Indian stock market: Major overnight changes – Nifty up, CPI down, Trump Shooting.

PrimePress: Get ready for a bullish start in the Indian stock market as it is expected to open in the green amidst mixed global cues.

The US stock market ended higher on bets that the US Federal Reserve will cut interest rates in September.

Traders are now placing a 94% chance of a rate cut by September, up from 78% a week ago, as per CME Group’s FedWatch.

On the last trading day, the Indian stock market benchmark indices closed higher after reaching fresh all-time highs, driven by gains in select IT and banking heavyweights.

The Sensex surged 622.00 points, or 0.78%, to end at 80,519.34, while the Nifty 50 settled 186.20 points, or 0.77%, higher at 24,502.15.

“Nifty, after witnessing profit booking earlier in the week, bounced back fueled by positive Q1 earnings from IT major TCS, boosting market sentiments. This momentum is expected to continue with support from healthy quarterly results, anticipation of a rate cut, and a pre-budget rally,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.

This week, investors will be closely monitoring for any Union Budget-related or government policy announcements, the next round of Q1 results, domestic and global macroeconomic data, corporate declarations, foreign fund flows, trends in crude oil prices, and other significant global cues influencing market movements.

Here are the key global market cues for the Sensex today:

Asian Markets

With the US dollar strengthening after an assassination attempt on Donald Trump, Asian stocks showed mixed results, reported Bloomberg.

While Hong Kong futures hinted at an early loss in trading, Australian and South Korean equities saw gains. Bond rates in Australia saw a slight decline. Bitcoin prices climbed above $60,000 following the incident.

Gift Nifty Today

Gift Nifty was trading around 24,616.50 level, indicating a positive start for the Indian stock market indices, with a premium of nearly 87 points from the Nifty futures’ previous close.

Wall Street

The US stock market closed higher on Friday, with the S&P 500 and Dow Jones Industrial Average hitting intraday record highs.

The Dow Jones Industrial Average increased by 0.62% to 40,000.90 points, while the S&P 500 rose by 0.55% to close at 5,615.35 points. The Nasdaq ended 0.63% higher at 18,398.45.

For the week, the S&P 500 rose by 0.9%, the Nasdaq added 0.2%, and the Dow climbed by 1.6%.

Apple and Nvidia shares closed with over 1% gains each, while Tesla saw a 3% jump. On the other hand, JPMorgan Chase, Wells Fargo, and Citigroup witnessed declines in their stock prices.

Donald Trump Shooting

Former US President Donald Trump was wounded in an assassination attempt on Saturday at a rally in Butler, Pennsylvania. The shooter was shot dead, and the Secret Service is investigating the incident as an assassination attempt.

India Inflation

India’s retail inflation spiked to a four-month high in June, rising to 5.08% year-on-year, following a 12-month low of 4.75% in May.

India IIP

India’s Index of Industrial Production (IIP) showed a 5.9% growth in May compared to 5% in April, with the IIP growth in May 2023 recorded at 5.7%.

HCL Tech Q1 Results

HCL Technologies reported a 6.8% increase in net profit for the first quarter of FY25 at ₹4,257 crore. However, its revenue from operations fell by 1.6% to ₹28,057 crore, while revenue in dollar terms declined by 1.9% sequentially to $3,364 million. EBIT in the June 2024 quarter decreased by 4.3% to ₹4,795 crore, with the EBIT margin contracting by 50 bps to 17.1%.