Sensex, Nifty Seen Little Changed At Open

Indian shares are seen opening on a flat note Friday as investors react to a slew of domestic data.

India’s GDP for the third quarter of the ongoing financial year accelerated to 8.4 percent year-on-year, while analysts had predicted growth below 7 percent.

India’s core sector growth hit a 15-month low of 3.6 percent in January while the government’s fiscal deficit reached 63.6 percent of the FY24 target in the first nine months of the current fiscal year.

Benchmark indexes Sensex and Nifty ended a choppy session modestly higher on Thursday on eve of monthly F&O expiry.

The rupee ended little changed but logged its third consecutive monthly gain.

Asian markets traded mixed this morning and the dollar index was little changed while Treasuries steadied after edging higher overnight.

Official data released earlier in the day showed China’s factory activity shrank for the fifth straight month in February, adding to pressure on the economy.

At the same time, the Caixin/S&P Global manufacturing PMI nudged up slightly to 50.9 in February from 50.8 in January.

Gold was little changed after climbing to a three-week high.

Oil edged up slightly in Asian trade after the U.S. Energy Information Administration said oil demand in the U.S. surged to a four-year high in 2023 and would likely hold near that level through 2024.

U.S. stocks fluctuated before finishing higher overnight as a slew of weak data eased rate concerns.

Weekly jobless claims rose more than expected and pending home sales posted a surprise drop in January while the Federal Reserve’s preferred inflation gauge edged lower on an annual basis in the month, matching expectations.

The tech-heavy Nasdaq Composite and the S&P 500 gained 0.9 percent and half a percent, respectively to reach new record closing highs while the Dow edged up 0.1 percent.

European stocks closed on a mixed note Thursday despite signs of softening inflation in Germany, France and Spain. The pan European STOXX 600 ended largely unchanged.

France’s CAC 40 dipped 0.3 percent while the German DAX rose 0.4 percent and the U.K.’s FTSE 100 finished marginally higher.