The Indian equity benchmark indices, Sensex and Nifty 50, are likely to open cautiously on Friday as overnight global markets weakened amid escalating US-China trade tensions. Gift Nifty trends also indicated a negative start for domestic equities.

Asian markets traded in the red, while US stocks declined overnight as tensions between Washington and Beijing intensified.

However, on Thursday, Indian markets posted strong gains for the second straight session, with both benchmark indices rallying about 1% each.

Domestic Market Recap

On Thursday, Indian indices closed in the green:

• Sensex soared by 862.23 points (1.04%) to close at 83,467.66
• Nifty 50 moved up by 261.75 points (1.03%) to settle at 25,585.30

Gift Nifty

Gift Nifty was trading near 25,622, around 34 points lower than the previous Nifty futures close, hinting at a negative start for Indian markets.

Overnight Wall Street Performance

The US stock market closed lower on Thursday as heavy selling in financial stocks, coupled with growing credit concerns and escalating US-China trade tensions, weakened investor sentiment.

• The Dow Jones Industrial Average slumped by 301.07 points (0.65%) to close at 45,952.24.
• S&P 500 down by 41.98 points (0.63%), ending at 6,629.08.
• The Nasdaq Composite was trading lower by 107.54 points (0.47%), finishing at 22,562.54.

Crude Oil Prices

• Brent crude slumped by 0.13% to $60.98/barrel
• US West Texas Intermediate (WTI) crude was trading 0.16% lower at $57.37/barrel

Gold Prices 

Gold prices continued their record-breaking surge, heading toward their strongest weekly performance in 17 years.

• Spot gold was trading 0.9% higher at $4,364.79 per ounce.
• The US gold futures gained by 1.6% at $4,373.20.

Overnight Major Global Events Driving Sentiment

1. Trump-Putin Meeting: US President Donald Trump and Russian President Vladimir Putin agreed to hold another summit focused on the war in Ukraine. Trump announced that the meeting could take place within the next two weeks in Budapest, following what he described as a productive two-hour phone conversation with Putin.
2. US Federal Reserve: Federal Reserve Governor Christopher Waller expressed his support for another interest rate cut at the central bank’s meeting later this month. Meanwhile, newly appointed Governor Stephen Miran also backed a more aggressive approach to rate reductions in upcoming meetings, differing from some of his colleagues’ more cautious stances.

Ready to invest like a pro? Unicorn Signals app equips you with 100+ Free tools and knowledge you need to succeed. Download the Unicorn Signals app and gain access to daily stock lists and insightful market analysis and much more!