The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open lower on Friday, following a sell-off in global markets, led by losses in technology and AI stocks. The stock market is likely to remain volatile ahead of the Bihar assembly results, scheduled to be declared today.
Asian markets traded lower, while the US stock market slumped overnight, with all three major US stock indexes posting their steepest daily percentage declines in over a month.
On Thursday, the Indian stock market ended flat on profit booking at higher levels.
The Sensex gained 12.16 points, or 0.01%, to close at 84,478.67, while the Nifty 50 settled 3.35 points, or 0.01%, higher at 25,879.15.
“Going forward, some consolidation cannot be ruled out after the recent rally. However, the overall undertone remains constructive, supported by resilience in key sectors such as banking and IT. Traders are advised to adopt a stock-specific approach, focusing on sectoral outperformers like banking, auto, and metals, while maintaining a disciplined risk management strategy amid potential volatility,” said Ajit Mishra – SVP, Research, Religare Broking Ltd.
Here are key global market cues for Sensex today:
Asian Markets
Asian markets traded lower on Friday, tracking overnight losses on Wall Street, weighed down by sell-off in technology stocks. Japan’s Nikkei 225 declined 1.31%, while the Topix fell 1.03%. South Korea’s Kospi slipped 2.51% and the Kosdaq dropped 1.42%. Hong Kong’s Hang Seng Index futures indicated a lower opening.
Gift Nifty Today
Gift Nifty was trading around 25,848 level, a discount of nearly 106 points from the Nifty futures’ previous close, indicating a negative start for the Indian stock market indices.
Wall Street
US stock market ended sharply lower on Thursday as investors scaled back expectations of interest rate cuts due to inflation.
The Dow Jones Industrial Average declined 1.65% to 47,457.22, while the S&P 500 dropped 1.66% to end the session at 6,737.49. The Nasdaq closed 2.29% lower at 22,870.36.
Nvidia share price fell 3.6%, Tesla stock price plunged 6.6%, Broadcom shares tanked 4.3%, AMD share price declined 4.22%, Microsoft shares fell 1.54%, and Oracle stock price cracked 4.14%.
Walt Disney shares tumbled 7.8%, Cisco Systems stock price rallied 4.6%, Western Digital share price fell 5.4%, Seagate shares lost over 7% and SanDisk shares dropped almost 14%.
Bihar Election Results
Bihar Assembly election results will be declared today as the counting for all 243 Assembly seats will begin shortly. Bihar elections were conducted in two phases, on November 6 and 11, recording one of its highest-ever turnouts. Most exit polls predicted a win for the ruling NDA.
US Jobless Claims
The number of Americans filing new applications for unemployment benefits eased slightly last week, Reuters reported. Initial claims for state unemployment benefits dipped to a seasonally adjusted 227,543 for the week ended November 8 from 228,899 in the prior week, Haver Analytics calculated.
US Federal Reserve
Federal Reserve Bank of San Francisco President Mary Daly said it’s too soon to decide whether policymakers should lower interest rates when they gather in December. “It’s premature to say definitely ‘no cut,’ or ‘definitely a cut,’” Daly said, adding that the direction of change in policy appeared “neutral.”
Gold Prices
Gold prices traded higher amid a weak dollar. Spot gold prices rose 0.3% to $4,183 per ounce, having lost 0.6% overnight to snap a four-day winning streak.
Dollar
The US dollar was on track for a weekly fall. Against a basket of currencies, the greenback languished near a two-week low at 99.27. The dollar index was headed for a weekly fall of 0.3%. Euro last bought $1.1630, while sterling fell 0.3% to $1.3152. Yen last stood at 154.58 per dollar.
(With inputs from Reuters)
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