Global markets: SGX Nifty to Asian stocks — key triggers for Indian stock market today

Global market today: On ease in bank crisis in US, Wall Street extended its rally on Thursday and all three key indices finisher higher. In Singapore share market, SGX Nifty today opened upside and gave fresh breakout at 17,250, which signals strong opening on Dalal Street. US dollar rates are under pressure today as Dollar Index slipped below 102 levels.

Here we list out key triggers that may dictate Indian stock market today:

US stock market

In American stock market, Dow Jones Index surged 0.43 per cent, S&P 500 index 0.57 per cent whereas tech heavy Nasdaq ascended 0.73 per cent.

Asian share market today

In early morning session, the Japanese Nikkei surged over 1 per cent, Shanghai index added 0.34 per cent, Hong Kong's Hang Seng appreciated 1.84 per cent while KOSPI ascended to the tune of 1.01 per cent.

On reason for strong global cues, Marc Despallieres, Chief Strategy and Trading Officer at Vantage said, "The recent gains in the market were influenced by comments from Federal Reserve officials, suggesting the need for further monetary tightening despite the recent bank failures. Susan Collins, the Boston Fed President, emphasized the importance of tightening policies, while Thomas Barkin, the Richmond Fed President, stated that the Fed can increase rates further if inflation risks persist. Neel Kashkari, the Minneapolis Fed President, expressed his commitment to bring inflation back to 2%, but also acknowledged that the impact of the recent financial-system turmoil is not fully clear."

Marc went on to add that despite investors anticipating a decrease in US interest rates by around 70 basis points to 4.3% by year-end, some strategists disagree with the market's expectations of rate cuts this year.

Singapore share market

In Singapore markets, SGX Nifty today gave breakout at 17,200 levels and has managed to sustain above the crucial level, which signals strong opening on Dalal Street when it opens after a gap of one day. On Thursday, trading at BSE and NSE was closed due to stock market holiday for Ram Navami festival.

Speaking on SGX Nifty today, Anuj Gupta, Vice President — Research at IIFL Securities said, "SGX Nifty today has given breakout at 17,200 levels and it has managed to sustain above this for near an hour that signals fresh upside rally in the index." He said that that breakout on SGX Nifty index indicates strong market opening on Dalal Street on Friday.

US dollar rate

In early morning session, US dollar rate is under pressure as the US Dollar Index has come below 102 levels. In morning session on Friday, Dollar Index continue to remain below 102 at 101.835, around 0.01 per cent lower from its Thursday close.

US bond yield

In early morning session on Friday, US 10 year bond yield is up 0.31 per cent at 3.562 while US 30 year bond yield is oscillating around its yesterday's close of 3.746.

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 taking any investment decisions.