The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open lower on Monday amid mixed overnight global cues.

Asian markets traded largely flat, with several exchanges shut for holidays, while the US stock market closed on a mixed note last week.

This week, investors will track key market triggers, including the US Federal Reserve meeting minutes, the RBI MPC minutes, foreign capital flows, trends in IT stocks, movements in gold and silver prices, and major domestic and global macroeconomic data releases.

However, on Friday, Indian equities closed sharply lower as heavy selling in IT stocks, driven by concerns over AI disruption and its potential impact on the global economy, dragged the indices down.

Domestic Market Recap

On Friday, Indian indices closed in the red:

• Sensex crashed by 1,048.16 points (1.25%) to close at 82,626.76
• Nifty 50 moved down by 336.10 points (1.30%) to settle at 25,471.10

Gift Nifty

Gift Nifty was trading near 25,465, around 54 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 on a mixed note on Friday, while Treasury yields declined after January’s inflation data came in cooler than expected. The softer inflation reading strengthened expectations that the Federal Reserve could move toward interest rate cuts.

• The Dow Jones Industrial Average gained by 48.95 points (0.10%) to close at 49,500.93.
• S&P 500 moved up by 3.41 points (0.05%), ending at 6,836.17.
• The Nasdaq Composite slumped by 50.48 points (0.22%), finishing at 22,546.67.

Gold Prices

• Spot gold was trading 0.3% lower at $5,026.96 per ounce.

Crude Oil Prices

• Brent crude slipped by 0.03% to $67.73/barrel
• US West Texas Intermediate (WTI) crude was trading 0.05% higher at $62.86/barrel

Overnight Major Global Events Driving Sentiment

1. US Inflation: US consumer prices rose less than expected in January. The Consumer Price Index (CPI) increased 0.2% during the month, following an unrevised 0.3% rise in December. 
2. Japan GDP Growth: Japan’s economy recorded a modest annualised growth of 0.2% in the October–December quarter. The expansion fell short of the 1.6% median estimate in a Reuters poll and came after a revised 2.6% contraction in the previous quarter. On a quarterly basis, GDP grew 0.1%.

The future of investing is here!
Tradz by EquityPandit leverages advanced AI technology to provide you with powerful market predictions and actionable stock scans. Download the app todayand 10x your trading & investing journey!