The Indian market started on a positive note in line with the trends on SGX Nifty even as Consumer price-based inflation jumped to 6.95 per cent in March against 6.07 per cent in February. The SGX Nifty Futures was trading higher by more than 40 points on the Singaporean exchange ahead of Indian market opening.  

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

Snapping two days losing streak, domestic equity benchmarks Nifty50 and the Sensex opened higher on the last trading day of this week. The domestic equity market will remain closed on April 14 and April 15 on account of holidays. The two indices opened at 17,599.90 and 58,910.74 respectively and rose soon after market opening as Nifty50 crossed 17,600 mark and the Sensex rose around 300 points  

All sectors turned green with maximum buying interest seen in metal, realty and oil & gas stocks.

"There are strong market headwinds emerging for the near-term. Inflation in the US at 8.5% in March, dollar index above 100 and the imminent monetary tightening by Fed which might lead to a recession are negatives for global equity markets. In India, the March inflation print has come above estimates at 6.95%. This will push up the 10-year yields,"said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.  

Since only some of these negatives are discounted by the market, there can be more selling particularly from FIIs who have again turned big sellers, he added. 

See Zee Business Live TV Streaming Below:

On the Singaporean exchange, the SGX Nifty Futures index also traded flat with negative bias as the index was trading lower by 15 points around 8 am. 

In the pre-open session, the Sensex gained more than 200 points as 26 shares advanced, three declined and one remained neutral.  

On Tuesday, the Nifty50 broke the narrow trading band (17,800-17,600) and took support from the 21-day EMA (17,400), which is now a critical support on the downside, said Viraj Vyas, Technical and Derivatives analyst at Ashika Broking 

"Continuing to spend more time below 17,800-level doesn’t augur well for the Index and it remains imperative for the Index to demonstrate price intensity with meaningful OI addition to witness a directional break-out," added the analyst.  

Meanwhile, Asian markets were trading mixed in the morning trade on Wednesday. Japanese Nikkei 225 was trading higher by more than 1.5%, while Hang Seng Index at the Hong Kong Exchange and Chinese Shanghai Composite traded lower by 0.10% and 0.54% respectively.  

Earlier on Tuesday, on Wall Street, the Dow Jones Industrial Average fell 0.02%, the S&P 500 lost 0.02% and the Nasdaq Composite added 0.12%.