Weak Global Cues, Falling Walmart Stock, & Softening Dollar Weigh on Market Sentiment
February 21, 2025: The Indian stock market is expected to open on a weaker note on Friday, as global headwinds—including Walmart’s stock plunge, a declining US dollar, and weak investor sentiment in global markets—continue to influence trading sentiment.
On Thursday, both Sensex and Nifty 50 closed lower, with the Nifty holding above the 22,900 mark. The Sensex fell 203.22 points (-0.27%) to 75,735.96, while the Nifty 50 slipped 19.75 points (-0.09%) to 22,913.15.
Here’s a quick look at 10 key market factors to watch before the opening bell today:
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1. Asian Markets Weak Amid Tariff Concerns
- Japan’s Nikkei 225 fell 0.43%, while the Topix index declined 0.33%.
- South Korea’s Kospi and Kosdaq dropped 0.14% and 0.12%, respectively.
- Hong Kong’s Hang Seng index futures indicated a higher opening.
2. Gift Nifty Signals Negative Start for Indian Markets
- Gift Nifty was trading around 22,873, nearly 70 points lower than the Nifty futures’ previous close, suggesting a weak opening for Indian equities.
3. US Markets Fall on Weak Walmart Forecast
- Dow Jones fell 450.94 points (-1.01%) to 44,176.65.
- S&P 500 dropped 26.63 points (-0.43%) to 6,117.52.
- Nasdaq Composite lost 93.89 points (-0.47%) to 19,962.36.
4. Walmart Stock Plunges 6.5% on Weak Guidance
- Walmart projected FY26 earnings per share between $2.50-$2.60, missing analysts’ estimate of $2.76.
- Retail competitors Target (-2.0%) and Costco (-2.6%) also fell in response.
5. US Jobless Claims Rise Slightly
- Initial jobless claims rose 5,000 to 219,000, slightly higher than economists’ expectations of 215,000.
6. Japan’s Inflation Rises, PMI Improves
- Core inflation accelerated to 3.2% YoY in January, exceeding market estimates of 3.1%.
- Manufacturing PMI improved slightly to 48.9, while services PMI rose to 53.1, signaling better economic activity.
7. US Dollar Continues to Weaken
- The Dollar Index fell to 106.45, marking its third straight weekly decline.
- The Japanese yen strengthened to 149.28 per dollar, hitting a 2.5-month high.
8. Gold Prices Hold Steady After 8-Week Gains
- Spot gold rose 0.1% to $2,941.25 per ounce.
- US gold futures remained stable at $2,956.60 per ounce.
9. Crude Oil Prices on Track for Weekly Gains
- Brent crude gained 0.30% to $76.71 per barrel.
- WTI crude rose 0.44% to $72.57 per barrel, up nearly 3% this week.
10. India Market Outlook: Nifty Likely to Consolidate
- Analyst Outlook:
Nifty likely to stay range-bound between 22,800 - 22,900 in the absence of fresh triggers.
Strong buying at lower levels has helped Nifty sustain above 22,900 for the past seven sessions.
Tags:
#IndianStockMarket #Sensex #Nifty50 #WalmartStock #USMarkets #GiftNifty #CrudeOil #GoldPrices #AsianMarkets #DollarIndex
Last Updated on February 21, 2025 by Misha Bhatia
