Sensex, Nifty Seen Higher At Open

(RTTNews) - Indian shares look set to open on a positive note Wednesday after official data showed India's consumer price inflation eased further in April to the lowest level in nearly six years amid a slower rise in food prices.

Consumer price inflation eased more-than-expected to 3.16 percent in April from 3.34 percent in February. The expected rate was 3.27 percent. Moreover, this was the lowest since July 2019, when prices had risen 3.15 percent.

Stocks like Tata Motors, Bharti Airtel and Bharti Hexacom will react to their earnings results released after market hours on Tuesday.

Eicher Motors, Shree Cement and Hindustan Aeronautics will publish their financial results later today.

Benchmark indexes Sensex and Nifty slumped 1.6 percent and 1.4 percent, respectively on Tuesday, a day after recording their sharpest rally in over four years, following a tentative ceasefire between India and Pakistan over the weekend.

The rupee ended little changed at 85.33 per dollar, after touching a peak of 84.63 during the day amid dollar buying from oil companies, foreign investors and state-run banks.

Asian markets were mixed this morning, with chip stocks surging after a key announcement. The dollar steadied after a significant overnight decline.

Gold fell to around $3240 per ounce after rising in the previous session. Oil dipped but held near two-week highs on trade war reprieve.

U.S. stocks ended mostly higher overnight as trade optimism prevailed and data showed consumer inflation rose less than expected in April.

The CPI edged up by 0.2 percent in April, bringing the annual increase down to 2.3 percent from 2.4 percent.

The tech-heavy Nasdaq Composite jumped 1.6 percent and the S&P 500 added 0.7 percent to reach their best closing levels in well over two months as Saudi Arabia announced AI development deals with four leading U.S. technology firms, including chip companies NVIDIA and AMD. The narrower Dow shed 0.6 percent.

European stocks closed higher on Tuesday, with sentiment lifted by buoyant German investor sentiment report, a soft U.S. inflation reading and a truce in the Sino-U.S. trade spat.

The pan European STOXX 600 edged up by 0.1 percent, extending gains for a fourth day running.

The German DAX and France's CAC 40 both rose by 0.3 percent while the U.K.'s FTSE 100 finished marginally lower.