Stock Market LIVE Updates: GIFT Nifty indicates a firm start; US, Asian markets gain

U.S. equity markets closed higher on Wednesday, following a trade agreement between the U.S. and Vietnam. The U.S. will charge a tariff rate of 20% on goods imported from Vietnam, which is significantly lower than the 46% rate announced in early April. Meanwhile, Vietnam has reportedly agreed to drop levies on U.S. imports. For goods that the U.S. deems have been transhipped through Vietnam (originated from a country other than Vietnam), a 40% tariff rate will apply.

The ADP employment report for June showed that private employment contracted by 33,000 for the month, below expectations for a gain of 115,000 and the first negative monthly print since 2023.

The labour market will remain in focus, with the non-farm payrolls report for June to be announced today. Expectations are for nonfarm payrolls to rise by 115,000 for the month and for the unemployment rate to tick higher to 4.3%.

China’s services sector grew less than expected in June, private purchasing managers index data showed on Thursday, as sluggish overseas and domestic demand weighed heavily on new business activity.

The Caixin services PMI read 50.6 in June, below expectations of 51.0 and slower than the 51.1 recorded in the prior month.

Australia’s trade surplus narrowed sharply above expectations in May, as weak global demand weighed on exports while imports rebounded from the previous month’s decline.

Indian indices ended Wednesday’s session lower as tariff anxiety continues to plague the markets.

U.S. and Indian trade negotiators were attempting to finalise a tariff-reducing deal ahead of President Donald Trump’s July 9 negotiating deadline. Still, disagreements over U.S. dairy and agricultural issues remained unresolved. The push comes as Trump announced an agreement with Vietnam.

Previous swing highs of 25,317 and 25,222 could now act as immediate support levels. On the higher side, the band of 25,640-25,740 would continue to serve as a substantial hurdle for the Nifty, indicating resistance for any upward moves. The weekly futures contract for the Nifty will expire today, which is expected to lead to increased volatility.

US markets will close early on Thursday and remain closed on Friday to observe Independence Day (July 4th)

Indian markets are likely to open slightly higher in line with positive Asian cues.