Sensex, Nifty Poised For Steady Open

(RTTNews) - Indian shares look set to open a tad higher on Monday after a highly anticipated report on personal income and spending released on Friday showed U.S. consumer prices increased by slightly less than expected in February.

Consumer prices rose by 0.3 percent in the month after climbing by an upwardly revised 0.4 percent in January. Economists had expected a 0.4 percent gain.

The annual rate of consumer price growth ticked up to 2.5 percent in February from 2.4 percent in January, matching expectations while the annual rate of core consumer price growth slowed to 2.8 percent from an upwardly revised 2.9 percent in January.

Meanwhile, Fed Chair Jerome Powell said at a conference that the data was 'pretty much in line with expectations' and that the U.S. central bank is in no hurry to cut interest rates.

He acknowledged the risks of leaving interest rates where they are now but nevertheless emphasized the need for consistent inflation control towards a 2 percent target.

Investors will also focus on the upcoming RBI's interest decision and macroeconomic data for direction. Automakers may see increased activity as they release monthly sales figures for March.

Citing the impact of improved inflation management and macroeconomic stability, Finance Minister Nirmala Sitharaman said India's GDP is on track to grow by 8 percent in the fourth quarter of FY24.

The 30-share BSE Sensex soared 24.9 percent in FY24 to hit a record high while the broader NSE Nifty index surged by 28.6 percent.

Asian markets traded mostly higher in thin holiday trade this morning after an official survey revealed China's manufacturing purchasing managers index expanded in March for the first time since September.

The dollar edged lower in Asian trading, U.S. Treasury yields dipped slightly and oil prices were steady while gold jumped more than 1 percent to trade above $2,250 per ounce.