The Indian stock market started the week on a b note. On Monday, the Sensex opened 230 points higher and the Nifty neared 25,000. Global markets rose on the back of US Fed Chair Jerome Powell's dovish stance and expectations of interest rate cuts. However, investors remained cautious about US-India tariffs and upcoming economic data.
Stock Market Today: Today (Monday), the Indian stock market opened positively. The Sensex opened at 81,501.06, up 194 points from its previous close, while the Nifty50 started at 24,949.15. Infosys was the top gainer in early trading. The Nifty approached the psychological level of 25,000. This surge is attributed to the US Federal Reserve's (US Fed) potential interest rate cuts and positive signals from the global market.
Last Week's Performance
Last week, the stock market witnessed significant volatility. The BSE Sensex rose 709 points, or 0.87 percent, over the entire week, while the Nifty recorded a gain of 238 points, or 0.96 percent. However, the market declined on Friday, breaking a six-day streak of gains. Both the Sensex and Nifty fell by nearly 1 percent. This was due to uncertainty in global markets and investors becoming cautious ahead of US Fed Chair Jerome Powell's speech.
Gift Nifty Indicates Weak Start
Gift Nifty, formerly known as SGX Nifty, indicated a negative start on Monday morning. At 9:10 am, Gift Nifty was trading down 46 points, or 0.19 percent, at 24,950.50. This suggested that the domestic stock market could start weakly. However, contrary to this, the Indian market opened bly.
Sharp Decline on Friday
On the last day of last week, i.e., August 22, the stock market recorded a sharp decline. On that day, the Sensex fell 0.85 percent, or 693.86 points, to close at 81,306.85. Meanwhile, the Nifty fell 0.85 percent, or 213.65 points, to close at 24,870.10. This decline had made investors cautious.
Asian Markets Surge
Asian markets saw a surge on Monday. The benchmark index of the Australian stock market reached a new record level. China's CSI 300 and Hong Kong's Hang Seng Index strengthened by more than 1 percent. Japan's Nikkei Index also traded with a gain of nearly 0.7 percent.
US Federal Reserve Chairman Jerome Powell delivered a speech at the Jackson Hole conference in Wyoming on Friday. He indicated that the path to interest rate cuts would be kept open. Powell said that employment figures have been weak in recent days, and if this situation continues, a change in policy stance is possible. However, he also warned that President Donald Trump's tariff decisions could increase the risk of inflation.
Investors Focus on This Week
Investors will now be watching for key data and events coming this week. This includes the latest US inflation figures, Nvidia Corp's quarterly results, and income data from the Asian region. In addition, the Federal Reserve's next meeting is scheduled for September 16 and 17. According to Bloomberg, there is an 84 percent probability of an interest rate cut at this meeting.
