Indian equities are poised for a positive start amid a broad global rally driven by Fed’s signals on rate stability and retreat in US Treasury yields, enhancing investor sentiment across Asian markets and ahead of domestic regulatory reviews.
Indian equities are poised for a firmer start on Friday, with Gift Nifty pointing to a positive opening after a broad rally across global markets and a retreat in US Treasury yields. Sentiment improved further after Federal Reserve Governor Christopher Waller signalled he could support holding rates steady if inflation continues to cool, helping ease fears of another rise in borrowing costs.
The overnight tone from Wall Street was upbeat, with major US indexes closing sharply higher as megacap technology shares led the move. The Nasdaq outperformed, while the S&P 500 and Dow also advanced, reflecting renewed appetite for risk after yields stabilised and investors grew more confident that the Fed may not tighten further unless fresh data surprises to the upside.
That optimism filtered into Asian markets, where most major benchmarks traded higher in early dealings. Japan’s Nikkei and South Korea’s Kospi both rose, while Hong Kong’s Hang Seng pointed to gains as investors followed the stronger US lead. A separate report from Investing.com said the regional move was being supported by a wider technology-led advance and a recovery in chip-related shares.
Back home, traders will also be watching the Securities and Exchange Board of India’s review of settlement prices for derivatives after the introduction of the Closing Auction Session. The regulator is expected to seek feedback through a consultation paper in the coming days, a development that could matter for expiry-day pricing. Analysts, however, remain cautious about the near-term market setup because of firm crude prices, geopolitical uncertainty and patchy momentum, with Religare Broking’s Ajit Mishra urging a stock-specific approach centred on risk control.
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