Indian stock market: 7 key things that changed for market overnight - Gift Nifty to spike in US dollar, Treasury yields

  • Indian stock market: Asian markets traded mostly lower while US stocks ended in the red overnight as Treasury yields spiked amid dampened hopes of interest rate cut by the US Federal Reserve in March.

Ankit Gohel
Published17 Jan 2024, 07:18 AM IST
Indian stock market: Gift Nifty was trading around 21,850 level as against Nifty futures’ previous close of 22,025, indicating a negative start for the Indian stock market indices.
Indian stock market: Gift Nifty was trading around 21,850 level as against Nifty futures’ previous close of 22,025, indicating a negative start for the Indian stock market indices.(Photo: REUTERS)

Indian stock market: Domestic equity market indices, Sensex and Nifty 50, are expected to open lower on Wednesday tracking weak cues from global peers.

Asian markets traded mostly lower while US stocks ended in the red overnight as Treasury yields spiked amid dampened hopes of interest rate cut by the US Federal Reserve in March.

Catch Live Market Updates here

On Tuesday, the Indian stock market indices ended lower, snapping their five-day winning streak amid negative global cues.

The Sensex declined 199.17 points, or 0.27%, to close at 73,128.77, while the Nifty 50 settled 65.15 points, or 0.29%, lower at 22,032.30.

“Following global cues, domestic equities took a breath after rallying in the last few sessions. Overall we expect the market to consolidate in higher zones,” said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.

Here are key domestic and global market cues for Sensex today:

Asian Markets

Asian markets traded lower following overnight losses on Wall Street and ahead of key economic data in China.

Japan’s Nikkei 225 rallied 1.24% and the Topix gained 0.92%. South Korea’s Kospi fell 0.46%, while the Kosdaq dropped 1.1%. Hong Kong’s Hang Seng index futures indicated to a weaker open.

Also Read: Day trading guide for today: Six stocks to buy or sell on Wednesday —January 17

Gift Nifty 

Gift Nifty was trading around 21,850 level as against Nifty futures’ previous close of 22,025, indicating a negative start for the Indian stock market indices.

US Stock Market

US stock market indices ended lower on Tuesday dragged by selling in banking stocks.

Morgan Stanley shares tumbled 4.2% to a more than one-month low, while Goldman Sachs share price closed 0.7% higher. Spirit Airlines shares slumped 47%. Apple share price dropped 1.2%.

The Dow Jones Industrial Average declined 0.62% to 37,361.12 points, while the S&P 500 fell 0.37% to end at 4,765.98 points. The Nasdaq ended 0.19% lower at 14,944.35 points.

(Exciting news! Mint is now on WhatsApp Channels :rocket: Subscribe today by clicking the link and stay updated with the latest financial insights! Click here!)

Dollar at one-month high

The US dollar index hovered at a one-month high against a basket of currencies as expectations for interest rate cut in March were dampened following the remarks of US Federal Reserve Governor Christopher Waller.

The dollar index, a measure of the greenback against a basket of major currencies, last stood at 103.35 after rising as high as 103.42 during the previous session, its highest level since December. 13.

US ‘within striking distance’ of inflation goal: Fed’s Waller

The US is “within striking distance” of the Federal Reserve’s 2% inflation goal, but the central bank should not rush to cut its benchmark interest rate until it is clear lower inflation will be sustained, US Federal Reserve Governor Christopher Waller said. 

And regardless of when rate cuts begin, Waller said the central bank should proceed "methodically and carefully," not make the sort of large, fast reductions used when the Fed is trying to bail out the economy from a shock or a pending downturn, Reuters reported.

Also Read: Stocks to Watch: HDFC Bank, Piramal Pharma, ICICI Securities, IREDA

US yields rise

US Treasury yields rose on Tuesday after central bankers in Europe and the United States pushed back against market expectations of imminent interest rate cuts, Reuters reported.

Benchmark 10-year yields rose to 4.064%, their highest in over a week, up from a 3.95% close last week. The 30-year yields were up at 4.305%, their highest in over a month. Two-year yields, which generally tend to more closely reflect monetary policy expectations, were at about 4.228%, up from 4.138% on Friday.

Fitch affirms India’s ratings

Global ratings agency Fitch affirmed India’s long-term foreign currency issuer default ratings at ‘BBB-’ with a stable outlook. However, the rating agency also flagged that India’s weak public finances were the ‘largest constraint’ to the rating.

(With inputs from Agencies)

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.

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess

News in Numbers

Numbers that help you understand news better
₹68,885 Cr

3.15L

48%

₹6.7 T

$240.5 M

$459 M

$3 B

₹588.25 Cr

₹20,000 Cr

7.93 Cr

₹8,943 Cr

10%

20 Yrs

First Published:17 Jan 2024, 07:18 AM IST
HomeMarketsStock MarketsIndian stock market: 7 key things that changed for market overnight - Gift Nifty to spike in US dollar, Treasury yields

Most Active Stocks

Bharat Electronics

313.50
03:59 PM | 18 JUL 2024
-12.85 (-3.94%)

Oil & Natural Gas Corporation

331.20
03:59 PM | 18 JUL 2024
8.8 (2.73%)

Zee Entertainment Enterprises

142.45
03:59 PM | 18 JUL 2024
-13 (-8.36%)

Tata Steel

166.35
03:56 PM | 18 JUL 2024
-0.7 (-0.42%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

India Cements

344.75
03:54 PM | 18 JUL 2024
21.7 (6.72%)

IDBI Bank

92.19
03:59 PM | 18 JUL 2024
4.27 (4.86%)

Endurance Technologies

2,679.00
03:29 PM | 18 JUL 2024
102.4 (3.97%)

Gillette India

8,002.75
03:29 PM | 18 JUL 2024
275 (3.56%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K
    Bangalore
    75,099.00-147.00
    Chennai
    74,659.00-440.00
    Delhi
    74,512.00-294.00
    Kolkata
    75,539.0073.00

    Fuel Price

    • Petrol
    • Diesel
    Bangalore
    102.86/L0.00
    Chennai
    100.76/L0.00
    Kolkata
    104.95/L0.00
    New Delhi
    94.72/L0.00
    OPEN IN APP
    HomeMarketsPremiumInstant LoanBudget