Indian Stock Market May Rise Today After Fall, Thanks to Soft Inflation Data
Indian stock market are expected to open slightly higher on Wednesday, May 14. This comes after a sharp drop in the previous trading session. The positive mood is supported by falling retail inflation and strong signals from the US stock market.
Also Read: GIFT Nifty futures slip 160 pts as inflation data, may be a negative opening in market
GIFT Nifty Points to Positive Opening
At 7:50 AM, GIFT Nifty was trading about 100 points (0.4%) higher. This shows that Nifty and Sensex could start the day in green territory.
Inflation Drops to Lowest Level Since 2019
India's consumer inflation in April dropped to 3.16%, the lowest level since July 2019. This was mainly due to lower food prices, especially falling vegetable costs. The drop in inflation has increased hopes of a positive market trend.
Wall Street Closes Higher on Soft Inflation
Overnight in the US, stock markets closed higher. The S&P 500 gained 0.72% and the Nasdaq rose 1.61%. This was after US inflation data came in lower than expected. Also, easing US-China trade tensions gave a boost to investor confidence.
However, the Dow Jones fell 0.64% after UnitedHealth’s CEO stepped down and the company suspended its forecast.
Sensex and Nifty Fell on Tuesday
On Tuesday, May 13, markets saw profit booking after Monday’s rally. Sensex dropped 1,281 points to 81,148, while Nifty fell 346 points to 24,578. Investors chose to book profits after the recent high.
Key Levels to Watch in Nifty Today
Experts believe that Nifty is still in a strong position as long as it stays above 24,400. Pullbacks are being bought into, which shows investor interest on dips.
- Resistance: 24,800–25,000
- A strong close above this may push Nifty to 25,200–25,300
- Support: A dip below 24,500 might lead to a fall toward 24,370, where buyers may again enter
Also Read: Indian Markets Rise After Ceasefire and Trade Talk Boost: Will Nifty Hit New Highs?
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