Kolkata: Major US stock market indices S&P500 and Nasdaq the trade on June 4 in the green. Almost all the Asian indices are trading in the green o Thursday (June 5) morning. There is near unanimity in the markets that tomorrow Reserve Bank of India (RB) will announce a Repo rate cut that can range between25 and 50 basis points to bring own cost of funds and boost consumption in the country. Amid all these positive cues, will the Indian equity market open in the green and trade with optimism throughout the day?
Global markets
While Dow Jones Futures fell 0.02%, S&P500 rose 0.01% and Nasdaq rose 0.32% on Wednesday, June 4. All the major European indices FTSE, CAC and DAX ended in the green. But for Nikkei, all the major Asian indices — Hang Seng, KOSPI, Taiwan Weighted, Djakarta Composite, Straits Times were trading in the green this morning. Shanghai Composite was moving between red and green. GIFT Nifty was also in the green.
However, on June 4, the rupee fell for the second consecutive day by 26 paise and settled at 85.87 against the US dollar. While the Dollar was strong due to demand from the importers, the Indian currency was under pressure due to tension between Russia-Ukraine and elevated crude oil prices.
Sensex, Nifty on June 4
On June 4, the equity market reversed its three-day losing streak to end higher, thanks to a rally in global equities which could have been fueled by expected relief on the US-China trade talks, better than expected US labour market data and the RBI’s rate cut anticipation. At the close of the trading session, Sensex was up 260.74 points (0.32%) and settled at 80,998.25, while Nifty was up 77.70 points (or 0.32%) to close at 24,620.20. The BSE Mid Cap and Small Cap indices rose 0.76% and 0.58% respectively. In BSE 2071 stocks advanced, 1933 stocks declined and 151 remained unchanged.
In the Sensex pack Eternal (3.32%), Bharti Airtel (1.82%) and Indusind Bank (1.79%) were the major major gainers and Bajaj Finserv (1.66%), Axis Bank (0.90%) and TCS (0.72%) were the major laggards.
Economy indicators
The HSBC India services purchasing managers’ index (PMI) rose marginally in May compared to April — 58.8 in May versus 58.7 in April. According to data, the PMI index was seen at levels above the neutral 50 mark for 46 months consecutively. The 50 mark separates contraction from expansion. Moody’s predicted that the Indian banking sector will be able to mostly preserve asset quality despite trade tensions worldwide.
(Disclaimer: This article is only meant to provide information. News9 does not recommend buying or selling shares or subscriptions of any IPO, Mutual Funds, precious metals, commodity, any form of alternative investment instruments and crypto assets.)
On Jun 4, the Indian equity market gave up its three-day losing streak, thanks to rally in global markets. The question is, with the US indices and Asian markets trading in the green will Sensex and Nifty open on a positive note today (June 5)? Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
