Sensex, Nifty Seen Tad Lower On Mixed Global Cues

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Sensex, Nifty Seen Tad Lower On Mixed Global Cues

(RTTNews) - Indian shares look set to open a tad lower on Wednesday, tracking mixed global cues as investors await key U.S. and European inflation readings this week for policy clues.

Escalating tensions between Russia and Ukraine, unrest in the Middle East and the indefinite suspension of vessel traffic into and out of the Port of Baltimore after a cargo ship collision may also weigh on markets.

Meanwhile, India's current account deficit narrowed to $10.5 billion, or 1.2 percent of GDP, in the third quarter of FY2024 from $16.8 billion, or 2 percent of GDP, in the year-ago quarter, the latest RBI data revealed.

In the second quarter of FY2024, the deficit stood at $11.4 billion, or 1.3 percent GDP.

Benchmark indexes Sensex and Nifty fell around half a percent each on Tuesday while the rupee jumped 33 paise to close at 83.28 against the dollar on likely central bank intervention.

Asian markets traded mixed this morning and the dollar was little changed while Treasuries steadied after rebounding from session lows on Tuesday following a $67 billion sale of five year-notes.

Gold traded in a narrow range while oil extended overnight losses on industry data showing a large build in U.S. inventories.

U.S. stocks gave up early gains to end lower overnight as investors assessed the impact of a significant bridge collapse in the Baltimore port area on markets and the economy.

On the data front, the latest readings on new orders for manufactured durable goods and consumer confidence painted a mixed picture of the world's largest economy.

The Dow slipped marginally and the S&P 500 eased 0.3 percent to end lower for a third straight session, while the tech-heavy Nasdaq Composite shed 0.4 percent to extend losses for a second day.

European stocks rose on Tuesday in a relatively quiet and holiday-shortened week. The pan European STOXX 600 recovered from an early slide to finish 0.2 percent higher.

The German DAX climbed 0.7 percent, France's CAC 40 rose 0.4 percent and the U.K.'s FTSE 100 edged up 0.2 percent.

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