Khemka – Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd.
Here are key global market cues for Sensex today:
Asian Markets
Asian markets traded mostly higher on Monday. Japan’s Nikkei 225 gained 0.63%, while the Topix rose 0.37%. South Korea’s Kospi jumped 2.01%, and Kosdaq was flat. Hong Kong’s Hang Seng index futures indicated a lower opening.
Gift Nifty Today
Gift Nifty was trading around 25,587 level, a discount of nearly 2 points from the Nifty futures’ previous close, indicating a flat start for the Indian stock market indices.
Wall Street
US stock market ended mixed on Friday, weighed down by concerns about the economy and sky-high valuations in the technology sector. However, US stock futures rose on Monday after lawmakers neared a deal to end the historic US government shutdown.
The Dow Jones Industrial Average gained 74.80 points, or 0.16%, to 46,987.10, while the S&P 500 rose 8.48 points, or 0.13%, to 6,728.80. The Nasdaq Composite closed 49.45 points, or 0.21%, lower at 23,004.54.
Tesla stock price fell 3.7%, AMD shares declined 1.75%, Intel share price gained 2.4%, while Microchip Technology shares dropped 5.2% and Expedia stock price jumped 17.6%. Block shares slumped 7.7% and Take-Two Interactive stock plunged 8.1%.
US Government Shutdown
The US Senate appeared poised to move forward with a measure aimed at reopening the federal government and ending a 40-day shutdown, Reuters reported. Senators expect to vote Sunday night on advancing a House-passed bill that will be amended to combine the short-term funding measure, which would fund the government through January 2026, with a package of three full-year appropriations bills.
Bank of Japan Policy Minutes
Bank of Japan policymakers saw a growing case to raise interest rates in the near term, with some calling for the need to ensure companies’ wage-hike momentum will be sustained, a summary of opinions at the October meeting showed, Reuters reported.
China Inflation
China’s consumer prices unexpectedly increased in October. The consumer price index rose 0.2% from a year earlier, after a 0.3% decline in September, and compared to expectations of zero growth from economists polled by Reuters. Wholesale inflation saw a softer-than-expected drop of 2.1% YoY, against the expected 2.2% decline.
Dollar
The US dollar held firm on a string of weak economic data revived global growth worries. The dollar index, which tracks the greenback’s strength against a basket of six major currencies, rose 0.2% to 99.740. Against the yen, the dollar fetched 153.82 yen, up 0.3%. The euro was 0.1% weaker at $1.155, while sterling changed hands at $1.314, 0.2% softer on the day. The offshore yuan was at 7.1261 against the dollar, unchanged in early Asian trade.
Gold Prices
Gold prices rose as investors weighed a weakening US economy against progress on ending the government shutdown. Spot gold price rose 0.4% to $4,016.92 an ounce. Gold price has retreated around 8% from its record high above $4,380 an ounce in mid-October.
Crude Oil Prices
Crude oil prices traded higher on concerns about a glut and fallout from US sanctions against Russia. Brent crude oil price rose 0.24% to $63.78 a barrel, while the US West Texas Intermediate (WTI) crude futures gained 0.30% to $59.93.
FII Buying
On Friday, Foreign institutional investors (FIIs) net bought Indian shares worth ₹4,581.34 crore, while Domestic Institutional Investors (DIIs) net purchased shares to the tune of ₹6,674.77 crore, as per provisional data available on the exchanges.
(With inputs from Reuters)
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