Sensex, Nifty Set to extend gains on firm global indices
(RTTNews) – Indian stocks could open higher on Thursday as oil extended losses after hitting a nearly three-month low in the previous session on growing global recession fears.
With the rapid decline in commodity prices, inflationary pressures are expected to ease in the coming months.
The Rupee would be in focus today after the Reserve Bank of India announced various measures to increase currency inflows in a bid to control the currency’s slide.
Benchmarks Sensex and Nifty jumped more than 1% each on Wednesday as the sharp drop in oil prices in the previous session helped ease investor concerns about high inflation and interest rate hikes.
Asian markets were mostly higher this morning despite signs that China may return to the kind of tight restrictions seen earlier this year.
U.S. stocks made modest gains overnight after the Fed’s June meeting minutes suggested another interest rate hike of 50 or 75 basis points is likely at the July meeting to control inflation.
The Dow Jones rose slightly 0.2%, while the S&P 500 and the tech-heavy Nasdaq Composite both rose 0.4%.
European stocks rose on Wednesday as German industrial orders data beat expectations and the end of a strike by Norwegian oil and gas workers eased fears of an energy supply shortage.
The pan-European Stoxx 600 index jumped 1.7%. Germany’s DAX rose 1.6%, France’s CAC 40 added 2% and Britain’s FTSE 100 jumped 1.2%.
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