The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open higher on Monday amid gains in global markets after the developments over the US tariffs. The US Supreme Court struck down the sweeping tariffs, but then President Donald Trump raised the new global tariffs rate to 15%.
Asian markets traded higher, while the US stock market gained last week after the SCOTUS ruling on Trump tariffs.
This week, investors will focus on key stock market triggers, including developments over Trump tariffs, India’s GDP data, monthly derivatives expiry, gold and silver prices, trends in foreign funds, and other important domestic and global macroeconomic data.
On Friday, the Indian stock market ended with strong gains, led by strong buying across most sectors.
The Sensex rallied 316.57 points, or 0.38%, to close at 82,814.71, while the Nifty 50 settled 116.90 points, or 0.46%, higher at 25,571.25.
“While supportive global cues may contribute to a positive start to the week, the durability of the move will depend on the Nifty’s ability to reclaim and sustain above key resistance levels. Continued institutional support and improving momentum indicators will be critical in determining whether the current rebound evolves into a sustained uptrend,” said Hariprasad K, Founder, Livelong Wealth.
Here are key global market cues for Sensex today:
Asian Markets
Asian markets traded higher amid Trump’s Tariff move. South Korea’s Kospi rallied 1.7% to a fresh record high, while Kosdaq gained 0.74%. Hong Kong’s Hang Seng index futures signal a higher opening. Markets in China and Japan are closed for a holiday, while Nikkei futures traded higher. MSCI’s broadest index of Asia-Pacific shares outside Japan edged up 0.5%.
Gift Nifty Today
Gift Nifty was trading around 25,750 level, a premium of nearly 167 points from the Nifty futures’ previous close, indicating a gap-up start for the Indian stock market indices.
wall street
US stock market ended higher on Friday as investors absorbed a ruling by the US Supreme Court striking down President Donald Trump’s tariffs.
The Dow Jones Industrial Average gained 230.81 points, or 0.47%, to 49,625.97, while the S&P 500 rallied 47.62 points, or 0.69%, to 6,909.51. The Nasdaq Composite closed 203.34 points, or 0.90%, higher at 22,886.07.
Nvidia stock price rose 1.02%, AMD shares fell 1.58%, Amazon share price rallied 2.56%, Apple shares gained 1.54%, while Meta stock price advanced 1.69%.
Trump Tariffs
The US Supreme Court struck down the global tariffs imposed by the US President Donald Trump as unconstitutional, but later Trump signed an executive order invoking Section 122 of the Trade Act of 1974 to impose a temporary 10% global tariff. Trump then raised this new global rate to 15%, the maximum allowed under Section 122.
US-Iran Nuclear Talks
Iranian Foreign Minister Abbas Araghchi told CBS’ Face the Nation that there is a “good chance to have a diplomatic solution which is based on a win-win game and a solution is at our reach.” He said he expected to meet US special envoy Steve Witkoff for talks, which will be in Geneva.
US GDP, Inflation Data
US economic growth slowed more than expected in the fourth quarter. US GDP increased at a 1.4% annualized rate in the fourth quarter. Economists polled by Reuters had forecast GDP would rise at a 3.0% pace. The economy grew at a 4.4% pace in the third quarter. It grew 2.2% last year.
US inflation increased more than expected in December. The personal consumption expenditures price index, excluding the volatile food and energy components, rose 0.4% after an unrevised 0.2% gain in November. Economists polled by Reuters had forecast the so-called core PCE price index climbing 0.3%. In the 12 months through December, core PCE inflation advanced 3.0% after increasing 2.8% in November.
RBI MPC Meeting Minutes
Strong growth and low inflation convinced the Reserve Bank of India’s (RBI’s) rate-setting panel to stay on pause in February, according to MPC meeting minutes. “Given the present state of the economy and its outlook—buoyant growth and benign inflation—I feel the current policy rate is appropriate,” RBI governor Sanjay Malhotra said in his statement in the minutes, adding that several recent developments on the external front have provided room for greater optimism.
dollars
The dollar fell as traders took the US Supreme Court’s decision to strike down most of President Donald Trump’s tariffs as supportive for global growth. The euro was up 0.4% to $1.1823, and sterling rose by a similar margin to $1.3521. The dollar fell 0.4% to 154.42 yen.
US Treasury yields rose on Friday following the Supreme Court’s ruling. The yield on benchmark US 10-year notes rose 0.8 basis points to 4.083%. The 30-year bond yield rose 2 basis points to 4.7244%. The 2-year note yield rose 1 basis point to 3.48%.
Gold Rate Today
Gold prices rose on safe-haven demand amid Trump tariffs uncertainty. Gold rate today was up 0.7% at $5,144.72 an ounce. Silver prices rallied 2.2% to $86.47 an ounce.
Crude Oil Prices
Crude oil prices fell on expectations of a nuclear deal between the US and Iran. Brent crude oil price declined 1.16% to $70.93 a barrel, while the US West Texas Intermediate (WTI) crude futures dropped 1.19% to $65.68 per barrel.
(With inputs from Reuters)
