Positive start seen for the markets as global markets surge

The Indian markets are likely to start on a mildly positive-to-flat note, taking positive cues from the US market which registered all-time high levels in overnight trade. However, there will be some cautiousness too, with reports of North Korean missile test. SGX Nifty suggests that the Nifty could open at 10,394, up by 24 points at the opening bell.  

Majority of Asian markets are trading in positive terrain in early trading on Wednesday. Japan’s  Nikkei 225 has jumped 118 points, Hong Kong’s Hang Seng has shed 37 points, while China’s Shanghai Composite has gained 4 points. 

Back home, markets witnessed a volatile session on Tuesday and snapped their eight days of winning streak. Buying interest was seen in the broader indices as Nifty Mid-Cap and Small-Cap index climbed 0.07% and 0.57%, respectively. Sector-wise, Nifty Media continued to lead the sectoral indices as it gained 0.71%. At the closing bell, Nifty was down by 0.28%  at 10,370 and Sensex closed down by 0.31% at 33,619.  

The US stocks ended Tuesday’s session firmly in positive territory with all the three main indices closing at all-time high levels. The rally on Wall Street was seen after news came in that Republican tax reform bill took another key step forward as the legislation was approved by the Senate Budget Committee and welcomed incoming Federal Reserve Chairman Jerome Powell’s comments that he would not make any drastic changes to the central bank's policy. The Dow Jones Industrial Average surged 256 points to settle at 23,837, Nasdaq rose 34 points to close at 6,912 and the S&P 500 climbed 26 points to finish at 2,627.   

The Tuesday’s session turned out to be terrific for the European indices as it put an end to the losing streak that began late last week. The DAX of Germany rose 0.45%, CAC 40 of France moved higher by 0.56% and FTSE 100 of the UK jumped 1.03%.