Forex News Update: Indian Markets Closed for Mahashivratri

 

Hello, traders! Today, we're bringing you the latest updates from the Indian markets, which remained closed due to Mahashivratri festivities. Let's quickly recap what unfolded before the holiday.

 

Benchmark indexes, Sensex and Nifty, ended the previous trading session on a flat note after experiencing a significant decline over the last five trading days.

 

In currency news, the Indian rupee weakened by 51 paise, closing at 87.2 against the U.S. dollar—its sharpest decline in three weeks. This drop was largely attributed to importer hedging and increased dollar demand as the expiry of non-deliverable forward (NDF) contracts approached.

 

Looking at the investments, foreign institutional investors were net sellers, offloading shares worth approximately Rs 3,529 crore. Meanwhile, domestic institutional investors stepped in as net buyers, purchasing around Rs 3,031 crore, according to provisional data.

 

Turning our gaze to Asian markets, they showed a mixed performance this morning. Many investors remain on edge ahead of Nvidia's earnings report, with weaker U.S. economic data bolstering expectations for potential Federal Reserve rate cuts throughout the year. In fact, markets are now pricing in more than two quarter-point reductions by the Fed in 2025.

 

The Japanese yen strengthened amid speculation that the Bank of Japan will continue its path of interest rate hikes. In commodities, copper prices rose as U.S. President Donald Trump has ordered an investigation into copper imports, possibly leading to tariffs.

 

On a broader scale, the U.S. dollar hovered near an 11-week low as traders await the Fed's preferred inflation measures, expected to indicate the slowest inflation pace since June. In the oil market, prices nudged higher but remained close to two-month lows due to persistent demand concerns. Gold experienced a slight dip after falling sharply to its lowest level in over a week.

 

Overnight on Wall Street, major indexes reached over a four-month low, with the yield on the two-year note hitting its lowest since November. Weak economic data underscored uncertainty surrounding the Trump administration's policies, as consumer confidence slumped the fastest it has in three and a half years, accompanied by rising inflation expectations.

 

In Europe, stocks ended the day mixed. The pan-European STOXX 600 saw a slight gain of 0.2%, while the German DAX closed marginally lower and France’s CAC 40 declined by half a percent. However, the U.K.'s FTSE 100 managed a modest increase of 0.1%.

 

That's all for today's update! Enjoy your Mahashivratri celebrations, and let’s keep an eye on the markets when they reopen. Don’t forget to like, share, and subscribe for more forex news and updates. Happy trading!

.

#ForexNews

#IndianMarkets

#Mahashivratri

#MarketUpdate

#ForexTrading

#StockMarketIndia

#MarketClose

#CurrencyMarket

#TradingUpdate

#InvestmentNews

#IndiaForex