Sensex, Nifty Seen Tad Lower Ahead Of Industrial Output, Inflation Readings

Indian shares may open a tad lower on Wednesday as investors react to mixed global cues and await industrial production and retail inflation figures for direction.

The World Bank has retained its growth forecast for India at 6.6 percent for FY25 and said the country will continue to be the fastest-growing major economy.

Meanwhile, Morgan Stanley said it remains bullish on Indian equities due to strong earnings growth, driven by structural reforms.

It expects India’s per-capita income to more than double by fiscal 2034, potentially unlocking further domestic consumption.

Benchmark indexes Sensex and Nifty ended a choppy session on a flat note Tuesday while the rupee ended at a record low of 83.57 against the dollar.

Asian markets traded mixed this morning as caution prevailed ahead of the release of U.S. consumer price data and the Federal Reserve interest-rate decision later in the day.

The Fed is widely expected to leave interest rates unchanged, but traders will pay closer attention to Fed officials’ updated projections for the economy and rates.

Market participants see diminished prospects for easing this year, with many analysts expecting the first rate cut by the Federal Reserve only in November.

The dollar was little changed in Asian trading after hitting a four-week high against peer currencies overnight. Treasuries steadied after climbing on a solid $39 billion sale.

Gold edged lower while oil extended gains after industry data pointed to shrinking U.S. crude stockpiles.

U.S. stocks ended mixed overnight as Apple unveiled its artificial intelligence features and Treasury yields extended their decline ahead of upcoming inflation data and the Federal Reserve’s policy meeting.

The tech-heavy Nasdaq Composite climbed 0.9 percent and the S&P 500 edged up 0.3 percent to reach new record closing highs while the Dow dipped 0.3 percent.

European stock fell on Tuesday as EU political uncertainty weighed and U.K. employment data painted a mixed picture of the economy.

The pan European STOXX 600 declined 0.9 percent. The German DAX shed 0.7 percent, France’s CAC 40 gave up 1.3 percent and the U.K.’s FTSE 100 lost 1 percent.