Published 08:09 IST, February 28th 2024
Nifty, Sensex set for subdued start amid global economic caution
Despite the Nifty 50 hitting consecutive record highs last week, it has been trading within a narrow 150-point range for the past three sessions.
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Stock market news: Benchmark indices NSE Nifty 50 and S&P BSE Sensex are poised for a subdued start on Wednesday, following the trend in Asian markets, as investors await crucial US economic indicators. The GIFT Nifty was steady at 22,398 at 8:00 am, indicating a marginal uptick from Tuesday's close of 22,198.35 on the NSE Nifty 50.
Despite the Nifty 50 hitting consecutive record highs last week, it has been trading within a narrow 150-point range for the past three sessions. Vinod Nair, the head of research at Geojit Financial Services, noted, "The market is looking ahead to key economic data, both domestic and global, with US inflation grabbing the most attention, as that will provide fresh signals on interest rate cuts."
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Asian markets opened without much change, while Wall Street ended with a mixed performance after consumer confidence data for February showed a larger-than-expected decline. The focus now shifts to the US Federal Reserve's core personal consumption expenditures (PCE) price index report due on Thursday, which is anticipated to offer insights into the timing of potential rate adjustments.
Expectations for an early US rate cut have diminished, with markets now pricing in a probable cut in June instead of the previously anticipated March, following recent data indicating higher-than-expected inflation and robust labor market figures.
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In the domestic arena, eyes are on the forthcoming growth figures for India, expected after Thursday's closing bell, with forecasts suggesting a moderated growth rate of 6.6 per cent year-on-year for the October-December quarter.
Foreign investors were net sellers of shares worth Rs 1,509 crore on Tuesday, while domestic institutional investors were net buyers, purchasing shares worth Rs 2,862 crore.
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Stocks in focus
- Vodafone Idea: Company approved plan to raise over $5 billion through equity and debt, to roll out its 5G network service and expand 4G coverage.
- ONGC: Company incorporated unit ONGC Green to engage in renewable energy, bio-fuels and bio-gas, green hydrogen businesses.
- GE T&D India: Company received orders crore from Power Grid Corporation of India to supply shunt reactors for various transmission projects.\
(With Reuters inputs.)
08:09 IST, February 28th 2024