Gap-up opening likely on positive cues from US
Indian equities markets are likely to open the session with a gap-up on Thursday on the back of overnight positive sentiment from the U.S market. The SGX Nifty, which was trading at 9,183, up by 73 points or 0.80 per cent, also signalled a gap-up opening.
Nifty50 needs to hold above the level of 9,120 to start a fresh upmove towards levels of 9,180-9,230, while on the downside, the level of 9,000 is likely to act as strong support.
Back home, after a splendid rally in the previous trading session, Indian markets opened the Wednesday trading session on a flat note and oscillated in a thin range for the entire trading session as investors and traders remained cautious ahead of the outcome of the US Federal Reserve’s monetary policy meeting.
According to data released by the Ministry of Commerce and Industry, India’s exports soared 17.48% to USD 24.5 billion in February, led by petroleum, engineering and chemicals.
The US stocks surged higher on Wednesday as the Federal Reserve raised interest rates. The Dow Jones Industrial Average gained 113 points to end at 20,950. The S&P 500 index rose 20 points to finish at 2,385. The Nasdaq Composite Index advanced 43 points to 5,900. The Fed increased its benchmark interest rate by 25 basis points, noting that headline inflation is moving close to its 2 per cent target. They did not flag any plan to accelerate the pace of monetary tightening, with the policy-setting committee echoing and Fed Chair Janet Yellen emphasising that the future rate increased would be ‘gradual’.
Asian stocks are trading mixed on Thursday. Japan’s Nikkei 225 shed 44 points, while Hong Kong’s Hang Seng surged over 200 points and the Shanghai Composite gained 22 points.