Indian equity benchmarks witnessed a strong opening on Thursday, November 5, as a sharp decline in crude oil prices and improving hopes of easing geopolitical tensions in West Asia lifted investor sentiment. The rally in global markets following the US midterm election outcome also provided support to domestic equities.
The BSE Sensex soared nearly 1,400 points and opened trading close to 78,700, while the NSE Nifty50 jumped more than 350 points and crossed 24,300, as of 9:15 AM.
GIFT Nifty Signals Strong Opening For Dalal Street
GIFT Nifty pointed to a sharp gap-up start for the domestic market, with futures surging 342 points to 24,311 in early trade.
At around 9:08 am, the Sensex was trading at 78,942.26, up 1,640.86 points, or 2.12 per cent. The Nifty stood at 24,375.15*, gaining 415.05 points, or 1.73 per cent.
Investors appeared encouraged by the decline in oil prices and expectations that the latest US midterm election results could pave the way for progress towards ending the West Asia conflict. Developments in global markets, crude oil movements and the ongoing corporate earnings season are expected to remain key triggers during the session.
Asian Markets Trade Mixed As Investors Rotate Out Of Tech Stocks
Asian equities delivered a mixed performance on Thursday as investors shifted away from technology stocks towards consumer and financial shares.
Japan’s Nikkei 225 declined 0.39 per cent, while South Korea’s Kospi fell sharply by 3.6 per cent.
The uneven performance across the region came even as US markets rallied overnight, highlighting differences in investor positioning and sectoral trends.
Wall Street Rallies After US Midterm Election Results
US equity benchmarks ended Wednesday’s session firmly higher, with the Dow Jones Industrial Average leading the gains.
The Dow Jones advanced 3.03 per cent, while the S&P 500 and the Nasdaq Composite rose 1.58 per cent and 1.44 per cent, respectively.
The gains followed the US midterm election outcome, which fuelled hopes of a faster resolution to the West Asia conflict and eased concerns around energy supply disruptions.
Crude Oil Prices Fall Below $100 Per Barrel
Oil prices extended their decline after Brent crude slumped around 8 per cent in the previous session. The fall came as the US midterm election results raised expectations of progress towards easing the conflict in West Asia.
On the Intercontinental Exchange, Brent crude futures for January delivery were quoted at $93 per barrel, down 1.04 per cent.
The decline in crude prices is a positive development for India, which relies heavily on imported oil. Lower energy costs could help ease inflationary pressures, reduce the import bill and improve sentiment towards oil-sensitive sectors.
Gold And Silver Prices Rise As Inflation Concerns Ease
Precious metals moved higher as softer energy prices eased concerns over inflation and reduced expectations of aggressive monetary tightening in the US.
Gold futures rose 1.7 per cent, while silver futures advanced 1.9 per cent.
Investors will continue to track movements in the dollar, bond yields and global commodity prices for further direction in precious metals.
Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: abplive.com
