Indian Markets Poised for Positive Start as Global Cues Turn Bullish
Market Outlook: Indian Indices Likely to Open Higher
Indian benchmark indices, Sensex and Nifty50, are expected to see a positive start on June 9, tracking favorable cues from GIFT Nifty, which is currently trading around 25,166.
Global Markets Provide Bullish Signals
On June 6, benchmark indices extended gains for a third session, driven by a larger-than-expected rate cut by the Reserve Bank of India (RBI) and a cash reserve ratio (CRR) cut. These measures aimed to boost demand, with the Nifty50 posting its best day in three weeks.
Key Global Market Performances Overnight
- GIFT Nifty: Trading higher at around 25,166, indicating a firm opening for the day.
- Asian Equities: Opened higher as US and China prepare to resume trade negotiations, while positive US jobs data eased recession fears.
- US Equities: Closed higher on Friday, with the S&P500 closing above 6,000 for the first time since February 21, fueled by technology shares.
US Market Highlights
- S&P500: Gained 61.02 points, or 1.03%, to 6,000.32.
- Dow Jones: Rose 442.88 points, or 1.05%, to 42,762.62.
- Nasdaq Composite: Gained 231.50 points, or 1.20%, to 19,529.95.
Bond Yields, Dollar Index, and Commodities
- US Bond Yield: 10-year Treasuries were steady at 4.49%.
- Dollar Index: Held steady against all major currencies.
- Crude: Oil prices held on to last week’s gains.
- Gold: Remained steady after losing almost 2% over the previous two sessions.
Fund Flow Action
On June 6, Foreign Institutional Investors (FIIs) purchased equities worth Rs 1,009.71 crore, while Domestic Institutional Investors (DIIs) bought equities worth Rs 9,342.48 crore.
Conclusion and Outlook
With positive global cues and supportive market sentiments, Indian markets are poised for a positive start. Investors will closely monitor the US-China trade talks and other key economic indicators for further market direction.
