The financial landscape is poised for an optimistic start, buoyed by a slight uptick in the US tech sector, particularly the Nasdaq. As a result, the GIFT Nifty indicates a promising opening for Indian markets. Meanwhile, Asian indices are reflecting similar trends, moving upward in response to the performance of their American counterparts.
Asian Markets Show Positive Trends
On Monday, the NSE Nifty 50 faced a significant downturn, closing down by 743 points, or 3.24%, at 22,162. Similarly, the BSE Sensex experienced a loss of 2,227 points, or 2.95%, wrapping up the day at 73,138.
Despite this, the mood in Asian markets appears more upbeat. The Nikkei 225 in Japan surged by 5.56%, reaching 32,869, while South Korea’s Kospi rose by 0.75% to 2,346. The Shanghai Composite had yet to commence trading, and the Asia Dow was down by 7.23%, at 3,185.20.
US Markets Experience Mixed Outcomes
On Wall Street, trading concluded on a varied note, influenced by President Donald Trump’s tariff strategies and his warnings of potential increased tariffs targeting China. The Dow Jones Industrial Average declined by 349.26 points, or 0.91%, closing at 37,965.60. The S&P 500 dipped by 0.23%, ending at 5,062.25, while the Nasdaq Composite managed a small gain of 0.10%, settling at 15,603.26.
US Dollar and Currency Insights
As of Tuesday morning, the US Dollar Index (DXY), which gauges the dollar’s strength against a basket of six international currencies, fell by 0.22%, landing at 103.03. This index evaluates the dollar’s performance against major currencies, including the British Pound, Euro, Swedish Krona, Japanese Yen, and Swiss Franc. The Indian rupee recorded a 0.70% decline, closing at 85.84 to the dollar on April 07.
Crude Oil Prices on the Rise
Crude oil prices experienced an upward shift on Tuesday. WTI crude was priced at $61.43, reflecting a 1.24% increase, while Brent crude rose by 1.02%, reaching $64.86.
Institutional Investment Trends
Recent figures indicate that foreign institutional investors (FIIs) were net sellers, offloading shares worth Rs 9,040 crore. In contrast, domestic institutional investors (DIIs) emerged as net buyers, acquiring shares valued at Rs 12,122.45 crore on April 07, 2024, based on provisional data from the NSE.
Current Gold Rates
In the gold market, prices have taken a hit. The rate for 24-carat gold has decreased by 2.5%, now standing at Rs 87,100 per 10 grams. Despite this drop, gold has seen a 1.1% increase over the past month. The 22 kt gold rate is currently Rs 79,842 per 10 grams, while 18-carat gold is priced at Rs 65,325.
In summary, while the Indian stock market faced challenges recently, signals from both the US and Asian markets suggest a potential recovery. Investors will be closely monitoring these developments as they unfold.
