Indian markets expected to open higher following positive US markets, despite mixed Asian markets

Graph showing the performance of Nifty 50 index

Nifty 50 index performance

Follow Us on Google News

U.S. stocks finished Friday higher, despite a jump in the cost of Deutsche Bank’s credit-default swaps helping to reignite banking-sector worries. For the week, the Dow gained 1.2%, while the S&P 500 rose 1.4% and the Nasdaq advanced 1.7%. Shares of Germany’s Deutsche Bank AG dropped Friday, after the cost of insuring the bank against a credit default jumped. The bank’s credit-default swaps had risen to the highest level since late 2018, according to a Reuters report Friday.

Treasury Secretary Janet Yellen announced Friday she called an unscheduled meeting of the Financial Stability Oversight Council or FSOC which was created in the wake of the 2008 financial crisis to help the government combat threats to financial stability.

Yields on the US 2-year Treasury note and US 10-year Treasury note each fell Friday in their third straight week of declines. Two-year yields slid to 3.777% on Friday, the lowest level since September, while 10-year Treasury yields dropped to 3.379%, their lowest rate since January.

Profits at industrial firms in China declined 22.9% in the first two months of 2023 from the year before, official data showed on Monday, as the factory sector struggles to claw its way out of the slump caused by COVID-related disruptions. The contraction followed a 4.0% fall in industrial profits for the whole of 2022.

Asia-Pacific markets were mixed on Monday as investors continue to assess the impact of the banking troubles in the U.S and Europe.

Nifty continued to fall for the second consecutive session on March 24 pulled down by weak global cues. At close, Nifty was down 0.77% or 131.9 points at 16945.1. Nifty has made a short term top at 17207, which could act as a resistance in the near future. It could go towards 16748 over the next few days. Global developments on the banking front and uncertain US Fed rate pathway ahead are bringing uncertainties for the market participants. Events in the week ahead include a final reading of fourth-quarter US gross-domestic product growth, and the February report on the Federal Reserve’s preferred inflation gauge.

Attud: