Indian stock market: 10 things that changed for market overnight- Gift Nifty, Trump-Putin talks to tech stocks selloff

Indian stock market: The domestic equity market benchmark indices, Sensex and Nifty 50, are expected to open on a positive note on Wednesday, following mixed cues from global markets.

Asian markets traded mixed, while the US stock market declined overnight amid sell-off in technology stocks.

On Tuesday, the Indian stock market posted strong gains, with both the benchmark indices rallying 1.5% each.

The Sensex jumped 1,131.31 points, or 1.53%, to close at 75,301.26, while the Nifty 50 settled 325.55 points, or 1.45%, higher at 22,834.30.

“Buoyancy across global equities boosted the confidence of local investors which translated into value buying across the sectors. As markets were in a bearish mode over the past few weeks and valuations had become a bit attractive, investors seized opportunity in the beaten-down sectors. But the recovery would be difficult to hold on due to global challenges and fears of slowing domestic growth due to Trump’s threat to impose tariffs on key economies including India,” said Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd.

Here are key global market cues for Sensex today:

Asian Markets

Asian markets traded mixed on Wednesday, following overnight declines on Wall Street. Japan’s Nikkei 225 rose 0.41%, while the Topix index gained 0.70%. South Korea’s Kospi index rallied 0.91%, while the Kosdaq fell 0.27%. Hong Kong’s Hang Seng index futures indicated a slightly weaker open.

Gift Nifty Today

Gift Nifty was trading around 22,962 level, a premium of nearly 66 points from the Nifty futures’ previous close, indicating a positive start for the Indian stock market indices.

Wall Street

US stock market ended lower on Tuesday amid cautiousness ahead of the Federal Reserve’s monetary policy decision.

The Dow Jones Industrial Average declined 260.32 points, or 0.62%, to 41,581.31, while the S&P 500 dropped 60.46 points, or 1.07%, to 5,614.66. The Nasdaq Composite closed 304.55 points, or 1.71%, lower at 17,504.12.

Alphabet shares fell 2.2%, Nvidia share price declined 3.35%, and Tesla stock price stumbled 5.34%. Microsoft shares dropped 1.33% and Amazon stock declined 1.49%.

Trump – Putin Talks

Russian President Vladimir Putin agreed in a call with US counterpart Donald Trump to temporarily stop attacking Ukrainian energy facilities but declined to endorse a full 30-day ceasefire. Ukraine President Volodymyr Zelenskiy said his country would support the U.S. proposal to stop strikes on energy facilities and infrastructure.

US Industrial Production

US industrial production rose by more than forecast. Industrial output increased by 0.7% in February, after rising by a revised 0.3% a month earlier. The median estimate of the Bloomberg survey of economists called for a 0.2% increase.

US Housing Starts

US single-family homebuilding rebounded sharply in February. Single-family housing starts surged 11.4% to a seasonally adjusted annual rate of 1.108 million units last month. Data for January was revised to show homebuilding declining to a rate of 995,000 units instead of the previously reported pace of 993,000 units.

Trump Tariffs

US President Donald Trump still intends for new reciprocal tariff rates to take effect on April 2, the White House said. “The intent is to enact tariffs on April 2,” the official said. “Unless the tariff and non-tariff barriers are equalized, or the US has higher tariffs, the tariffs will go into effect,” the White House official said.

Dollar, Treasury Yields

The US dollar weakened while the euro gained ground in the wake of Germany’s debt overhaul. The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, fell 0.22% to 103.23, with the euro up 0.23% at $1.0947, Reuters reported. Against the Japanese yen, the dollar strengthened 0.06% to 149.3.

US Treasury yields fell as traders bet Fed Chair Jerome Powell will adopt a relatively dovish tone. The yield on benchmark US 10-year notes fell 1.9 basis points to 4.287%. The 30-year bond yield fell 1 basis point to 4.589%, while the 2-year note yield fell 1.1 basis points to 4.042%.

Gold Prices Today

Gold prices rose 1% to hit a fresh record high, anchored above the $3,000/oz mark. Spot gold hit a peak of $3,038.26 per ounce and was up 1.05% at $3,032.96 an ounce. Prices climbed above $3,000 for the first time on March 14. US gold futures settled 1.2% higher at $3,040.80.

Crude Oil Prices

Crude oil prices held a decline as an industry report pointed to a build in US crude stockpiles. Brent crude oil fell 0.41% to $70.27 a barrel, while the US West Texas Intermediate (WTI) crude futures declined 0.46% to $66.59.

(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.