Wall Street took another sharp swing Wednesday, this time back to rally mode, as stocks and Treasury yields rose even as U.S. crude oil prices climbed to the highest level in more than a decade.
The Indian equity benchmarks are set to open higher as indicated by the Nifty futures traded on Singapore Exchange amid stable global cues. The Nifty futures on Singapore Exchange also known as SGX Nifty futures rose 62 points to 16,678. Meanwhile, Asian shares mirrored gains in US stocks despite surge in oil prices. Japan's Nikkei rose 0.8 per cent, Hong Kong's Hang Seng advanced 0.7 per cent and Taiwan Weighted advanced 0.4 per cent.
Wall Street took another sharp swing Wednesday, this time back to rally mode, as stocks and Treasury yields rose even as U.S. crude oil prices climbed to the highest level in more than a decade.
The S&P 500 rose 1.9 per cent, recouping its losses from earlier in the week, after Federal Reserve Chair Jerome Powell said he supports a more modest rise in interest rates this month than some investors had feared. He also said he still expects inflation, which is at its highest level in 40 years, to moderate through the year.
Markets have been spinning wildly as investors try, sometimes blindly, to gauge how high Russia’s attack on Ukraine will push prices for oil, wheat and other commodities where the region is a major producer. On top of that are worries about what upcoming hikes in interest rates by the Federal Reserve and other central banks around the world will do to the economy and inflation.
Back home, foreign institutional investors continue to sell shares in Indian markets. FIIs sold shares worth Rs 4,339 crore on Wednesday while domestic institutional investors bought shares worth Rs 3,062 crore.
(With inputs from AP)