From global cues to US inflation, 10 things to know before the opening bell today

Indian equity benchmarks NSE Nifty50 and BSE Sensex are likely to begin Wednesday’s session on a positive note, tracking strong cues from other major markets around the globe. Official data released on Tuesday showed consumer inflation in the world's largest economy eased to a two-year low, supporting optimism about a reduction in the key lending rates soon.

Market participants on Dalal Street are set to react to the US inflation numbers, which come days after official data showed inflation in India eased to a 25-month low.  

The Nifty is finding support at lower levels as the overall setup is positive, said Siddhartha Khemka, Head-Retail Research at Motilal Oswal Financial Services. He expects market momentum to continue with stock-specific action in midcap stocks.

All eyes would be on the outcome of the FOMC meet as the US inflation data has set the stage for the Fed to likely pause the rate hike in its upcoming review.

Stay tuned on Zeebiz.com to find out what could impact your trade today. We have collated a list of the top 10 things to know that could impact the market:

• SGX Nifty futures: SGX Nifty futures — an early indicator of the Nifty index — were up 39 points or 0.2 per cent at 18,824 at the last count ahead of the opening bell on Dalal Street.
• Asian markets: Equities in other major Asian markets began the day on a mixed note, with MSCI's broadest index of Asia Pacific shares outside Japan rising 0.3 per cent in early hours. Japan’s Nikkei 225 was up over one per cent and China’s Shanghai Composite up with mild gains, but South Korea’s KOSPI and Hong Kong’s Hang Seng were down 0.2 and 0.1 per cent respectively.
• Wall Street: Overnight in the US, the S&P 500 and Nasdaq reached their highest closes in 14 months on Tuesday after the release of US inflation data, which supported bets that the Fed will not raise interest rates on Wednesday.
• Rupee vs dollar: The rupee gained by 18 paise to settle at 82.25 against the US dollar on Tuesday, as a weak greenback overseas and strong macroeconomic data supported investor sentiments.
• Dollar index: The dollar dropped to a three-week low on Tuesday on news of the smallest annual increase in inflation last month in more than two years, cementing expectations that the Federal Reserve will pause interest rate hikes at its two-day meeting ending on Wednesday.
• Crude oil: Crude oil prices jumped three per cent on Tuesday on hopes for growing fuel demand after China's central bank lowered a short-term lending rate for the first time in 10 months, boosting crude prices after steep losses the previous session. Benchmark Brent crude futures settled higher by $2.5 at $74.3 a barrel. 
• US inflation at two-year low: US consumer prices barely rose in May and the annual increase in inflation was the smallest in more than two years, though underlying price pressures remained strong, supporting the view that the Federal Reserve would keep interest rates unchanged on Wednesday. In the 12 months through May, the CPI climbed  4 per cent. That was the smallest year-on-year increase since March 2021 and followed a 4.9% rise in April.
• SEBI on Mutual Funds: Capital market watchdog the Securities and Exchanges Board of India SEBI on Tuesday introduced a regulatory framework for Execution-Only Platforms for direct plans of mutual fund schemes in a bid to protect the investors dealing in such schemes.
• RBI Governor says disinflation process to be slow, protracted: The disinflation process in India will be slow and protracted, with the four per cent inflation target likely to be met only over the medium term, RBI Governor Shaktikanta Das said.
• FII, DII flow: Foreign portfolio investors (FPIs) were net buyers to the tune of Rs 1,677.60 crore worth of Indian shares on Tuesday, according to provisional exchange data. Net sales by domestic institutional investors (DIIs) stood at Rs 203.3 crore.

(With inputs from agencies)