Shares Edge Up In Pre-open As Benchmarks See Positive Bias At Start

Mumbai, May 15: Indian shares edged up at pre-open suggesting a slightly positive bias at the start for benchmark indices amid US-China talks and elevated oil prices tracking ship attacks and seizures in the Middle East.

Nifty 50 rose 0.11% at pre-open while Sensex increased 0.18%, signalling the benchmarks would be extending gains at the open after recording a sharp recovery yesterday, but not by much.

Gift Nifty also reinforced expectations of a higher start, trading at 23,798, which is above Nifty’s previous close of 23,689.60.

This comes after the rupee tumbled to a record low in the previous session amid elevated crude oil prices and persistent foreign portfolio outflows. 

At the open, spotlight will fall on shares of oil marketing companies such as Bharat Petroleum, Hindustan Petroleum and Indian Oil Corporation as the government has raised petrol and diesel prices by around 3 rupees per litre. Spotlight will also shine on companies related to Adani Group which on Thursday settled a related civil fraud lawsuit filed by the U.S. markets regulator over allegations linked to bribery of Indian government officials.

Speaking of global cues, Asian equities traded under pressure on Friday as a surge in U.S. Treasury yields and elevated crude oil prices weakened investor appetite for risk. 

Japan’s Nikkei, South Korea’s Kospi and Hong Kong stocks moved lower, while MSCI’s broadest index of Asia-Pacific shares outside Japan also slipped as markets weighed the inflationary and economic risks posed by rising oil prices. 

U.S. stock futures also edged lower, suggesting some caution was creeping back into markets. This comes after the Wall Street ended Thursday’s session higher, led once again by technology stocks, as optimism surrounding artificial intelligence continued to fuel gains. Chipmaker NVIDIA rallied after reports suggested progress on approvals for advanced AI chip sales to China, lifting the broader semiconductor sector. The S&P 500 gained 0.77%, while both the S&P 500 and Nasdaq notched fresh record closing highs.

Source:

• Exchanges