Indian stock markets could see a lackluster start on March 7, 2025, following a robust rally in the previous session. Early indicators suggest a cautious mood, with the Gift Nifty trading 30 points lower at 22,557, signaling a flat-to-negative opening for benchmark indices.
Markets Surge as Nifty Crosses 22,500
The Indian equity market put up a strong performance on March 6, as both the Sensex and Nifty posted solid gains. Investors cheered across sectors, pushing indices to fresh highs.
- Sensex climbed 609.86 points (0.83%) to close at 74,340.09.
- Nifty jumped 207.40 points (0.93%) to settle at 22,544.70.
Every sector finished in the green, with Metal, Oil & Gas, and Pharma stocks emerging as top performers, gaining between 1.5% and 2%.
Top Gainers on Nifty:
- Asian Paints
- Coal India
- Hindalco Industries
- BPCL
- NTPC
Top Losers on Nifty:
- Tech Mahindra
- Trent
- Bharat Electronics
- HDFC Life
- Kotak Mahindra Bank
Broader markets also showed resilience, with the BSE Midcap index rising 0.6% and the Smallcap index adding 1.6%.
Asian Markets on Edge Ahead of U.S. Jobs Report
Investor sentiment in Asia remained shaky as markets digested the impact of upcoming U.S. economic data. The nonfarm payroll report, a key indicator of labor market strength, is expected to provide fresh clues on Federal Reserve policy.
- Australian and Japanese markets opened over 1% lower.
- Hang Seng futures saw modest declines in early trade.
- Japanese benchmarks struggled amid a stronger yen and weak investor sentiment.
As of 8:15 AM IST:
- CSI 300 index was down 7.30 points.
- Nikkei 225 dropped 702.88 points.
- Hang Seng managed a small 42.60-point gain.
The focus remains on the U.S. labor market data, which could set the tone for global markets in the coming sessions.
U.S. Stocks Slide as Nasdaq Enters Correction
Wall Street had a rough session on Thursday, with the Nasdaq Composite slipping into correction territory for the first time since December. Investors grew cautious amid renewed concerns over trade policies and economic uncertainty.
- Dow Jones dropped 427.51 points (0.99%) to 42,579.08.
- S&P 500 fell 104.11 points (1.78%) to 5,738.52.
- Nasdaq Composite plunged 483.48 points (2.61%) to 18,069.26.
Adding to the volatility, President Donald Trump announced a one-month exemption on 25% tariffs for goods from Canada and Mexico under the USMCA trade agreement. While this provided some relief to businesses, the broader market reaction remained negative.
What’s Next for Indian Markets?
With global sentiment on edge, Indian investors will be watching a few key triggers today:
- Global Cues: Weakness in Asian and U.S. markets could weigh on local indices.
- FII Activity: Foreign investor inflows have been strong, but a shift in risk appetite could alter the momentum.
- Sector Rotation: While metals and pharma led the rally, profit-booking could emerge in these sectors.
If market momentum falters, Nifty could struggle to hold above 22,500, making intraday moves crucial for traders.
