Latest news with #MSCIAsia
Business Recorder
2 days ago
- Business
- Business Recorder
Indian shares set for weak start on Middle East turmoil, hawkish Fed
India's equity benchmarks are set to open lower on Thursday, pressured by hawkish signals from the U.S. Federal Reserve and persistent geopolitical turmoil in the Middle East. The Gift Nifty futures were trading at 24,768, as of 7:33 a.m. IST, indicating that the Nifty 50 will open below the previous close of 24,812.05. Broader Asian markets declined, with the MSCI Asia ex-Japan index slipping 0.8%. On Wall Street, U.S. equities closed largely unchanged after the Fed left interest rates steady but signalled a slower path for rate cuts, projecting two reductions by year-end. Fed Chair Jerome Powell also noted that goods inflation could accelerate over the summer, partly driven by tariffs linked to U.S. President Donald Trump's trade policies. A slower pace of monetary easing is likely to curb foreign investors' appetite for riskier emerging market assets such as Indian equities. Geopolitical risks remain front and center. The Israel-Iran conflict stretched into a seventh day, with Iranian Supreme Leader Ayatollah Ali Khamenei rejecting Trump's demand for unconditional surrender. In response, Trump said his patience had run out and warned of unpredictable consequences. 'Indian market continues to wrestle with macro headwinds —rising crude prices, sticky inflation, and geopolitical flashpoints — all of which cloud earnings visibility,' Bajaj Broking Research wrote in a note. India's equity benchmarks snap two-day losing streak Both the Nifty and Sensex indexes fell in the last two sessions, but the losses were marginal. Domestic institutional investors purchased Indian shares for the 22nd straight session on Wednesday, buying stock worth 10.91 billion rupees ($126.26 million), and helping cushion volatility from foreign flows.
Business Recorder
3 days ago
- Business
- Business Recorder
Indian shares inch lower weighed by Mideast conflict; Fed policy awaited
Indian shares closed lower on Wednesday, as escalating hostilities in the Middle East dampened investor sentiment ahead of the U.S. Federal Reserve's monetary policy decision. The Nifty 50 fell 0.17% at 24,812.05 and the BSE Sensex lost 0.17% to 81,444.66. Both the benchmarks swung between 0.3% gains and losses in morning trade before settling lower. Losses were broad-based, with ten of 13 sectoral indexes declining. The more domestically focussed small-caps and mid-caps fell 0.2% and 0.5%, respectively. Broader Asian markets fell, with the MSCI Asia ex-Japan index down 0.4%, as the Israel-Iran war stretched into its sixth day, amplifying fears of regional escalation. Investors were also cautious ahead of the U.S. Federal Reserve's policy decision due after markets close on Wednesday. The Fed is expected to keep rates unchanged, but markets will parse its revised economic projections for clues on the path ahead. Indian shares slip as Trump's Tehran warning, oil surge rattle investors 'Middle East tensions have stirred volatility, but the strong dip buying shows investors are not hitting the panic button just yet,' said Amit Jain, co-founder of Ashika Global Family Office. 'Unless the geopolitical shocks intensify, the pullbacks may prove fleeting, as robust domestic inflows continue to anchor the markets,' Jain said. Domestic institutional investors purchased Indian shares worth 82.07 billion rupees (about $950 million) on Tuesday, marking their 21st straight session of net buying. Among individual stocks, IndusInd Bank surged 5.1% after Nomura upgraded the lender's stock to 'Buy' from 'Neutral' and raised the target price, citing a significant clean-up of its books. Reliance Infrastructure climbed 5% after its unit and France's Dassault Aviation announced a partnership to manufacture Falcon 2000 business jets in India. Hindustan Zinc fell 6.9% after parent Vedanta sold a 1.6% stake in the miner via a $350 million block deal at a 7% discount to last close.
Economic Times
3 days ago
- Business
- Economic Times
Sensex jumps 200 pts, Nifty above 24,900 led by gains in financial, auto stocks
Indian benchmark indices reversed early losses to trade higher on Wednesday, supported by gains in financial and auto stocks, even as global sentiment remained cautious amid rising tensions in the Middle East and firm crude oil prices. ADVERTISEMENT At around 9:43 am, the BSE Sensex rose 264 points, or 0.33%, to 81,854, while the Nifty50 gained 81 points, or 0.32%, to 24,932. The Sensex rebounded sharply, rising 550 points from the day's low of 81,304. Meanwhile, broader Asian markets also opened lower, with the MSCI Asia ex-Japan index down 0.5%. Among Sensex constituents, Power Grid, Kotak Bank, Infosys, Bajaj Finance, HDFC Bank, NTPC, and Axis Bank traded in the red. On the other hand, IndusInd Bank, HCL Tech, Sun Pharma, and Eternal opened with gains. On the sectoral front, Nifty Auto, IT, Realty, and Oil & Gas surged 0.3% to 1%, while Nifty PSU Bank, Financial, and Media opened lower. Among individual stocks, Hindustan Zinc dropped 6% in early trade as 14.8 lakh shares of the company changed hands in a block deal. ADVERTISEMENT Shares of BSE also slipped 6.2% after the SEBI granted approval to the NSE to shift its weekly equity derivatives expiry day from Thursday to Tuesday, effective September 1, 2025. Expert View ADVERTISEMENT "Latest tweet by President Trump and the US defence movements in West Asia signal aggravation of the conflict. However, there is no panic in global equity markets and it appears that the markets' assessment is that this conflict will end soon without impacting the global economy," said Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments."Despite the high valuations, particularly in the broader market, the market is likely to remain resilient supported by sustaining strong liquidity and hopes of turn around in earnings. The 24500-25000 range will hold in the near-term and is likely to be broken on the upside when positive news relating to the West Asian conflict comes. Buy on dips strategy will continue to work," Vijayakumar added. ADVERTISEMENT Global Markets Concerns over escalating