Sensex, Nifty To Edge Lower On Weak Global Cues

(RTTNews) - Indian shares are seen opening lower on Wednesday, tracking weak global cues and amid news that the monsoon will be delayed this year.

Consistent FII buying and falling oil prices may help limit the downside to some extent as the session progresses.

On the earnings front, Bharti Airtel beat estimates with a 50 percent surge in Q4 net profit and Indian Oil Corp's quarterly profit jumped 55 percent on the back of a rise in gross refining margins, while Jindal Steel and Power posted a nearly 70 percent decline in its consolidated net profit for the March quarter.

Benchmark indexes Sensex and Nifty fell around 0.7 percent and 0.6 percent, respectively on Tuesday while the rupee rebounded from a six-week low to close at 82.2050 against the dollar.

Asian markets traded mostly lower this morning and China's offshore yuan weakened past 7 per dollar for the first time in five months on signs that China's post-COVID recovery is losing steam.

Gold edged up slightly while oil extended losses on data showing an unexpected build in U.S. crude stocks.

U.S. stocks ended lower overnight, with a disappointing forecast from Home Depot, mixed economic data and worries over the debt ceiling impasse keeping investors nervous.

Separate reports showed weaker than expected retail sales growth and an unexpected increase in industrial production.

The Dow fell 1 percent as the treasury department warned that it could run out of cash as soon as 1 June without a deal. The S&P 500 gave up 0.6 percent and the tech-heavy Nasdaq Composite slid 0.2 percent.

European stocks closed lower on Tuesday as investors digested mixed Chinese and Eurozone data and awaited progress in U.S. debt limit talks.

The pan European STOXX 600 dropped 0.4 percent. The German DAX slipped 0.1 percent, France's CAC 40 eased 0.2 percent and the U.K.'s FTSE 100 shed 0.3 percent.