Sensex, Nifty today: Will stock market fall again? Key signals from Gift Nifty and global cues

Stock Market Today: The Indian stock market is expected to open lower on Wednesday, tracking muted global sentiment as investors await the US Federal Reserve’s final policy decision of the year.

Gift Nifty signals flat start

Gift Nifty traded near 25,901 at around 8:27 AM, down 29 points or 0.11 per cent from the previous close of Nifty futures. The trend indicates a range-bound start for the domestic indices.

Add Zee Business as a Preferred Source

Asian markets mixed

Asian equities traded on a mixed note. Japan and South Korea advanced, with Nikkei 225 futures up 0.2 per cent and the Topix rising 0.6 per cent. South Korean shares also moved higher.

However, Hang Seng futures slipped 0.2 per cent, while Australia’s S&P/ASX 200 was largely unchanged. Early indicators pointed to a softer tone in Europe, with Euro Stoxx 50 futures down 0.3 per cent.

Wall Street edges lower

US markets were subdued on Tuesday as investors positioned themselves ahead of an expected Federal Reserve rate cut and awaited commentary from policymakers.

- The Dow Jones Industrial Average fell 179.03 points, or 0.38 per cent, to 47,560.29.
- The S&P 500 slipped 6.00 points, or 0.09 per cent, to 6,840.51.
- The Nasdaq Composite gained 30.58 points, or 0.13 per cent, to 23,576.49.

Fed policy decision later today

The US Federal Reserve will announce its policy decision on Wednesday, December 10. Markets have priced in a high probability of a 25-basis-point rate cut. According to the CME FedWatch Tool, traders see an 89 per cent chance of a 25-bps reduction despite mixed macro data.

Gold surges; silver hits record level

Gold prices rose on Tuesday ahead of the Fed outcome. Spot gold gained 0.6 per cent to Rs 4,211.77 per ounce, while US gold futures for February delivery closed 0.4 per cent higher at Rs 4,236.20 per ounce.

Silver jumped to an all-time high of Rs 60 per ounce amid tightening supply.

Oil prices decline

Oil extended its decline, with Brent crude futures falling 0.88 per cent to Rs 61.94 a barrel. US West Texas Intermediate slipped 1.07 per cent to Rs 58.25 a barrel. Traders monitored geopolitical developments and assessed concerns of excess global supply.

Indian markets ended lower on Tuesday

Domestic benchmarks slipped on Tuesday. The Sensex dropped 436.41 points, or 0.51 per cent, to end at 84,666.28. The Nifty 50 closed 120.90 points, or 0.47 per cent, lower at 25,839.65.