Sensex, Nifty Likely To See Cautious Gains As Investors Await GDP Numbers

(RTTNews) - Indian shares look set to open a tad higher on Tuesday as investors react to positive global cues and await Q3 GDP data. Experts predict moderation in the growth momentum year-on-year due to base effects. However, sequential growth may show improvement.

Banks could be in focus today after RBI data showed credit growth slowed down to 16.8 percent in the October-December 2022 period from a year earlier.

Benchmark indexes Sensex and Nifty fell slightly on Monday to extend losses for a seventh consecutive session while the rupee fell by 10 paise to close at 82.85 against the dollar amid FII outflows.

Asian markets followed Wall Street higher, and gold traded flat as the dollar slipped after recent gains.

U.S. Fed Governor Philip Jefferson said Monday that inflation for services in the United States remained "stubbornly high" and he was under "no illusion" that inflation would return quickly to the Fed's target.

Oil steadied but headed for a fourth straight monthly drop as investors await inventory data from the American Petroleum Institute and the Energy Information Administration.

U.S. stocks finished slightly higher overnight as investors sought bargains after steep losses last week.

The Dow inched up 0.2 percent, the tech-heavy Nasdaq Composite rose 0.6 percent and the S&P 500 added 0.3 percent after the release of mixed readings on durable goods orders and pending home sales.

All the three indexes closed well off their session highs as Treasury yields moved off the day's lows on uncertainty about where the economy and interest rates are headed.

European markets rebounded on Monday after posting their steepest decline of 2023 last week.

The pan-European STOXX 600 closed 1.1 percent higher. The German DAX rallied 1.1 percent, France's CAC 40 index climbed 1.5 percent and the U.K.'s FTSE 100 surged 0.7 percent.