Indian stock markets are anticipated to start on a positive note Tuesday, following news that U.S. President Donald Trump refrained from immediately implementing tariffs targeting China, as he had promised to do on his first day in office.
Nonetheless, President Trump has initiated executive measures aimed at reducing energy prices and controlling inflation. Additionally, he has instructed federal agencies to "investigate and address" ongoing U.S. trade deficits, along with unfair trade practices and currency manipulation by other countries.
On Monday, the benchmark indices Sensex and Nifty each rose approximately 0.6 percent, buoyed by favorable earnings reports from companies such as Wipro and Kotak Mahindra Bank. Meanwhile, the rupee experienced a slight appreciation, closing at 86.567 per dollar.
Today's session may see stock-specific volatility as the Q3 earnings season progresses.
According to provisional data from the NSE, domestic institutional investors (DIIs) purchased shares valued at Rs 4,321 crore on Monday, while foreign institutional investors (FIIs) sold shares totaling Rs 4,336 crore.
In Asian markets, there was cautious trading with mixed outcomes this morning. The U.S. dollar experienced a rebound in Asian trading as President Trump hinted at possible 25 percent tariffs on Canada and Mexico by February 1, although specifics were not provided.
Despite Trump's announcement to declare a national emergency to boost domestic energy production, oil prices inched higher.
Gold prices saw a slight increase as the markets assessed the possible implications of Trump's policies as he began his second term post-inauguration.
U.S. stock markets remained closed on Monday in observance of Martin Luther King Jr. Day.
In Europe, stock markets closed slightly higher on Monday amidst reports that the Trump administration would delay implementing trade tariffs on his initial day in office.
The pan-European STOXX 600 concluded the session nearly flat with a slight upward tendency, having previously reached a three-month peak.
Germany's DAX advanced by 0.4 percent, the CAC 40 in France grew by 0.3 percent, and the FTSE 100 in the U.K. gained 0.2 percent.
