Sensex, Nifty Seen Up On Solid Data
(RTTNews) - Indian shares may open a tad higher on Friday after industrial output data for July beat forecasts and another report showed consumer inflation remained broadly unchanged in August.
India's industrial output advanced 4.3 percent on a yearly basis in July, following a 1.17 percent rise a month ago. Output was forecast to grow 2.3 percent.
Consumer prices increased 3.21 percent year-on-year in August following a 3.15 percent rise in July. In the same period last year, inflation was 3.69 percent.
Signs of easing trade tensions between the U.S. and China, falling oil prices and fresh foreign capital inflows may also help underpin investor sentiment.
Benchmark indexes Sensex and the Nifty fell around half a percent on Thursday while the rupee jumped 52 paise to end at 71.14 against the U.S. dollar, extending its winning streak for the sixth straight session.
Asian markets are rising after U.S. President Donald Trump announced that he's planning a tax cut directed at middle-income households next year.
On the trade front, U.S. Treasury Secretary Steven Mnuchin claimed in an interview with CNBC that Trump could strike a trade deal with China at "any time" but only wants to do a "good deal" that's good for U.S. companies and workers.
Gold treaded water and the Japanese yen held near a six-week low versus the dollar while oil extended recent losses, weighed down by a downward revision in OPEC's oil demand forecast and speculation that the U.S. may ease sanctions on Iran.
U.S. stocks rose overnight to reach their best closing levels in over a month as traders reacted to conflicting reports regarding an interim U.S.-China trade deal ahead of face-to-face negotiations in the coming weeks.
The Dow Jones Industrial Average inched up 0.2 percent while the tech-heavy Nasdaq Composite and the S&P 500 gained around 0.3 percent each.
European markets advanced on Thursday as U.S.-China trade worries eased and the European Central Bank cut interest rates and announced a massive new bond-buying program in the final rate-setting session chaired by the outgoing President Mario Draghi.
The pan European Stoxx 600 gained 0.2 percent. The German DAX and France's CAC 40 index both rose by 0.4 percent while the U.K.'s FTSE 100 edged up 0.1 percent.