Asian markets trade lower, while Gift Nifty hints at a muted opening for Sensex and Nifty 50 despite overnight Wall Street gains.
May 30, 2025: The Indian stock market indices, Sensex and Nifty 50, are expected to open on a cautious note on Friday, tracking mixed global cues after a US court reinstated President Donald Trump’s sweeping tariffs.
Also Read: Trump Tariff Stay: US Court Grants Stay On Ruling Against “Liberation Day Tariffs”
On Thursday, the Indian stock market ended higher, driven by late buying in select blue-chip stocks. The Sensex gained 320.70 points (0.39%) to close at 81,633.02, while the Nifty 50 rose 81.15 points (0.33%) to 24,833.60.
Ajit Mishra of Religare Broking Ltd. advised investors to focus on stock selection and accumulation of fundamentally strong counters during this phase, given the lack of major domestic triggers.
Key Global Market Cues:
- Asian Markets: Asian shares traded lower on Friday amid concerns over the reinstated Trump tariffs. Japan’s Nikkei 225 lost 1.55%, South Korea’s Kospi fell 0.4%, and Hong Kong’s Hang Seng futures hinted at a subdued start.
- Gift Nifty: Gift Nifty was trading around 24,940, at a slight discount to Nifty futures’ previous close, signaling a muted start for Indian equities.
- Wall Street: US stock markets ended higher overnight. The Dow Jones added 117.03 points (0.28%) to 42,215.73, the S&P 500 rose 23.62 points (0.40%) to 5,912.17, and the Nasdaq Composite closed 74.93 points (0.39%) higher at 19,175.87.
- US GDP: The US economy contracted 0.2% in Q1 2025, slightly better than expected. This was the first quarterly contraction since 2022.
- US Jobless Claims: Initial jobless claims rose by 14,000 to 240,000 for the week ended May 24, surpassing economist expectations.
- Japan Economic Data: Japan’s factory output fell 0.9% in April, while retail sales beat forecasts, rising 3.3% year-on-year. The unemployment rate held steady at 2.5%.
Trump Tariffs & Market Impact:
The US Court of Appeals for the Federal Circuit temporarily reinstated Trump’s “reciprocal” tariffs, pausing a lower court’s block and requiring responses by June 5 and 9. This move sparked volatility in global markets and raised uncertainty for future trade negotiations.
Outlook:
Investors in India are likely to track global cues, particularly the ongoing trade tensions and economic data releases, to determine the next directional move in the market.
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Indian stock market, Sensex, Nifty 50, Gift Nifty, Trump tariffs, US GDP, global markets, Asian markets, US jobless claims, Japan data