Indian Stock Market Updates : Indian stock market indices, Sensex and Nifty 50, are expected to open higher on Friday, following a rally in global markets. Asian markets were trading strong, while the US stock market saw significant gains overnight as new economic data eased recession fears in the US.
Traders have increased their expectations for a 25-basis-point rate cut by the US Federal Reserve, now at 76.5% compared to 65% before the latest retail sales data.
On Wednesday, the Indian stock market experienced a choppy session but managed to end with minor gains. The Sensex climbed 149.85 points, or 0.19%, to close at 79,105.88, and the Nifty 50 edged up by 4.75 points, or 0.02%, to settle at 24,143.75. The market remained closed on Thursday due to Independence Day 2024.
Siddhartha Khemka, Head of Retail Research at Motilal Oswal Financial Services Ltd, commented, “We expect the market to continue to consolidate in the near term and take cues from global factors.”
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Key Global Market Cues for Sensex Today:
Asian Markets:
Asian markets were up on Friday, reflecting the strong performance on Wall Street. Japan’s Nikkei 225 surged 2.26%, while the Topix gained 2.08%. South Korea’s Kospi rose by 2%, and the Kosdaq added 1.53%. Hong Kong’s Hang Seng index futures pointed to a higher opening.
Gift Nifty:
Gift Nifty was trading around 24,320, a premium of nearly 150 points over the previous close of Nifty futures, indicating a positive start for Indian stock market indices.
Wall Street:
The US stock market closed higher on Thursday, with the Nasdaq soaring over 2% following strong retail sales data for July. The Dow Jones Industrial Average jumped 554.67 points (1.39%) to 40,563.06, while the S&P 500 climbed 88.01 points (1.61%) to 5,543.22. The Nasdaq Composite ended 401.90 points (2.34%) higher at 17,594.50.
Several stocks saw significant gains: Walmart shares rose 6.58%, Target and Costco gained 4.35% and 1.69% respectively, Cisco Systems surged 6.8%, Nike jumped 5.07%, and Ulta Beauty spiked 11.17%. Tesla shares also rose by 6.34%.
US Retail Sales:
US retail sales exceeded expectations in July, rising by 1.0%, following a revised 0.2% drop in June. Economists had forecast a 0.3% increase.
Jobless Claims:
The number of new unemployment benefit applications in the US unexpectedly fell last week. Initial claims dropped by 7,000 to 227,000 for the week ending August 10, against an expected 235,000 claims.
Dollar:
The US dollar remained near a two-week high against the yen after its biggest one-day gain in four weeks. The dollar index was stable at 103.20 after a 0.41% rally overnight. The dollar slightly eased to 149.11 yen, while sterling edged up to $1.2859, and the euro remained flat at $1.0973.
US Treasury Yields:
US Treasury yields rose on Thursday following robust US economic data. The 10-year note yield increased by 10.6 basis points to 3.928%, while the 2-year note yield climbed to 4.1055%, and the 30-year bond yield rose to 4.1856%.
Oil Prices:
Crude oil prices dipped slightly in early Asian trading on Friday. Brent crude futures fell by 0.2% to $80.88 per barrel, and US West Texas Intermediate crude futures dropped by 0.3% to $77.93 per barrel. Despite the dip, Brent and WTI were on track for weekly gains of 1.6% and 1.5%, respectively.
Indian Stock Market Updates 2024
1. What factors influence the opening of the Indian stock market?
The opening of the Indian stock market is influenced by various factors, including global market trends, economic data releases, geopolitical events, currency fluctuations, and domestic economic indicators. Positive cues from Asian markets and overnight gains in the US markets can lead to a higher opening in Indian indices like Sensex and Nifty 50.
2. How can I track the performance of the Indian stock market?
You can track the performance of the Indian stock market through financial news websites, stock market apps, and platforms like the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) websites. Indices like the Sensex and Nifty 50 are widely followed as benchmarks for market performance.
3. What are Sensex and Nifty 50?
Sensex is the benchmark index of the Bombay Stock Exchange (BSE), comprising 30 of the largest and most actively traded stocks on the exchange. Nifty 50 is the benchmark index of the National Stock Exchange (NSE), comprising 50 of the largest and most liquid stocks traded on the NSE. Both indices serve as indicators of the overall performance of the Indian stock market.
4. Why does the Indian stock market close on certain days?
The Indian stock market observes public holidays and remains closed on certain days to celebrate national events such as Independence Day, Republic Day, and major festivals. Additionally, the market may close for other public holidays or significant events as announced by the stock exchanges.
5. What are the risks associated with investing in the Indian stock market?
Investing in the Indian stock market involves risks such as market volatility, economic downturns, geopolitical tensions, changes in government policies, and sector-specific risks. Investors should conduct thorough research, diversify their portfolios, and consider their risk tolerance before investing.