Sensex, Nifty 50 Set for Higher Opening as Global Markets Rally; Gift Nifty Signals 200-Point Gap-Up

Pre-Market Update at 7:57 AM: Indian stock market benchmark indices Sensex and Nifty 50 are expected to open higher on Monday, tracking strong cues from global markets. Asian equities traded firmly in the green, led by Japan, while U.S. stock futures also edged higher, supporting positive sentiment for domestic equities.

Asian markets witnessed broad-based gains, with Japanese stocks touching record highs after a decisive election victory by Prime Minister Sanae Takaichi. Japan’s Nikkei 225 surged 5.6 per cent to cross the 57,000 mark for the first time, while the Topix climbed over 3 per cent to a record high. South Korea’s Kospi jumped 4.15 per cent and the Kosdaq rallied 2.97 per cent. Hong Kong’s Hang Seng Index futures indicated a higher opening.

Back home, investors will track several key market triggers this week, including developments around the India–U.S. trade deal, inflation data, Q3 corporate earnings, foreign fund flows, global geopolitical updates, and other important domestic and global macroeconomic indicators.

On Friday, Indian equity markets closed higher after the Reserve Bank of India’s policy announcement, supported by buying in select heavyweight stocks. The Sensex rose 266.47 points, or 0.32 per cent, to settle at 83,580.40, while the Nifty 50 gained 50.90 points, or 0.20 per cent, to close at 25,693.70.

Early indicators point to a strong start for domestic indices. Gift Nifty was trading around the 25,947 level, a premium of nearly 212 points over the previous close of Nifty futures, indicating a gap-up opening for Indian markets.

Wall Street ended sharply higher on Friday, with the Dow Jones Industrial Average crossing the historic 50,000 mark for the first time. The Dow rallied 2.47 per cent to close at 50,115.67, while the S&P 500 gained 1.97 per cent to 6,932.30. The Nasdaq Composite advanced 2.18 per cent to 23,031.21. On a weekly basis, the Dow rose 2.5 per cent, the S&P 500 slipped 0.1 per cent, and the Nasdaq declined 1.9 per cent.

Technology stocks led the rally, with Nvidia shares surging 7.8 per cent, Advanced Micro Devices jumping 8.3 per cent, and Broadcom rising 7.1 per cent. Apple added 0.80 per cent, Microsoft climbed 1.90 per cent, while Amazon fell 5.55 per cent. CrowdStrike and Palantir gained over 4 per cent each.

On the macro front, India and the United States announced an interim trade framework ahead of a Bilateral Trade Agreement, committing to expand trade ties and reduce U.S. reciprocal tariffs to 18 per cent. The development is seen as a positive trigger for Indian markets.

In Japan, Prime Minister Sanae Takaichi’s coalition secured a historic mandate in Sunday’s snap election, winning 316 of 465 seats in the lower house, the best-ever result for the Liberal Democratic Party. Markets reacted positively, with equities rallying, bonds weakening and the yen declining. Benchmark 10-year Japanese government bond futures fell 0.37 yen to 131.22, while the 30-year bond yield rose as much as 6.5 basis points to 3.615 per cent.

In commodities, gold and silver prices extended gains as the U.S. dollar weakened. Spot gold rose 1.4 per cent to USD 5,029.09 per ounce after a sharp rally in the previous session, while U.S. gold futures for April delivery climbed to USD 5,051 per ounce. Spot silver gained 2.5 per cent following a 10 per cent jump earlier.

Crude oil prices declined as geopolitical tensions in the Middle East eased. Brent crude slipped 0.72 per cent to USD 67.56 per barrel after losing nearly 4 per cent last week, while U.S. West Texas Intermediate crude fell 0.71 per cent to USD 63.09 per barrel.

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Disclaimer: The article is for informational purposes only and not investment advice.