Investors are focusing on forthcoming inflation data from India and the US, which could shape the US Federal Reserve’s future policy decisions. (AI image) Stock market today: Nifty50 and BSE Sensex, the Indian equity benchmark indices, opened in green on Tuesday on positive global cues. While Nifty50 was above 24,850, BSE Sensex was up over 300 points. At 9:20 AM, Nifty50 was trading at 24,860.05, up 87 points or 0.35%. BSE Sensex was at 81,087.75, up 300 points or 0.37%.Investors are focusing on forthcoming inflation data from India and the US, which could shape the US Federal Reserve’s future policy decisions.Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “Market is slowly regaining momentum on expectations of earnings boost from GST reforms. Clearly, autos are the major beneficiaries of the GST cut, and rightly, the market has responded positively. News of huge demand for automobiles post-September 22 will keep the auto stocks resilient despite the recent run up. Nasdaq setting yet another record is positive for US markets. However, there are clear signs of rising inflation and unemployment in the US. Therefore, the Fed is likely to pause after a 25 bp rate cut on September 17th. Therefore Fed commentary will be significant.”“The underperformance of the broader market is a distinct trend now. While the Nifty is down 0.65% in the last one year, Nifty Midcap 150 and Nifty Smallcap 100 are down by 1.9% and 8.08% respectively. The high valuations in the Smallcap segment is getting corrected. The fair valuations in the largecap segment can keep it resilient. Midcap valuations, though high, are getting support from superior earnings growth.”The Nasdaq achieved a new record close on Monday, driven by Broadcom’s strong performance. The S&P 500 also advanced as investors anticipated upcoming interest rate reductions by the Federal Reserve to support economic expansion.Asian equities advanced on Tuesday, reflecting Wall Street’s positive sentiment regarding expected Federal Reserve rate cuts.The dollar dropped to its lowest point in nearly seven weeks on Tuesday, as traders anticipated US employment data revisions. These updates could reveal a weaker jobs situation than previously reported, strengthening arguments for substantial Federal Reserve interest rate reductions.Oil prices increased on Tuesday following OPEC+’s decision to implement smaller-than-expected production increases. The market remained supported by potential supply constraints amid possible new Russian sanctions.Foreign portfolio investors sold shares worth Rs 2,170 crore on Monday, whilst domestic institutional investors purchased Rs 3,014 crore.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)
