Sensex, Nifty Seen Opening Higher On Strong Global Cues

(RTTNews) - Indian shares look set to open higher on Thursday, mirroring positive global cues.

Volatility cannot be ruled out as investors await earnings from IT giants Infosys, HCL Technologies and Wipro. Climbing oil prices may also keep investors nervous.

Benchmark indexes Sensex and Nifty ended a choppy session marginally lower on Wednesday, while the rupee gained 18 paise to close at 81.56 against the dollar, gaining 1.5 percent so far this week on reduced dollar demand from oil companies and a declining dollar in overseas markets.

Asian markets hit a seven-month high, and the U.S. dollar wavered ahead of U.S. inflation data due later in the day that may show further softening in prices.

Sentiment was also underpinned by comments from Boston Federal Reserve bank leader Susan Collins that she was leaning towards a 25-basis point hike.

Data released earlier today showed that China's consumer inflation was moderate last month while producer prices remained in deflation.

The Japanese yen jumped against the dollar and gold traded flat while oil extended recent gains to hit a one-week high on expectations for an improved global economic outlook.

U.S. stocks rallied overnight, as Treasury yields dropped on hopes that cooling inflation could give the Federal Reserve room to dial back on its aggressive interest rate increases.

The tech -heavy Nasdaq Composite surged 1.8 percent to notch its first four-day winning streak since September, while the Dow rose 0.8 percent and the S&P 500 added 1.3 percent to reach their best closing levels in almost a month.

European stocks edged higher on Wednesday amid optimism surrounding China reopening and signs that inflation may have peaked in Europe.

The pan European STOXX 600 gained 0.4 percent. The German DAX climbed 1.2 percent, France's CAC 40 advanced 0.8 percent and the U.K.'s FTSE 100 edged up 0.4 percent.