Indian stock market: 8 key things that changed for market overnight- Gift Nifty, India-UK FTA, ECB policy to gold prices
Asian markets traded lower, while the US stock market ended mixed overnight, with the Nasdaq and S&P closing at record highs.
On Thursday, the Indian stock market ended sharply lower amid heavy selling, with the benchmark Nifty 50 closing below 25,100 level.
The Sensex declined 542.47 points, or 0.66%, to close at 82,184.17, while the Nifty 50 settled 157.80 points, or 0.63%, lower at 25,062.10.
'Nifty 50 index failed to cross the resistance at the 25,250 level and moved lower, reflecting a cautious sentiment among participants. Currently, select private banking majors are leading the trend, while other sectors are playing a supporting role. Given the mixed signals, we reiterate our advice to maintain a stock-specific approach and adopt a hedged strategy,' said Ajit Mishra – SVP, Research, Religare Broking Ltd.
Here are key global market cues for Sensex today:
Asian markets traded lower, following a mixed trend on Wall Street overnight, amid recent trade developments. Japan's Nikkei 225 fell 0.41%, while the Topix declined 0.55%. South Korea's Kospi eased 0.1% and the Kosdaq dropped 0.48%. Hong Kong's Hang Seng index futures indicated a weaker opening.
Gift Nifty was trading around 24,980 level, a discount of nearly 115 points from the Nifty futures' previous close, indicating a negative start for the Indian stock market indices.
US stock market ended mixed, with the S&P 500 and the Nasdaq notching record high closes, after Google parent Alphabet Q2 results fueled optimism about other heavyweight artificial intelligence stocks.
The Dow Jones Industrial Average declined 0.70% to 44,693.91, while the S&P 500 rose 0.07% to end at 6,363.35. The Nasdaq closed 0.18% higher at 21,057.96.
Alphabet shares gained 0.88%, Nvidia share price rallied 1.73%, Microsoft stock price rose 0.99%, Advanced Micro Devices shares surged 2.19%, while Amazon share price added 1.73%.
Tesla stock price tumbled 8.2%, Intel shares dropped 3.66%, while IBM share price declined 8%. American Airlines stock tumbled nearly 10%. UnitedHealth shares fell 4.8% and Honeywell stock price declined 6.2%.
The European Central Bank left its main interest rate unchanged at 2% as expected, taking a break after a year of policy easing to wait for clarity over Europe's future trade relations with the United States. The ECB has cut its policy rate eight times since June 2024.
India formalised a landmark Free Trade Agreement (FTA) with the United Kingdom, which is set to boost annual bilateral trade by nearly $34 billion. The deal promises easier market access for both countries, with 99% of Indian exports gaining tariff benefits and British products like whisky, cars, medical devices, and cosmetics becoming affordable in India.
The number of Americans filing new applications for jobless benefits unexpectedly fell last week. Initial claims for state unemployment benefits dropped 4,000 to a seasonally adjusted 217,000 for the week ended July 19. Economists polled by Reuters had forecast 226,000 claims for the latest week.
Gold prices rose, buoyed by an overall weaker dollar, although signs of progress in trade negotiations between the US and its trading partners kept gains in check, Reuters reported. Spot gold was up 0.1% at $3,371.86 per ounce, while US gold futures were little changed at $3,374.80.
Crude oil prices rose amid reports of Russian planning to restrict gasoline exports to most countries. Brent crude futures gained 0.30% to $69.39 a barrel, while US West Texas Intermediate crude futures climbed 0.32% to $66.24 per barrel.
(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.
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