Muted Opening Expected as Global Cues Remain Mixed; Investors Eye Trump Tariffs & US-Russia Talks
February 19, 2025: The Indian stock market is set to open on a cautious note on Wednesday, February 19, following mixed global trends. While Asian markets showed varied performances, Wall Street ended higher, with the S&P 500 hitting a record high. Investors remain watchful of geopolitical developments, trade policies, and economic indicators.
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Key Market Updates:
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1. Asian Markets Mixed
- Japan’s Nikkei 225 and Topix remained flat.
- South Korea’s Kospi surged 1.51%, while Kosdaq gained 0.47%.
- Hong Kong’s Hang Seng Index futures signaled a lower opening.
2. Gift Nifty Suggests Flat Opening
- Gift Nifty traded around 22,965, a 7-point discount from the Nifty futures’ last close, indicating a subdued start.
3. Wall Street Hits Record Highs
- The S&P 500 touched an all-time high, rising 0.24% to 6,129.58.
- Dow Jones added 10.26 points to close at 44,556.34.
- The Nasdaq Composite gained 14.49 points to close at 20,041.26.
4. Trump’s New Tariff Plans
- Former US President Donald Trump proposed 25% auto tariffs and similar duties on semiconductors and pharmaceutical imports.
- Tariffs could be imposed as early as April 2.
5. US-Russia Peace Talks on Ukraine
- The US and Russia held discussions on ending the Ukraine war, but Kyiv was not part of the meeting.
- Further negotiations are expected later this month.
6. US Federal Reserve’s Stance
- San Francisco Fed President Mary Daly emphasized the need to maintain interest rates until inflation stabilizes at 2%.
7. Japan’s Trade Deficit Widens
- Japan’s exports rose 7.2% (below market forecast of 7.9%).
- Imports surged 16.7%, leading to a trade deficit of 2.759 trillion yen ($18.16 billion).
8. US Dollar Strengthens
- The dollar index edged up to 107.02 amid tariff concerns and Russia-Ukraine tensions.
- The yen strengthened 0.13% to 151.88 per dollar.
9. Gold Prices Near Record High
- Spot gold remained flat at $2,932.35 per ounce.
- US gold futures rose 0.1% to $2,952.40.
10. Crude Oil Prices Rise
- Brent crude oil climbed 0.09% to $75.91 per barrel.
- WTI crude futures gained 0.13% to $71.94.
Market Sentiment & Investor Outlook
The Indian stock market faces global uncertainties, with concerns over Trump’s tariffs, US-Russia talks, and Federal Reserve policies. Investors are expected to adopt a cautious stance, keeping an eye on macroeconomic data and foreign institutional investor (FII) activity.
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Indian stock market, Sensex, Nifty, Gift Nifty, stock market today, US stock market, Wall Street, Asian markets, Trump tariffs, US-Russia talks, gold prices, crude oil prices, Japan trade deficit, US dollar, Federal Reserve policy