Indian stock market: 8 key things that changed for market overnight ahead of RBI policy - Gift Nifty to Amazon earnings
- Indian stock market: Gift Nifty was trading around 23,710 level, a premium of nearly 20 points from the Nifty futures’ previous close, indicating a mildly positive start for the Indian stock market indices.
Indian stock market: The domestic equity market indices, Sensex and Nifty 50, are expected to open on a cautious note on Friday ahead of the Reserve Bank of India’s (RBI) monetary policy decision today and amid mixed global cues.
Asian markets traded lower, while the US stock market ended mixed overnight, with the S&P 500 and the Nasdaq ending higher and the Dow Jones closing lower.
The RBI is set to announce its sixth and the last bi-monthly monetary policy of FY25 today. The Monetary Policy Committee (MPC) headed by the new RBI Governor Sanjay Malhotra is widely expected to cut repo rate by 25 basis points (bps) to 6.25%.
On Thursday, the Indian stock market indices ended lower, extending their losses into the second consecutive session, ahead of the RBI monetary policy decision today.
The Sensex declined 213.12 points, or 0.27%, to close at 78,058.16, while the Nifty 50 settled 92.95 points, or 0.39%, lower at 23,603.35.
“Despite logging sharp gains in the first few minutes of opening trades, markets slipped into the red and moved in a narrow range with a negative bias for most part of the trading session. Investors booked profits in rate-sensitives like realty, banking, and auto shares ahead of today’s RBI monetary policy announcement. If there is any surprise rate cut, we may see short-term optimism,” said Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd.
Here are key global market cues for Sensex today:
Asian Markets
Asian markets traded lower on Friday ahead of key economic data in the region.
Japan’s Nikkei 225 dropped 0.34% and the Topix fell 0.32% lower. South Korea’s Kospi declined 0.26%, while the Kosdaq eased 0.3%. Hong Kong’s Hang Seng index futures indicated a higher opening.
Gift Nifty Today
Gift Nifty was trading around 23,710 level, a premium of nearly 20 points from the Nifty futures’ previous close, indicating a mildly positive start for the Indian stock market indices.
Wall Street
The US stock market ended mixed on Thursday amid corporate earnings reports and key economic data.
The Dow Jones Industrial Average declined 125.65 points, or 0.28%, to 44,747.63, while the S&P 500 rose 22.09 points, or 0.36%, to 6,083.57. The Nasdaq Composite closed 99.66 points, or 0.51%, higher at 19,791.99.
Nvidia shares gained 3.1%, while Eli Lilly stock price rallied 3.3%. Amazon.com share price fell over 4% in extended trade. Tapestry shares jumped 12%, Philip Morris International spiked 10.9% and Honeywell shares dropped 5.6%. Skyworks Solutions shares plunged 24.7% and Qualcomm stock price declined 3.7%.
Amazon Earnings
Amazon.com shares declined over 4% in extended trade after lower-than-expected forecasts for first-quarter revenue and profit. Amazon anticipates sales between $151 billion and $155 billion, compared with the average estimate of $158 billion. Amazon forecast operating profit of $14 billion to $18 billion for Q1, missing an average analyst estimate of $18.35 billion.
The company reported revenue of $187.8 billion in the fourth quarter, compared with the average analyst estimate of $187.30 billion, according to data compiled by LSEG. Net income nearly doubled to $20 billion from $10.6 billion a year earlier. The retailer reported earnings of $1.86 per share, compared with expectations of $1.49 per share, Reuters reported.
US Unemployment Claims
The number of Americans filing new applications for unemployment benefits increased moderately last week. Initial claims for state unemployment benefits rose 11,000 to a seasonally adjusted 219,000 for the week ended February 1. Economists polled by Reuters had forecast 213,000 claims for the latest week.
Bank of England
The Bank of England cut its main interest rate for the third time in six months and halved its growth projection for the British economy this year. The BOE’s nine-member Monetary Policy Committee (MPC) lowered its main interest rate by 25 basis points (bps) to 4.50% from 4.75%, taking it to its lowest level since mid-2023.
Japan Household Spending
Japanese household spending rose for the first time in five months in YoY terms in December and at a much faster-than-expected pace. Consumer spending climbed 2.7% in December from a year earlier, better than the median market forecast for a 0.5% uptick. On a seasonally adjusted month-on-month basis, spending increased 2.3%, versus an expected 0.2% fall.
Gold Prices Today
Gold prices steadied on Friday near record-high levels, and were headed to log their sixth successive weekly gain. Spot gold gained 0.1% to $2,859.59 per ounce, while US gold futures rose 0.3% to $2,884.20.
(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.
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.
- Top Gainers
- Top Losers
- 52 Week High