Stock Market Today, September 7: Indian benchmark indices are likely to open flat to lower on September 7, tracking GIFT Nifty, which was trading marginally down at around 23,980.50 in early trade.
Indian stock markets ended a 4-day losing streak to close in the green on Friday, with the benchmark BSE Sensex rebounding 362 points, buoyed by buying in metal, private banking, and oil and gas shares amid gains in global stock markets.
The broader NSE Nifty, however, saw a modest rise of 24.25 points, or 0.10 per cent, to end at 23,897.70. The index traded higher for most of the session and breached 24,000 level to hit a high of 24,005.75 intra-day, up by 132 points. However, it pared gains in the newly introduced Closing Auction Session, settling with modest gains.
Asian Markets: Asian equities rallied on Monday, supported by a robust US jobs report that boosted optimism over global economic growth, even as it reduced expectations of an interest-rate hike. Oil prices edged higher after the US and Iran attacked ships in the Gulf.
US Markets: Wall Street ended lower on Friday as a stronger-than-expected jobs report increased expectations that the US Federal Reserve could raise its key interest rate at this month’s policy meeting. All three major U.S. stock indexes closed in the red amid a broad-based selloff ahead of the three-day holiday weekend. For the week, however, the indexes were largely unchanged.
USD: The dollar index received only a modest boost from the jobs report, as concerns over rising US debt and policy uncertainty continue to weigh on the currency’s purchasing power, prompting investors to seek scarce assets such as gold.
US Bond Yield: The US 10-year Treasury yield was trading near its highest level since late 2023 at 4.7840 per cent, while the 10-year Treasury yield remained unchanged at 4.36 per cent.
Asian currencies: Asian currencies mostly strengthened against the US dollar, led by the South Korean won, which advanced 0.69 per cent. The Indonesian rupiah gained 0.21 per cent, followed by the Japanese yen at 0.23 per cent, Taiwan dollar at 0.16 per cent and Chinese renminbi at 0.12 per cent. The Thai baht rose 0.10 per cent, while the Philippine peso declined 0.12 per cent. The Malaysian ringgit fell 0.03 per cent, and the Singapore dollar slipped 0.02 per cent.
Crude Oil: Oil prices extended their gains on Monday as tit-for-tat attacks by the US and Iran on vessels in the Strait of Hormuz and other areas intensified concerns over a prolonged disruption to oil supplies from the Middle East.
Gold Prices: Gold prices remained under pressure after stronger-than-expected US payroll data and escalating tensions in the Middle East increased expectations of a potential interest-rate hike as early as next week.
FII and DII: Domestic institutional investors (DIIs) extended their buying streak to the 19th consecutive session, purchasing equities worth Rs 8,930 crore on September 4. In contrast, foreign institutional investors (FIIs) remained net sellers for the second straight session, offloading shares worth Rs 3,111 crore.
Disclaimer: The above article is meant for informational purposes only and should not be considered investment advice. ET NOW DIGITAL suggests its readers/audience consult their financial advisors before making any money-related decisions.
