The Indian stock market is poised for a rocky start today, as indicated by the GIFT Nifty, which suggests a dip for major equity indices. In contrast, some Asian markets are showing resilience, with the Nikkei gaining over 1% following a positive trend in U.S. stock exchanges for the second consecutive day. This upward momentum comes after Donald Trump stated he would not dismiss Federal Reserve Chair Jerome Powell before his term concludes.
Key Influences on Thursday’s Trading
Trump’s Stance on Powell
In a recent announcement, President Donald Trump confirmed his intention to retain Jerome Powell as the Federal Reserve Chair during his ongoing term. Despite previously criticizing Powell for not reducing key interest rates to stimulate the economy—labeling him a “major loser”—Trump’s remarks today indicate a shift in focus towards stability in monetary policy.
U.S. Markets Performance
Last night, U.S. markets experienced significant gains, driven by optimism around easing U.S.-China trade tensions and Trump’s decision to keep Powell in his position. The Dow Jones Industrial Average surged by 419.59 points (1.07%), closing at 39,606.57. Meanwhile, the S&P 500 saw a rise of 1.67%, finishing at 5,375.86, and the Nasdaq Composite increased by an impressive 2.50% to reach 16,708.05.
Currency Trends and Commodity Prices
Dollar Index Fluctuations
The U.S. Dollar Index (DXY), which assesses the dollar’s strength against a selection of six foreign currencies, experienced a slight decline of 0.11%, settling at 99.73 this morning.
Gold Prices Today
Gold prices have retreated after previously surpassing the significant Rs 1 lakh per 10 grams mark. As global uncertainties appear to be easing, particularly with the U.S. announcing a reduction in tariffs on China, the price of 24-carat gold today is Rs 94,970 per 10 grams, reflecting a 0.46% decrease from last week.
Crude Oil Market Update
Crude Oil Prices Rise
On the commodities front, crude oil prices have seen a positive shift today. WTI crude is trading at $62.47, marking a 0.33% increase, while Brent crude stands at $66.34, up by 0.34%.
In summary, while the Indian equity market may face challenges, the global economic landscape shows signs of optimism, influenced by key political and economic developments. Keep an eye on how these factors unfold throughout Thursday’s trading session.
