Indian equity markets are poised for a muted opening on Friday, 29 November 2024, as suggested by the GIFT Nifty. Asian markets showed mixed signals, with notable declines in indices like Japan’s Nikkei 225 and South Korea’s Kospi.
On Thursday, the NSE Nifty 50 fell by 360 points (1.49%) to close at 23,914, while the BSE Sensex posted gains of 1,190 points (1.48%), closing at 79,043. Investors remain cautious amid global economic developments and fluctuating market conditions.
Global Market Overview
Asian Markets
Key indices in the Asia-Pacific region reflected weak investor sentiment due to economic data releases:
- Japan: The Nikkei 225 fell by 0.66%, closing at 38,099.78, driven by higher-than-expected inflation at 2.6%.
- South Korea: The Kospi index was down 1.70%, trading at 2,462, influenced by industrial production reports.
- China: The Shanghai Composite traded flat at 3,295, reflecting mixed market sentiments.
- Asia Dow: Down by 0.40%, closing at 3,694.48.
Wall Street
The US markets were closed on 28 November for Thanksgiving and will observe early trading hours on 29 November. Before the holiday, major indices showed mixed performance:
- Dow Jones: Fell by 138 points (0.31%), closing at 44,722.
- S&P 500: Declined by 0.38%, ending at 5,999.
- Nasdaq Composite: Gained 0.6%, closing at 19,060, led by tech stocks.
Currency Market
The US Dollar Index (DXY) dipped by 0.26% to 105.90 in early trade on Friday, signaling slight weakness against major currencies. The Indian Rupee depreciated to ₹84.49/USD, reflecting global currency trends.
Crude Oil
Oil prices showed minor declines:
- WTI Crude: Trading at $68.90, down by 0.04%.
- Brent Crude: Trading at $72.59, down by 0.63%.
Domestic Market Insights
Foreign and Domestic Investments
Provisional data from 28 November 2024 highlights contrasting trends in investment activity:
- Foreign Institutional Investors (FIIs): Net sellers, offloading shares worth ₹11,756.25 crore.
- Domestic Institutional Investors (DIIs): Net buyers, acquiring shares worth ₹8,718.30 crore.
Factors Influencing Today’s Market
- Inflation Data from Japan:
Headline inflation at 2.6% exceeded expectations, signaling potential monetary policy shifts in Asian markets. - Crude Oil Volatility:
Fluctuating oil prices impact sectors like energy and transportation, influencing broader market performance. - Currency Movements:
A weaker US Dollar and rupee depreciation could affect foreign trade and investment sentiment in India. - Global Market Trends:
Weakness in Asian indices and the mixed performance of Wall Street ahead of Thanksgiving weigh on Indian market expectations.
