Markets Set for a Green Day as Optimism Prevails

12 Jun 2023 , 09:06 AM

Indian equity markets end last week on a negative note following RBI’s unchanged repo rate and US Fed policy outcome.

However, early morning, Asian markets trade mixed with Nikkei, Straits Times up, Kospi down while SGX Nifty indicates positive start for the Indian market. S&P 500 and Nasdaq hit fresh 2023 highs as Tesla rallies on the eve of the Federal Reserve’s policy meeting and inflation data next week.

In cautious trading early on Monday, major currencies exhibited narrow trading ranges as investors awaited interest rate decisions scheduled for this week from the United States, Europe, China, and Japan. Treasuries showed minimal fluctuations during this period.

Oil prices experienced a slight decline as investors awaited a Federal Reserve meeting to assess the central bank’s stance on potential rate hikes. The market sentiment was influenced by concerns surrounding China’s fuel demand growth and increasing crude supply from Russia, which exerted downward pressure on prices.

On Friday, the Indian rupee strengthened by 4 paise against the US dollar to close at 82.47. This appreciation occurred in the backdrop of a weak sentiment in the domestic equities market.