Indian Shares Seen Tad Higher At Open

(RTTNews) - Indian shares are seen opening a tad higher on Thursday, with firm cues from global markets and easing oil prices likely to underpin sentiment at open.

Investors may assess the U.S. Federal Reserve's status quo rate decision and react to earnings from major U.S. technology companies, including Google parent Alphabet and Microsoft.

Benchmark indexes Sensex and Nifty fell around half a percent and 0.2 percent, respectively on Wednesday as information technology stocks tumbled amid renewed optimism surrounding artificial intelligence in global markets.

The rupee fell by 21 paise to close at 95.28 against the U.S. dollar. Foreign institutional investors (FIIs) net bought shares worth Rs. 871.83 crore on Wednesday while domestic institutional investors (DIIs) net bought equities worth Rs.643.35 crore, according to provisional exchange data.

Asian markets were mixed this morning as Google parent Alphabet came up short of Wall Steet expectations despite posting strong revenue growth in its third quarter. The company's search and advertising sales missed estimates.

On the contrary, Microsoft delivered better-than-expected earnings and revenue in its fiscal 2027 first quarter and kept its capital expenditures in check, offering some respite to investors worried over rising AI spending.

Gold was subdued at $4,053 an ounce in early Asian trade as the dollar strengthened ahead of forthcoming inflation readings, which could sway the Fed's future decisions.

Brent crude prices fell about 1 percent toward $114 barrel, moving away from four-year highs following fresh diplomatic efforts to end the war in the Middle East.

Iran's Foreign Minister Abbas Araghchi said Teheran continued to give diplomacy a chance. According to the Wall Street Journal, U.S. President JD Vance had reached out to Iranian national security official Mohsen Rezaei.

U.S. President Donald Trump confirmed that negotiations were underway through mediators but stressed he didn't know whether they would bear fruit.

Elsewhere, Yemen's Houthis launched an attack on the Aden airport on Wednesday after issuing evacuation warnings due to escalating violence.

Global commodity prices are set to surge 23 percent in 2026 as a result of global conflicts and EI Nino, the World Bank said in a report.

Overnight, U.S. stocks rose for a third straight session as investors cheered strong earnings from AI-related companies and the Federal Reserve's decision to hold rates at 3.75-4 percent in a 10-2 split vote before midterm elections.

The yield on the 10-year Treasury remained elevated above 5 percent and Brent crude oil surged to a six-month high after reports of Houthi attacks on Saudi Arabi's biggest oil refinery and a decline in U.S. crude inventories, limiting potential gains.

The Fed upgraded its assessment of economic activity to "strong" from "solid," while acknowledging inflation remains elevated.

Chair Kevin Warsh gave no clear signal of a December hike, reiterating opposition to issuing forward guidance.

According to the CME FedWatch Tool, markets currently expect a 78 percent probability of a December rate hike, down from about 84 percent before the meeting.

While the Dow edged up 0.2 percent, the S&P 500 and the tech-heavy Nasdaq Composite both added around 0.3 percent.

European stocks ended on a muted note on Wednesday, with a sharp rise in oil prices and caution ahead of key central bank decisions keeping investors nervous.

The pan-European STOXX 600 ended flat with a positive bias. While France's CAC 40 finished marginally lower, the U.K.'s FTSE 100 inched up 0.1 percent and the German DAX rose 0.4 percent.