hostilities in the Middle East stayed front and centre in markets on Wednesday, sending oil prices higher and investors rushing for the safety of U.S. Treasuries and the dollar while dumping broadest index of Asia-Pacific shares outside Japan fell 0.26% as did EUROSTOXX 50 futures, which declined 0.4%.U.S. stock futures were little changed after the cash session on Wall Street ended in the red overnight. ADVERTISEMENT FII/DII TrackerDomestic institutional investors extended their buying streak for the 21st consecutive session on Tuesday, purchasing shares worth Rs 7,796 crore. Foreign portfolio investors also turned buyers after four sessions of selling, picking up equities worth Rs 1,616 crore. Crude Oil Oil prices ticked up in early trading on Wednesday after ending the previous session up more than 4% on worries that the Iran-Israel conflict could disrupt crude futures rose 19 cents, or 0.25%, to $76.64 a barrel by 0029 GMT. U.S. West Texas Intermediate crude futures rose 23 cents, or 0.31%, to $75.07 per barrel. Rupee vs Dollar The Indian rupee fell 8 paise to 86.42 against the US dollar in early trade. The dollar index, which tracks the movement of the greenback against a basket of six major world currencies, declined 0.12% to 98.7 level. (With inputs from agencies) (You can now subscribe to our ETMarkets WhatsApp channel)
India Today
3 days ago
- Business
- India Today
Stock market opening: Sensex, Nifty likely to open flat today. Check key levels
The stock market is expected to open flat on Wednesday, June 18, as tensions in the Middle East continue to rise. This has pushed oil prices higher, making investors more cautious. Global uncertainty and risk-averse behaviour may influence the market mood in today's of 8:23 am, Gift Nifty futures were trading at 24,852. This suggests that Nifty50 is likely to begin the day close to Tuesday's closing level of 24, Ambala, a Sebi-registered research analyst and co-founder of Stock Market Today, said that Nifty could find support in the range of 24,730 to 24,650. On the higher side, resistance may appear between 25,080 and 25,150 during intraday GLOBAL CUESOther Asian markets were also under pressure in early trade. The MSCI Asia ex-Japan index fell by 0.5%. Meanwhile, Wall Street closed in the red overnight. This happened as the war between Israel and Iran entered its sixth day. With no signs of the conflict easing, investors are worried it could spread further across the oil-rich oil prices have gone up due to these worries. This rise in oil costs is not good news for countries like India, which import most of their oil needs. Higher oil prices increase the country's import bill, and can impact inflation and currency to the global concerns, investors are also waiting for the U.S. Federal Reserve's policy decision due later tonight. While the Fed is expected to keep interest rates unchanged, people will be watching closely for any changes in the central bank's future economic outlook and rate PARTICIPANT BEHAVIOUROn the domestic front, institutional investors continued their support. Domestic institutional investors (DIIs) were net buyers for the 21st day in a row on Tuesday. In contrast, foreign portfolio investors (FPIs) stopped their four-day selling streak and turned buyers pointed out that the rise in oil prices and the continuing war in the Middle East have also put pressure on the Indian rupee. This has added uncertainty for foreign investors, especially in sectors like banking and financial services. These global and local pressures, she said, have caused a pause in the market's recent upward INDICATORS AND MARKET TRENDAmbala also explained that the Nifty chart is showing a "Dark Cloud Cover" candlestick pattern, which is usually seen as a sign of a possible reversal in trend. Based on this, she said that the range between 24,650 and 25,100 will be important in deciding the next 2% to 4% move in added that the Nifty 50 index's price-to-earnings (PE) ratio has increased from 21.20 at the start of the financial year to 22.42 now. This could be a sign that investors still expect the market to move higher in the coming also explained how dividend yields and Nifty prices usually move in opposite directions. "When the dividend yield is low, Nifty often moves higher," she said. At present, the dividend yield is 1.115%, which points to a positive outlook for the Watch advertisement
Business Recorder
3 days ago
- Business
- Business Recorder
India equity benchmarks set for muted open as Mideast tensions spur risk aversion
India's equity benchmark indexes are set for a muted start on Wednesday as escalating hostilities in the Middle East have pushed oil prices higher and spurred risk aversion. The Gift Nifty futures were trading at 24,834 as of 7:43 a.m. IST, indicating that the Nifty 50 will open near the previous close of 24,853.4. Other Asian markets opened lower, with the MSCI Asia ex-Japan index losing 0.5%. Wall Street equities fell overnight while crude prices rose as the Israel-Iran war entered its sixth day, heightening investor concerns over a broader escalation in the oil-rich Middle East. Rising crude prices hurt economies like India, where oil makes up a large portion of the import bill. Middle East tensions, prolonged uncertainty over U.S. President Donald Trump's tariffs and signs of U.S. economic weakness create a fraught backdrop for the Federal Reserve's policy decision due later on Wednesday. The Fed is expected to hold rates steady, and attention will be on its updated economic and rate projections. India's equity benchmarks snap two-day losing streak Domestic institutional investors were net buyers of Indian stocks for the 21st session in a row on Tuesday, purchasing shares worth 82.07 billion rupees (about $950 million). Foreign portfolio investors snapped a four-session selling streak. Among individual stocks, BSE will be in focus after India's markets regulator approved requests from the National Stock Exchange of India and BSE to move the expiry of equity derivatives contracts to Tuesdays and Thursdays, respectively. The move can lead to a potential drop in volumes and impact BSE's market share gains, according to UBS and Goldman Sachs.
