Indian shares look set to open higher on Monday as oil prices fell in Asian trade, continuing a downward trend from last week, amid signs that Russia might be willing to have substantive negotiations over Ukraine.
The fourth round of peace talks will be held today, just a day after Russian missiles hit a large Ukrainian base near the border with Poland.
The upside, however, may remain capped by growth concerns with Morgan Stanley cutting India’s GDP growth forecast by 50 bps to 7.9 percent for FY23.
Wholesale and consumer price inflation data as well as the outcome of central bank meetings in the United States and England may sway sentiment as the week progresses.
The BSE and NSE will be closed on Friday on account of the Holi festival.
Asian stocks traded mixed this morning, with mainland Chinese and Hong Kong markets retreating, after the southern Chinese tech hub Shenzhen was put under a citywide lockdown Sunday to slow an outbreak of Covid-19.
The Japanese yen slid to a new five-year low and gold declined on firmer U.S. yields while oil prices around 3 percent in Asian trade.
U.S. stocks ended lower on Friday, as the U.S. moved to sever normal ties with Russia, a measure on U.S. consumer sentiment fell more than expected in early March and Ukraine’s top diplomat said he didn’t see progress in talks with Russia.
The Dow dropped 0.7 percent, the S&P 500 gave up 1.3 percent and the tech-heavy Nasdaq Composite index fell 2.2 percent.
European stocks closed on a positive note Friday as the U.K. economy returned to growth in January and Russian president Vladimir Putin said there were some “positive shifts” in talks with Ukraine.
The pan European Stoxx 600 rose about 1 percent. The German DAX rallied 1.4 percent, France’s CAC 40 index gained 0.9 percent and the U.K.’s FTSE 100 added 0.8 percent.
Market Analysis
Sensex, Nifty Seen Higher At Open As Oil Prices Slip
2022-03-14 03:10:33
