Kamal Ghorui
Stock market today: Indian benchmark indices, Nifty50 and BSE Sensex, rose in early trade on Tuesday continuing the ongoing rally post the India-US trade deal announcement. While Nifty50 went above 25,900, BSE Sensex was up over 150 points. At 9:16 AM, Nifty50 was trading at 25,918.55, up 51 points or 0.20%. BSE Sensex was at 84,232.68, up 167 points or 0.20%.Experts are of the view that in the near-term, the market direction is likely to depend on global macroeconomic trends, currency movements and the durability of risk appetite reflected in foreign institutional investment flows. Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “Tailwinds for the market are getting stronger with each passing day. Growth prospects for the economy are getting better than earlier optimistic estimates. A significant macro development is the turnaround in private capex, which has been sluggish for years. The H1 FY 26 numbers of a sample of listed companies compiled by BS show a 13.1% YoY increase in fixed assets. This is a clear indication of acceleration in private capex and this data is complemented by the recent up tick in bank credit.In brief, these macro developments can lead to GDP growth of above 7% and with inflation rising to expected 4% in FY27, this can translate into nominal GDP growth of around 10.5 % and corporate earnings growth of above 16%. The market will start discounting these positive developments, particularly since the US-India trade deal is no longer a constraint for the market. Financials have the potential to outperform in the rally while IT might continue to disappoint weighed down by the Anthropic shock. The outperformance of the broader market, particularly the recovery of the smallcaps will add to the enthusiasm of the retail investors enabling the market to remain resilient.”Asian markets extended their gains and climbed to fresh record levels as a rebound in US technology stocks gathered momentum. The recovery in tech shares helped ease investor concerns that had earlier emerged over elevated spending on artificial intelligence, providing support to broader market sentiment across the region.In US stock markets, the S&P 500 and the Nasdaq posted strong gains after a volatile start to the week. Technology stocks regained stability following last week’s selloff linked to artificial intelligence-related concerns, while investors remained focused on upcoming economic data expected to offer signals on the Federal Reserve’s future interest rate trajectory.Gold and silver prices declined as the US dollar strengthened from a more than one-week low, with investors awaiting key employment and inflation data from the United States later in the week for further clarity on the outlook for interest rates.(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India)
